Lil Baby’s hemp company is suing its joint venture partner for allegedly tarnishing the rapper’s reputation by shipping illegal, contaminated cannabis products across the country.
The claims come in a Monday (April 6) complaint filed by The Holding Co., an entity that owns several Lil Baby (Dominique Jones) trademarks, including WHAM, the rapper’s nickname and the title of his chart-topping 2025 album. The lawsuit targets cannabis company Bay Smokes, which signed a joint marketing venture with The Holding Co. in 2024 for a WHAM hemp brand.
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The crux of the lawsuit is that under this joint venture, Bay Smokes was only supposed to sell low-THC, federally legal hemp available for shipping nationwide. But The Holding Co. says it recently tested the product and found that it contained over 22% total THC, far above the federal limit of 0.3%.
According to The Holding Co., its WHAM product tests also revealed the presence of microbes, including E. coli, yeast and mold. As a result, the company says, Lil Baby’s name has now been unwittingly tied to both unsafe contamination and the interstate transportation of illegal drugs.
“[Defendants] associated plaintiff’s marks with unauthorized illegal cannabis sales, concealed sales, contaminated products and unlawful conduct, thereby creating a harmful and negative association with plaintiff’s brands,” reads the lawsuit, obtained by Billboard.
The lawsuit further alleges that Bay Smokes has falsely claimed in advertising that it owns Lil Baby’s trademarks, and that founders Will Goodall and Katiana Kay are inappropriately marketing the cannabis brand with “erotic videos.”
The Holding Co. says these issues have only worsened since it sent a cease-and-desist letter to Bay Smokes in February. Now, Lil Baby’s company is seeking unspecified financial damages for a slew of civil claims, including trademark infringement, trademark dilution and false advertising.
Bay Smokes did not immediately return a request for comment on Thursday (April 9).
