Parlux Fragrances

A New York appeals court has upheld the 2021 ruling against Parlux in Jay-Z’s lawsuit against the brand, confirming that the brand owes him nearly $7 million in unpaid royalties. While a 2022 report originally detailed a $4.5 million payout was owed, Billboard reported today that after losing its appeal, Parlux now owes Jay $6.8 million.

The company originally sued Jay-Z for breach of contract in 2016, asking for $67 million after claiming it had lost $18 million on a 2013 fragrance partnership with the rap mogul due to his refusal to follow through on his obligations to promote it. Among the accusations was one that Jay had foregone promotional appearances and kept a $20,000 prototype bottle after rejecting its design for use on the line.

Jay countersued, saying that the company had given him sketchy, inaccurate documentation on its financial health and failed to pay all the royalties he was owed over the course of the partnership. The 2021 trial took three weeks, after which a jury determined that Jay did not owe Parlux; then, New York Supreme Court Justice Andrew Borrok ruled Parlux owes Jay-Z $6.78 million in unpaid royalties, including interest.

Parlux’s appeal hinged on a belief that the trial judge had improperly instructed the jury about requirements in the contract about Jay-Z’s personal appearances. According to Billboard, Parlux can continue to appeal but has not indicated any plans to do so.

Last fall, Jay-Z walked away with a big legal win after Parlux Fragrances claimed that the rapper breached his contract by not promoting the failed “Gold Jay-Z” cologne. Parlux filed the lawsuit back in 2016 and said he “never once personally appeared” to promote the cologne, which Jay denied. A jury agreed with him and ruled that he did not breach his contract and that he was not responsible for the $67.6 million in damages that Parlux sued him for. Now, according to Complex which cites a report from Page Six, Jay-Z earned another court win against Parlux.

According to the report, an appellate court ruled that Jay and his company “are entitled to summary judgment on their royalties counterclaim.” As a result, they ruled that Jay is entitled to $4.5 million in royalties from Parlux. “The record is clear: Parlux sold licensed products after July 31, 2015, but failed to pay royalties on those sales,” Justice John Higgitt wrote in a statement.

Jay’s legal matters are not over yet. This summer, he’ll head to trial to settle a lawsuit between himself and Jonathan Mannion, the photographer who shot the cover for his 1996 debut album, Reasonable Doubt. Jay claims that Mannion has been using photos from the shoot for the cover art to make “thousands of dollars” selling prints and merchandise. He adds that when he asked Mannion to stop, the photographer requested “tens of millions of dollars” which sparked the lawsuit. The two attempted to settle things outside of court but failed to come to an agreement.

Jay-Z has racked up another legal victory today, avoiding a $67 million penalty in the process. Billboard reports that a Manhattan jury determined that the rapper/mogul did not breach his contract with Parluxe Fragrances for failing to promote the failed “Gold Jay-Z” cologne. The lawsuit, which was brought against Jay by Parlux in 2016, alleged he “never once personally appeared” to promote the cologne, didn’t help develop product-line extensions to help sell the main product, and never returned a $20,000 prototype bottle after rejecting the design.

Jay responded with his own lawsuit, not only denying Parluxe’s accusations but also accusing the brand of failing to provide accounting reports, business plans, promotional resources, or royalty payments. The case, which began in October, prompted Jay-Z to hire a private investigator to refute former Parluxe CEO Donald Loftus’ claims of ill health in a bid to avoid testifying and saw Jay deliver an impatient testimony in his own defense. “I wanted great products and these guys didn’t understand,” Jay reportedly said. “It was so frustrating working with them.”

According to Billboard, the verdict left both sides in the same place as when they started, awarding no money to either. While Parluxe claimed to have lost $18 million on the Gold Jay-Z cologne and sought $67 million in the lawsuit, neither Parluxe nor Jay, whose countersuit demanded around $6 million in unpaid royalties, got their target payment. Justice Andrew Borrok told the attorneys after the verdict, “You failed to prove your case, they failed to prove their case. You’re excused.”