When they terminated the contract Adidas issued a statement saying the company does not tolerate anti Semitism and that his comments were unacceptable and violated company values. I think they had sufficient basis to terminate because of his comments. The theft accusation certainly disparages the company and in that way may violate the agreement, but the review I was talking about was this recent review of his behavior based on the accusations from the employees he worked with, which wasn't known at the time of the termination.

I agree it would probably violate the morals clause. But the issue is that if the contract allows them to terminate it for his breach of the morals clause, they have to know about the breach before they terminate the contract. It's possible there is language in the contract that could allow Adidas to terminate it retroactively to the date of the breach if they find out after the fact, but I think that would be unusual.

I don't see how they can possibly establish that the morals violation they didn't even know about when they terminated the deal was the cause of the termination.

I remember being bitterly disappointed in 1975 when I couldn't take my Shasta cans in for money because they were steel, not aluminum.