Prime’s $68 Million Problem

Prime, the mega-popular beverage brand co-founded by Logan Paul and KSI, is facing some serious legal heat. Their supplier, Refresco, has hit them with a $68 million lawsuit, accusing Prime of breaching a major contract.

Here's What Happened

So, Refresco, a supplier with around 1,400 employees, says Prime ghosted them after promising to buy a whopping 55.5 million cases of drinks over three years. To keep up with this demand, Refresco claims they went all-in, investing heavily in a custom production setup just for Prime. But according to the lawsuit filed on August 2, things went sideways. By March 2024, Prime allegedly skipped a critical test run of the new machinery, and by April, they pulled the plug on the contract altogether—without ordering a single bottle from the new line.

Why Did Prime Back Out?

Refresco isn’t just pointing fingers at Prime’s sudden exit—they think there’s more to the story. The supplier suggests that Prime’s sales were on the decline by 2024, partly due to fading social media buzz and the usual seasonal dips. With a shrinking market and mounting lawsuits, Refresco argues that Prime might have been looking for an escape hatch.

More Legal Trouble

And speaking of lawsuits, this isn’t Prime’s only legal battle. Just last month, the U.S. Olympic and Paralympic Committee sued Prime for allegedly pretending to be affiliated with the Olympics—an honor reserved for Coca-Cola. There’s also an ongoing class-action lawsuit from April accusing Prime of mislabeling its caffeine content.

Yolk of the Matter

• Prime is being sued for $68 million by its supplier, Refresco, for allegedly bailing on a major production contract.
• Refresco claims Prime promised to buy 55.5 million cases over three years but cut ties without placing any orders.
• The supplier invested big in custom machinery just for Prime, but nothing was produced.
• Refresco thinks Prime pulled out due to slumping sales and mounting legal issues.
• On top of this, Prime is also facing lawsuits, including one from the U.S. Olympic Committee over false marketing.

With these challenges piling up and sales slowing down, it seems like Prime is stuck in a deadlock.