May 18 2009 04:12 PM ET

Update: Woody Allen settles American Apparel lawsuit for $5 million

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Woody Allen has settled a suit he filed against trendy clothing company American Apparel, and the company will pay him $5 million for using his image in advertising, Reuters reports. "I am told the settlement of five million dollars I ambeing paid is the largest reported amount ever paid under theNew York right to privacy law," Allen said outsideManhattan federal court where the case was supposed to be heard this morning. Allen claimed his reputation was damaged and the image was used withoutconsent, while American Apparel founder Dov Charney told reporters thecase was about "the dignity of ideas." He continued: "I am not sorryfor expressing myself."

Allen was expected to testify in New York court today to support the suit, according to the Associated Press. Allen originally sued American Apparel last year for $10 million, claiming the company didn’t have permission to use his likeness in a 2007 advertising campaign which depicted him as a Hasidic Jew along with Yiddish text meaning "the holy rebbe." The image American Apparel used was a doctored shot from his Oscar-winning movie Annie Hall.

Comments (9 total) Add your comment
  • Jessica

    Really? This ruined his reputation? I would have thought his decision to marry his stepdaughter would have taken care of that.

  • larry

    This is one weird story.
    “American” and “Jew” are 2 separate entities.

  • DavidFSF

    Good for Woody! I don’t care what he’s done in his personal life, AApparel shouldn’t even be allowed to use Hitler’s image (were he alive, of course) without permission. AApparel knew this would drum up controversy and has given me yet another reason never to buy from them.

  • Jerk-o

    American Apparel stole a copyrighted image of Woody Allen, who has a right of publicity (ie he can choose what his image is used for and should be paid for it). They then threatened to smear him in an effort to lower the licensing fee. That’s extortion, pure and simple. Then they had the gall to claim they were being victimized and their right to free expression was at stake, which is a total crock. AA’s case was so lame and wrong that their own insurance company forced them to settle against their will, and the CEO’s even carping about that. Yeesh.

  • tom boy

    It was strange that they used his image, that is like legal 101, you can’t do that, but the company is selling really well now, so who knows. http://www.collegehookup.org/

  • Fielding

    Congratulations to Mr Allen. His last few films have done very well, he’s won this battle, he’s got a multi-picture deal in place with the producers of Vicky Cristina Barcelona, and now I read that there are negotiations under way to finance a film to be made in Brazil! He’s on a roll and deserves ever success.

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