Diddy and alcohol giant Diageo were ensnarled in a nasty legal battle last year — but that’s old news now … ’cause TMZ can confirm both parties have buried the hatchet.
Both Diddy and Diageo tell TMZ simultaneously … “Sean Combs and Diageo have now agreed to resolve all disputes between them. Mr. Combs has withdrawn all of his allegations about Diageo and will voluntarily dismiss his lawsuits against Diageo with prejudice.”

