Tilray being sued for discontinuing Bob Marley marijuana licensing deal

Tilray Brands TLRY is being sued for discontinuing the Bob Marley marijuana products licensing agreement, Green Market Report reports.

Docklight contends that pulling out the contract cost them licensing fees and royalties and resulted in Bob Marley's total loss of the license.

Docklight and Tilray parent High Park Holdings entered into a licensing arrangement with the state of the marijuana industry that would have allowed High Park to sell and advertise Bob Marley-branded cannabis products. After Tilray split with Aphria in 2021, High Park stopped making quarterly payments per the contract, which was worth $3.3 billion.

High Park says the payments were delayed because the new leadership team wasn t familiar with the deal, though docklight is now claiming management had enough time to look into it during the due diligence process before the merger.

The behemoth said it was too expensive to have the license, even though it was reporting strong sales of these products. Docklight alleges that High Park was selling Marley-branded goods without paying royalties, among other contract violations.

In addition, Docklight was not able to pay the licensing fees to the Marley estate, which resulted in the discontinuation of the license.

In Green Market Report, you can read more details about the case.

Tilray shares were trading 2.06 percent higher at $1.74 on Friday.