Sean ‘Diddy’ Combs’ dispute with Diageo deepens as court unseals business details

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Rapper, producer and entrepreneur Sean “Diddy” Combs is asking the New York Supreme Court to enforce a 2021 agreement that requires spirits seller Diageo to treat his DeLeon tequila brand “at least as favorably” as its other tequila brands. | AP

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The newly public documents detail what Combs says was Diageo’s repeated disinvestment in DeLeon. As of last year, DeLeon was distributed in 3% of possible outlets, for example, while Don Julio was in 36%. DeLeon has been listed as “out of stock” in major markets at least ten times in the past year, the lawsuit says.

Combs claims Diageo’s decisions were often tinged with racism. He said he was adamant that DeLeon not offer flavored versions until customers had more time to learn about the brand. But Diageo went ahead and developed a watermelon flavor, even though Combs had previously warned the company to be careful about the racist history of watermelon in a brand aimed at Black consumers.

“His attempt to recast follow-up discussions regarding innovations for DeLeon is, as is his entire suit, disingenuous and self-serving,” Diageo said Wednesday in a statement.

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