Diageo Wins Delay In Diddy Case Until 2024
November 16, 2023Diageo won a delay in its ongoing legal battle with Sean “Diddy” Combs over the DeLeón and Ciroc brands, as Diageo was a granted a stay that allows it to continue its appeal in a lower court to send the dispute to arbitration, while pausing Combs’ current suit against the company in the New York court system.
The appeal is set for next spring and will determine whether Combs’ suit will proceed in court or whether the two parties will sort out the issue in arbitration. Diageo claims that the dispute must go to arbitration due to a dispute resolution provision in the contract between the two. Combs’ attorneys claim that the case must be heard in court due to an exception in the contract “for claims for equitable relief.”
Currently, Diageo has initiated arbitration before the International Chamber of Commerce and argues that Combs is improperly attempting to shift some of his disputes with the company to the courts. Ultimately, the appeals court will rule on whether to send the case to arbitration in April 2024. Diddy claimed earlier this year that Diageo typecast the DeLeón and Ciroc brands to Black consumers, holding them back in the market, which Diageo denies. —Shane English
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