Snoop Dogg is accusing Walmart of sabotaging his cereal brand by hiding it away in storage rooms, potentially impacting its sales.
On Tuesday, Snoop and his business partner, Master P, filed a lawsuit against Walmart and Post Foods, alleging that the companies intentionally undermined their cereal brand.
According to a statement by their lawyer, Ben Crump, Snoop Cereal was “intentionally kept in the stockrooms of Walmart stores, marked with ‘no location’ coding, preventing them from being placed on the store shelves.”
Snoop Dogg and Master P allege they partnered with Post Brands to distribute their cereal in major retailers like Target and Kroger. However, the deal went sour when Post Brands declined to buy the brand outright.
“However, Post, despite agreeing to the partnership, allegedly sabotaged the success of Snoop Cereal by preventing it from reaching consumers through deceptive practices, especially at Walmart,” Crump said in a statement.
The cereal brand debuted in stores on July 15, 2023, and according to the rappers, it was “an immediate success with people scrambling to locate and purchase the cereal.”
Months later, customers and fans struggled to find the brand.
According to the lawsuit, Snoop and Master P stated that the cereal appeared “sold out” in stores, but Walmart employees found several boxes in stockrooms labeled “not to be put out on the store shelves,” leaving them there “for months.”
“Essentially, because Snoop Dogg and Master 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,” Crump said.
The brand, established in 2022, is one of the first high-profile black-owned cereal companies, with the goal of “inspiring economic empowerment by adding diversity into the grocery stores industry and creating opportunities for minority-owned food products and brands,” as stated in the lawsuit.
The lawsuit, filed in Minnesota, accuses Walmart of pricing the cereal as high as $10 per box in some stores to “force Broadus Foods out of the market.” Additionally, the boxes were frequently placed in the baby section instead of the cereal aisle.
The rappers accuse the brands of “diabolical actions” and seek monetary damages for breach of contract, fiduciary duty, and negligent misrepresentation.
“This underhanded dealing by Defendants cannot be accepted. 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,” the lawsuit read.
According to reports, the cereal brand is now being sold on Amazon for $5.99.
Walmart released a vague statement saying it “values our relationships with our suppliers, and we have a strong history of supporting entrepreneurs. Many factors affect the sales of any given product, including consumer demand, seasonality and price to name a few. We will respond as appropriate with the court once we are served with the complaint.”
So far, Post Brand hasn’t responded to the lawsuit but said in a statement: “Post Consumer Brands was excited to partner with Broadus Foods and we made substantial investments in the business,” the company said. “We were equally disappointed that consumer demand did not meet expectations.”
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