US sportswear giant Nike is suing Hong Kong celebrity Edison Chen Koon-hei for US$126,615 – nearly HK$1 million – for alleged breach of contract.

Nike filed the lawsuit in the Central District Court of California in the United States on Tuesday, demanding the former actor and singer pay compensation with an interest rate of 1.5 per cent per month starting 30 days after the first invoice date until payment is completed.

It also sought additional costs, collection agency fees and reasonable attorneys’ fees from the fashion entrepreneur.

Earlier media reports said that Nike was asking for US$126 million, following a clerical error in court records.

Chen made a cryptic social media post on Wednesday morning featuring a photo of himself wearing the latest trainers released by his streetwear brand Clot in collaboration with Adidas, with the caption “WORD!?!?”.

He followed up on Thursday by posting a meme on Instagram showing watermelon slices, accompanied by the caption “THIRSTY? WELL DAMN”.