Cavici & Co. Limited Sues Quesada, S.A.G. Imports

Cavici & Co. Limited, which claims to be the legal name of Regius Cigars Ltd., has filed suit against its former distributor S.A.G. Imports and its owner Manuel “Manolo” Quesada Jr.

In a lawsuit filed in Dallas County Court earlier this week, the company claims it is owed over $48,000 by S.A.G. Imports for prior invoices.

The complaint alleges that S.A.G. Imports—which is the operating name for the Quesada distribution company—would obtain cigars from the Plasencia factory, where the Regius brand is made. Quesada would then sell those cigars and would then be responsible for paying Cavici.

Cavici alleges that $157,076.73 of prior invoices remains unpaid from invoices dating from Nov. 20, 2015-Dec. 1, 2016. Of that $157,076.73, Cavici claims it is still owed $48,304.66 after a credit of $52,500 for advertising costs and $56,272.07 for unsold inventory are applied.

Quesada distributed Regius from mid-2012 until the end of April last year.

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Akhil Kapacee, who was last listed as a director of Regius, did not comment on the legal matter but rather described “a lot of what’s written” on halfwheel—this website—as “fake news,” before adding that he could not remember that last time he read this website.

It’s unclear what Kapacee’s role is at Cavici & Co. and he is not mentioned in the lawsuit. The lawsuit claims that Cavici & Co. Limited is doing business as Regius Cigars Ltd. A quick Google Search reveals a Hong Kong-based company by the same name that was incorporated on Aug. 24, 2016. The lawsuit claims that “Cavici is the owner of the international licensing rights for Regius Cigars.”

A July 2017 filing in Great Britain for “Regius Cigars Limited” indicated that Kapacee held between 50-75 percent of the shares and voting rights of that company, which has the same name and address—a London-based lawfirm—as the invoices included in the complaint filed in Dallas.

When reached by phone Manuel Quesada Jr. declined to comment stating that he had not yet been sent the complaint.

Last April, when the distribution agreement, both parties had complimentary words to say about the other.

“Notwithstanding, we are grateful to the Quesada family for their support over the years,” said Kapacee in a letter to retailers.

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While the lawsuit might not be of interest to consumers, those interested in Regius cigars can use the lawsuit to see a glimpse into what could be future cigars for the brand. An invoice on Aug. 5, 2016 shows approximately 500 items, many of which have not been formally announced by the company.

For context, new regulations by the U.S. Food & Drug Administration (FDA) took effect on Aug. 8, 2016. As such, many manufacturers imported hundreds—and sometimes thousands—of new cigars to the U.S. so that they could avoid having to seek pre-approval for those products.

The complaint is below.