LVMH, the world's biggest luxury goods group - owning brands such as Louis Vuitton, announced Thursday it plans to sue Tiffany - as their plans for a sparkling marriage turned messy.
LVMH claims the diamond retailer botched its handling of the coronavirus crisis.. an accusation meant to bolster its argument for scrapping the $16 billion deal.
The French conglomerate announced this week that it would not be able to complete the deal after the French government requested it delay the acquisition... citing the U.S. threat of additional tariffs on French products.
This, LVMH argued, made it impossible to meet a contractual Nov. 24 deadline.
Tiffany itself had already filed a lawsuit against LVMH in Delaware - to force it to complete the deal as agreed last year.
The looming legal battle pits two of the biggest names in global luxury against each other at a time when the industry has been hit hard by the pandemic.
LVMH said in a statement on Thursday that it "was surprised by the lawsuit filed by Tiffany," calling it unfounded and promising to "defend itself vigorously."