Kanye West had a public meltdown and lost $2 Billion Dollars in joint venture contract values. Behind the headlines is a huge IP lesson on ownership as it relates to joint venture contracts.
The Social Proof Podcast recently shared a clip discussing the situation with Kanye West and his frustrations with intellectual property ownership and joint venture contracts. In the clip, David Shands and Tulones delve into Kanye’s frustrations and try to understand where they stem from.
David Shands starts off by asking, “What’s Kanye’s frustration? And do you understand it?” The owners of Tulones clothing offer this perspective, stating that Kanye’s frustration comes from signing a contract. He explains that once you sign a business contract, you have to listen and follow the rules, even if it limits your financial and creative freedom. Tulones goes on to say that at one point in time, someone has to tell you what you can and cannot do.
The conversation then shifts to the difficulties Kanye has faced with manufacturers and the lack of access to certain materials. Tulones points out that when it comes to working with a bigger brand like Nike, a smaller brand may not have all the information and resources that the bigger brand does. This can lead to frustration and limitations on the smaller brand’s ability to make extra money off their own creations.
Tulones then brings up the idea that Kanye has essentially quit the industry and is now focusing on designing and producing his own shoes in his own factory. He notes that this is Kanye’s way of taking control and getting exactly what he wants, since he no longer has to deal with the limitations and restrictions imposed by contracts and manufacturers. Tulones concludes by saying that Kanye is not necessarily quitting the industry, but rather quitting the limitations that were holding him back.
This clip from the Social Proof Podcast highlights the challenges and frustrations that can come with intellectual property ownership and joint venture contracts. It also touches on the importance of being able to take control of one’s own creations and ideas, and the risks and benefits that come with it. The Patent Insider page encourages its audience to like and subscribe for more information on intellectual property, and legal and business insights for creators and entrepreneurs.