The Golden Rule is “Do to others what you want them to do to you.” It’s a basic rule that has somehow taken a wrong turn and gotten twisted in the case of Parlux Fragrances, Inc. and Shawn “Jay Z” Carter.
Parlux, a manufacturer and global distributor of prestige fragrances and beauty related products, is apparently suing rap mogul Jay Z for $18 million for a failed venture established in 2012. In their lawsuit, they allege Jay Z didn’t support the launch of the rapper’s signature cologne as planned. Jay Z missed high profile appearances on “Good Morning America” and at Macy’s that were set to promote the fragrance Gold Jay Z. He also declined to post on his social media accounts and develop additional colognes.
Parlux isn’t new to the fragrance game. They’ve successfully launched fragrances for Donald Trump, Paris Hilton, Jessica Simpson, Rihanna, Vince Camuto, and the list continues, on a licensee basis. Given Jay Z’s lack of support, the company says retailers are returning the inventory and they’re losing money. A three-ounce bottle of the men’s cologne sells for $72 at Macy’s, aftershave balm sells for $39.
Jay Z is countersuing, saying Parlux breached the agreement because they’ve failed to devote the required resources and money to promote the cologne, and they owe him more than $2.7 million in damages including unpaid royalties. Here’s the breakdown of Jay Z’s lawsuit: royalties due, $1,187,500; past due advertising costs, $1,528,425, and other damages for all the money he lost and the harm to his successful reputation. He also wants his lawyer fees paid by Parlux. Jay Z admits he has received some payments from Parlux.
A relationship that worked really well for presidential hopeful Donald Trump, who has launched multiple products with Parlux, has fallen flat for the rapper. In a 2015 press statement, Amy Steinfeldt, director of Global Licensing for The Trump Organization, sings the fragrance brand’s praises: “Parlux has done a wonderful job creating a sophisticated and luxurious scent that exudes the essence of the Trump brand. Their expertise in fragrance production and marketing continues to make them an exceptional partner for us. We are thrilled to be introducing Empire by Trump at Macy’s nationwide.”
Parlux expected to make $50 million from Gold Jay Z cologne sales within two years.
