18 brands and investors are fleeing Sean “Puffy” Combs’ e-commerce site Empower Global after five women filed lawsuits against the rap mogul and/or his companies.
The first lawsuit was filed by Combs’ ex-girlfriend and former artist Casandra “Cassie” Ventura on Nov. 16, and settled on Nov. 17.
“This decision was made on the day that Casandra Ventura filed her lawsuit,” Annette Njau, founder of luxury-bag, eyewear, and apparel company House of Takura, tells Rolling Stone. “We take the allegations against Mr. Combs very seriously and find such behavior abhorrent and intolerable. We believe in victims’ rights, and support victims in speaking their truth, even against the most powerful of people.”
Attorney Symone Redwine (“Ready to Love” S2) broke down the legal specifics in a recent episode of The Pour Horsemen podcast.
According to Symone, Combs didn’t settle the $30 million lawsuit with Cassie — his insurance companies stepped in and settled for him to cut their losses.
Cassie retained prominent employment attorney Douglas H. Wigdor who has won numerous multi-million-dollar verdicts in employment discrimination cases in New York.
According to Symone, the lawsuit didn’t just name Combs, it named his companies since Cassie was considered an employee at the time of the alleged s*xual assault and abuse.
Symone said the lawsuit “triggered commercial liability insurance and it triggers another policy called directors and officers.”
Combs’ capacity as a director and CEO took away his ability to settle with Cassie since insurance companies can settle with or without his permission, according to Symone.
She compared the situation to car insurance companies that can settle claims without input from the driver/policyholder.
“State Farm gets to decide to settle, not you,” she said.
Symone added that corporate insurance companies also have the power to force Combs to resign from his companies. He has already stepped down as Chairman of Revolt TV.
Watch the video below.
