Flo Rida wins $82 Million in Lawsuit against Celcius
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Flo Rida wins $82 Million in Lawsuit against Celcius

In 2021, music artist Flo Rida and his company  Strong Arm Productions sued energy drink company Celsius. 

In 2014 the artist signed an endorsement deal with Celcius. In the original  agreement, provisions “relating to bonus and incentive compensation were broad and encompassed revenues to be derived as the brand developed and the product portfolio grew”. 

Furthermore, it was stated that Flo Rida, real name Tramar Dillard,  would “specifically contemplated that as Celsius profited in the future, additional compensation would be paid by Celsius in the form of shares of company stock and ongoing royalties”.

According to the lawsuit, Celsius agreed:

  • “To issue additional shares as bonus compensation once the Company achieved a specified dollar amount in ‘…gross cumulative Co-branded revenues in any twelve-month period during the Term…’ and;
  • To issue another additional number of shares as incentive compensation once the Company sold a specified total of ‘units of Co-branded Product through its channels of distribution following the execution of this Agreement …”

The lawsuit added: “Although both benchmarks were achieved, Celsius failed to notify Plaintiffs or issue the additional shares of company stock in breach of the 2014 Agreement”.

The lawsuit also claimed that, in the 2016 agreement, Celsius “agreed to pay a royalty per case sold of Celsius domestic ready-to-drink Sparkling Orange and a royalty per box of domestically sold powdered sticks”, but that the company failed to pay all royalties owed.

After not holding up their end of the contract is when charges were brought. over alleged breach of contract and for lack of compensation.

The long battle led to a jury in Florida awarding Flo Rida, $82.6 million in damages.

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