Spirits giant Diageo is cutting ties with Diddy following a lawsuit he filed against the company last month, alleging racism in the handling of his Cîroc vodka and DeLeón tequila brands.
Diddy is seeking billions of dollars in damages in other legal proceedings against Diageo, as he claims that leadership at the company told him they were limited to "urban" neighborhoods to sell his products because of his race. Diddy also alleges that he was told that his race is the reason for the stunted sales growth of his brands.
Diageo reacted to Diddy's lawsuit by denying his accusations, which they call a "sham action. Following a filing on Tuesday (June 27) to ask the court to compel arbitration or dismiss Diddy’s complaint, Diageo announced that they're severing ties with the mogul.
Their statement reads, "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. We have exhausted every reasonable remedy and see no other path forward."
Attorneys representing Combs Wines and Spirits reacted to Diageo's statement to end the partnership, stating that it was "like firing a whistleblower who calls out racism." They added, "It’s a cynical and transparent attempt to distract from multiple allegations of discrimination."
The attorneys added that Diddy "repeatedly raised concerns as senior executives uttered racially insensitive comments and made biased decisions. He brought the lawsuit to force them to live up to that contract, and instead, they respond by trying to get rid of him. This lawsuit and Mr. Combs are not going away."
Source: AP News
