According to news sources, 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. It added, “we have exhausted every reasonable remedy and see no other path forward.”
Diageo owns more than 200 different liquor brands, including Don Julio tequila and Casamigos tequila, which it acquired from celebrity founder George Clooney and his partners in 2017.
In his lawsuit, Combs alleged that Diageo had not given Ciroc and DeLeón the same kind of marketing and promotion it had given other properties in its portfolio. But Diageo argued that Combs had failed to meet obligations to which he had previously agreed.
Wow, who needs a drink after all that?
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