Snoop Dogg and Master P are suing Walmart and food manufacturer Post Consumer Brands over claims the companies colluded to sabotage the rappers' cereal brand.
Snoop Dogg, whose real name is Calvin Broadus, and Master P, whose real name is Percy Miller, launched their company Broadus Food in 2022 with the hopes of creating diversity and inspiring minority-owned opportunities within the food industry.
In the 34-page lawsuit, the plaintiffs allege that when they approached "breakfast juggernaut" Post to get their product Snoop Cereal on retail shelves, the company tried to buy the rappers' brand outright.
After the pair declined, believing a sale "would destroy the whole purpose of leaving the company to their families as a legacy," the manufacturer and Broadus Foods instead entered an agreement to split profits while Post produced and distributed Snoop Cereal as its own product to major retailers, including Walmart.
But Broadus Foods alleges Post's "diabolical actions" amount to an "underhanded dealing," saying it only appeared as though it was following the agreement while it intentionally kept a competitor, Snoop Cereal, off its retailers' shelves. This forced Broadus Foods to "incur exorbitant costs that would eliminate any profit," the lawsuit states. "Essentially, because Snoop Dogg and Master P refused to sell Snoop Cereal in totality, Post entered a false arrangement where they could choke Broadus Foods out of the market, thereby preventing Snoop Cereal from being sold or produced by any competitor," the lawsuit says.
The plaintiffs say Walmart's treatment of Snoop Cereal serves as the "most egregious" example of Post's "bad faith dealings."
After launching in the retailer's stores nationwide in July 2023, Broadus Foods claims its cereal was an "immediate success," but months later, customers couldn't find the product, as Walmart listed it as either out of stock or sold out.
However, the lawsuit states alongside alleged photo evidence that certain stores that claimed they had no Snoop Cereal actually had boxes in stockrooms that were "coded to not be put out on the store shelves."
"Post essentially worked with Walmart to ensure that none of the boxes of Snoop Cereal would ever appear on the store shelves," the lawsuit continued. "This automatically resulted in losses to the product, which cut into the profits that Broadus Foods was supposed to receive from the agreement."
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In a statement, a Post spokesperson told Billboard it made "substantial investments" in Broadus Foods and that it was "equally disappointed that consumer demand did not meet expectations."
Separately, a Walmart spokesperson said it "values our relationships with our suppliers, and we have a strong history of supporting entrepreneurs." It also stated consumer demand, price and other factors can affect a product's sales and said it would respond "as appropriate" in court once served.
Broadus Foods is represented by prominent attorney Ben Crump. In a statement, he said the case highlights the "steep challenges" minority-owned businesses face in getting fair market opportunities.
"If Post and Walmart are able to do this to popular businessmen such as Snoop Dogg and Master P, then they definitely will do it to the mom-and-pop and minority-owned companies who do not have the ability to defend themselves," Crump wrote in the lawsuit.
Broadus Foods is seeking damages exceeding $50,000 and further relief determined at a jury trial.
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