Global drinks company Diageo and renowned rapper Sean Combs, commonly known as Diddy, have announced the resolution of their legal dispute regarding their joint ventures in the spirits industry.
The conflict arose when Diageo terminated its collaboration with Mr. Combs in June, prompted by a lawsuit filed by the rapper.
In the legal action, Combs accused the drinks giant of racial neglect, specifically claiming negligence toward his tequila brand.
In a joint statement released on Tuesday, both parties confirmed that Mr. Combs had withdrawn all allegations against Diageo. They clarified that there is no ongoing business relationship between them.
Sean Combs voluntarily dismissed his lawsuits against Diageo “with prejudice,” indicating a resolution that puts an end to legal actions related to the matter.
It is important to note that the settlement comes amid various sexual assault allegations against Diddy. The rapper has consistently denied these claims, and the joint statement did not address or impact the ongoing legal issues surrounding these allegations.
The legal dispute originated in June when Diageo, known for brands like Johnnie Walker, Guinness, and Tanqueray, severed ties with Mr. Combs. The company cited dissatisfaction with Combs’ failure to fulfill commitments to finance DeLeon Tequila, a brand they jointly acquired in 2013.
Diageo asserted that it had invested over $100 million in DeLeon Tequila and had attempted for years to salvage the strained relationship with Sean Combs.
“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 said.