Lil Baby just took his business partner to court over some seriously contaminated hemp products that were never supposed to hit the market.
The Holding Co. filed a lawsuit against Bay Smokes on Monday, April 6, for selling WHAM-branded products that contained over 22 percent total THC, far exceeding the federal limit of 0.3 percent.
The joint venture began in 2024 with the understanding that Bay Smokes would distribute only low-THC, federally legal hemp available for nationwide shipping.
Testing revealed the products weren’t just too potent, they were also contaminated with E. coli, yeast, and mold, which is absolutely unacceptable for anything consumers are supposed to use.
Bay Smokes founders Will Goodall and Katiana Kay completely dropped the ball on quality control and product safety standards.
The Holding Co. owns the WHAM trademark, which is Lil Baby’s nickname and the title of his chart-topping 2025 album, so this brand carries serious personal and financial weight for him.
The Holding Co. sent a cease-and-desist letter in February, but Bay Smokes ignored it and continued pushing the contaminated products.
The lawsuit alleges trademark infringement, trademark dilution, and false advertising, claiming that Bay Smokes used erotic marketing videos to promote the WHAM brand without authorization. Lil Baby has been building his business empire beyond music, and this legal action shows he’s not playing around when it comes to protecting his brand investments and reputation.
The company is seeking unspecified damages for the trademark violations and the damage done to the WHAM brand’s reputation in the marketplace.
This situation is serious because consumers could have been seriously harmed by products contaminated with dangerous microbes and illegal THC levels.
Billboard reported on the lawsuit details, highlighting how the hemp industry’s regulatory challenges continue to create problems for legitimate businesses trying to operate properly.
The Holding Co. says Bay Smokes falsely claimed in advertising that it owned Lil Baby’s trademarks, creating a harmful association with the rapper’s brand.