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Diageo settles lawsuit with Diddy over spirits brands


Diageo reached a settlement with Sean “Diddy” Combs after the rapper and businessman accused the company of neglecting the two spirits brands he co-owned due to race.

In a statement Tuesday, the beverage giant said Combs has “withdrawn all of his allegations about Diageo and will voluntarily dismiss his lawsuits against Diageo with prejudice.” The company and the rapper will have no business relationship going forward, it said. Diageo will remain the sole owner of DeLeón tequila and Ciroc vodka. No financial terms of the deal were announced.

In the original lawsuit filed last May, Combs claimed Diageo did not follow through on investments into his alcohol brands and viewed them as inferior products that they only sold in urban locales. It alleged the brands did not receive the same resources as its other prominent celebrity spirits brands like George Clooney’s Casamigos tequila.

Combs’ ties to the spirits maker date back to 2007 when the company and the rapper partnered as co-owners of Ciroc. Diageo then purchased DeLeón in 2014.

The settlement follows reputational damage Combs faced regarding his personal life last year. The rapper reached an undisclosed settlement with singer Cassie, his former romantic partner, in November after she filed a lawsuit against Combs accusing him of sexual assault and physical abuse. That month, Diageo sought to prevent Combs from appearing in promotional material for DeLeón. The alcohol giant said in court documents the abuse allegations against him risked inflicting “devastating and permanent damage” to the tequila brand, NBC News reported.

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