James Martin, the founder of Copa Di Vino, gained national attention after his appearances on ABC’s “Shark Tank” in 2011 and 2012, where he pitched his innovative single-serve wine product. Despite the exposure, Martin’s journey has been marred by controversy and legal challenges.
During his “Shark Tank” appearances, Martin’s confrontational demeanor, non-stop sweating during the business pitch, and refusal to negotiate deals led to friction with the show’s investors. Kevin O’Leary, one of the “Sharks,” expressed his frustration, stating, “I’m very frustrated with that guy”.
In addition to his abrasive negotiations, Martin misrepresented key aspects of his business. He falsely claimed to have created the methodology for bottling the wine and to own the patent. However, the US patent that Copa Di Vino “founder” James Martin claimed to hold was registered in France (CA2430159A1) and belongs to the French bottler, Pascal Carvin.
In 2014, Copa Di Vino partnered with 3G’s Vino, a distributor founded by Joseph Falcone. Unbeknownst to Martin, Falcone was orchestrating a fraudulent scheme, using the association with Copa Di Vino’s “Shark Tank” fame to solicit investments. He misappropriated approximately $527,000 for personal expenses, including paying off a Florida mortgage and funding online securities trading. In 2020, Falcone was sentenced to two years in prison and ordered to pay $1.8 million in restitution to seven investors.
Although Martin and Copa Di Vino were not implicated in Falcone’s fraudulent activities, the association brought negative attention to the brand. Martin stated, “Joseph Falcone did not pitch Copa di Vino on Shark Tank, nor was he ever an investor in the product… but was very saddened to hear that he was using our Copa di Vino brand to mislead investors”.
Further adding to Copa Di Vino’s legal troubles, in 2016, legendary filmmaker Francis Ford Coppola (The Godfather Trilogy) sued the Oregon-based vineyard, claiming that its ‘Winemaker’s Cut’ product was a copycat of Coppola’s own ‘Director’s Cut’ wine. The lawsuit, filed in California federal court, accused Copa Di Vino of trademark and trade dress infringement, as well as unfair competition.
The lawsuit highlighted similarities between the label designs of both wines and claimed that James Martin was fully aware of Coppola’s ‘Director’s Cut’ wine before launching his own similarly named product. The filing revealed that Martin had approached Coppola’s winery in 2011 with a proposed business venture, further proving his knowledge of the brand.
GMYL, the owner of Coppola’s wine-related trademarks, filed the claim on August 30, 2016, at the US District Court for the Central District of California, arguing that Copa Di Vino and Martin engaged in unfair business practices.
In 2020, Copa Di Vino was sold to Splash Beverage Group in a transaction valued at $5.9 million. Despite the sale, the brand continues to navigate the challenges stemming from its controversial past and the legal issues associated with its former distributor.
James Martin’s journey with Copa Di Vino serves as a cautionary tale about the complexities of business partnerships and the unforeseen consequences that can arise from associations with unscrupulous individuals.