AsianFin -- Nike has filed a lawsuit against Edison Chen, founder of streetwear label CLOT, in the U.S. District Court for the Central District of California, accusing him of breaching a cooperation agreement.

The case, filed on August 11, 2025, lists Chen as the sole defendant and does not involve his CLOT brand or its ongoing partnership with Adidas. Court documents initially sparked headlines claiming Nike was seeking $126 million in damages, but the figure was later corrected to $126,000 (about RMB 900,000) after a clerical error was found in the filings.

Details of the alleged breach have not yet been disclosed. Both Nike and Chen have so far declined to comment. If no settlement is reached out of court, the case could proceed to substantive hearings in the coming months.