Last month Sean 'Diddy' Combs filed a lawsuit against his business partners accusing them of failing to properly promote his liquor brands Ciroc vodka and DeLeón tequila [click here if you missed that].
Now the liquor company has cut ties with Diddy...
From Variety
Liquor giant Diageo PLC said it was severing ties with entrepreneur Sean Combs after the celebrity filed a suit alleging Diageo had not supported joint ventures involving Ciroc vodka and DeLeón tequila.
Combs sued Diageo in late May in New York Supreme Court in Manhattan, alleging that the company, which also distributes Johnnie Walker and Captain Morgan, among other liquor brands, had neglected the spirits under their joint control. He also alleged Diageo had undermined the business by marketing Ciroc and DeLeón as “urban,” rather than something for the general market.
In a filing made Tuesday in the same jurisdiction, Diageo called for the suit to be dismissed and said it would no longer be working with Combs, who over the years has launched a clothing line and restaurants and has a stake in the Revolt TV cable network.
“We are saddened that Mr. Combs has chosen to recast a business dispute as anything other than that and chosen to damage a productive and valued partnership. Mr. Combs’ bad-faith actions have clearly breached his contracts and left us no choice but to move to dismiss his baseless complaint and end our business relationship. Mr. Combs has repeatedly undermined our partnerships and threatened to publicly defame Diageo if we did not meet his unreasonable financial demands,” Diageo said in a statement. “Diageo believes strongly in the CIRÔC and DeLeón brands and remains committed to their success, which is why we tried for years to salvage the broken relationship with Mr. Combs. We funded the purchase of DeLeón for the joint venture and proceeded to invest more than $100 million to grow the brand. Despite having made nearly a billion dollars over the course of our 15-year relationship, Mr. Combs contributed a total of $1,000 and refused to honor his commitments.”
The company added: “We have exhausted every reasonable remedy and see no other path forward.”
18 comments:
Been pushing liquor on our people for all this time for YT.
Looks like they tried to use Diddy but instead got out hustled. If What they said is true about Diddy making a billion over 15 years but only paid a thousand dollars in expense capital…
Win for duddy
I wonder who the next Black person Ciroc gonna get to push liquor on our people. Any ideas?
Diddy got paid. $1 Billion in 15 years. Great for him.
I honestly don't believe anyone cares. He has consistently used the black community to fatten his pockets, only to brag about his wealth and flaunt it. If it wasn't for black people buying his products, he would have nothing.
I heard Ciroc taste nasty.
I’ll buy that deal for a $1.
For 8:28 and 8:06pm it’s that type of thinking that got diddy looking crazy I know a lot of us don’t understand contracts and splits so let me break it down because I respected this. Diddy is a brand ambassador he does not own any part of the company. HOWEVER just like Kanye he was able to use that company wanting to claim billionaire status without actually being a billionaire same as Rihanna. That’s why when kanye got cut from addias over night he was no longer a billionaire. So watch how diddy net worth plummets the truth is coming out these ppl don’t own anything they claim to own! They are liars and they don’t have the money they claim to have. This company just put him in front street so that the world knows he only put in 1k to be a brand ambassador he owns nothing and therefore he will no longer be getting nothing he got paid to promote. So he ain’t winking he is actually losing and no he ain’t never played chess.
Hopefully he's getting ready to get all the harm he's done.
Sounds like they didn't have the money to fight him in court.
Im thinking its Ice Cubes turn
Diddy is trash. That’s what he gets for what he did to all his artist and his former babysitter. God don’t Ike ugly. And he’s so darn cocky. I can’t stand that. Those kids are going to be trash too
@1003
I just don't trust him
I wonder if this was Diddy's plan? Because, say what you want about Diddy, he's usually a smart, shrewd, business man. Why would you defame a billion dollar client, for more coins, knowing that 1. You're only a brand ambassador 2. You only invested $1k, to their $100 million dollars, into the venture? That is like a new level of stupid if he really expected them to pay him more than they were contractually obligated smh. Either way, I'm interested to see how this will all play out, cause, Diddy ain't made it this far in the industry, with zero talent, only to be humiliated and his net worth deflated. More to come folks...
8:38 and 8:40, that part.
He started the brand as urban. Holding bottles of Ciroc in the rap videos with half naked women in the hot tub and booty shaking in the clubs.
Once you start the brand as a Hip Hop libation, the higher end ppl want buy in to the product. There are too many other top shelf options.
He got greedy with his share of the earnings.
@8:40 incorrect about Rihanna. She owns 50% of Fenty Beauty and 30% of Savage X Fenty. She is an actual billionaire.
His ultra competitive nature the hood booger in him pushed him to attempt to make a great stride ahead in wealth accumulation after seeing the success Jayz had in a similar situation he is not a idiot as pointed out by @7:44 he is for sure in a position threw associations to re eneter the alcohol business in a way that better serves his longterm goals but pushing for it where he was currnetly had to be tried first its the smart thing to do when you have a winning product established market and working plan starting anew requires the establishing of a new product marketing of new product and time to reach the current stations the Diageo sku's were at sure he didn't bet the farm on the successful outcome of his litigation without a contingency plan if it failed best case he hoped to gain equity worst case he was cut loose to go use his skills at promotion to push a product he had equity in from the start.
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