A high-stakes legal dispute has cast new light on the fortunes behind French luxury brand Hermès. A legal complaint filed in Washington, D.C. accuses 82-year-old Nicolas Puech—an heir to the Hermès dynasty—of failing to transfer shares worth approximately €14 billion ($16 billion) under a private agreement.

Honor America Capital LLC, the plaintiff in the case, claims that Puech breached an agreement to transfer shares of Hermès International SCA. According to court filings, the deal was reportedly backed by Sheikh Tamim bin Hamad Al Thani, the emir of Qatar. Honor America Capital is seeking over $1.3 billion in damages.

Puech, a fifth-generation descendant of Hermès’ founder, denies any involvement. His legal counsel, attorney Grégoire Mangeat—now representing him alongside Fanny Margairaz—said Puech had no knowledge of the deal and only learned it through media reports.

Documents in the lawsuit appear to show signed agreements between Puech and Honor America Capital, with lawyer François Besse as a facilitator. A letter dated 27 February and signed by Honor America Capital chairman Abdulla Mishal Al Thani refers to full funding commitments and expectations of completing the transaction.

However, by March, the agreement reportedly collapsed. According to the filings, Besse informed the buyer that the Hermès shares could not be retrieved from Lombard Odier, a Geneva-based custodian bank. The bank declined to comment on the matter.

The case shines a spotlight on growing Gulf investment in the European luxury sector. Qatar’s sovereign wealth fund and affiliated entities currently hold high-profile assets such as Harrods in London and fashion houses Valentino and Balmain through investment firm Mayhoola.

Ownership of Puech’s Hermès shares has long been shrouded in mystery. In 2010, tensions escalated after LVMH, under CEO Bernard Arnault, quietly acquired a stake in Hermès—a company long held tightly by family members. A 2014 settlement resulted in LVMH distributing those shares back to its shareholders and agreeing not to buy more for five years. Puech later stepped down from Hermès’ supervisory board, though questions surrounding his personal holdings remained unresolved.

In 2023, Puech launched legal proceedings in Switzerland against his former wealth manager, Eric Freymond, alleging mismanagement of his assets. Freymond denied the claims, and a Geneva appeals court found that Puech had voluntarily handed over control and had the authority to revoke the arrangement. The court concluded that while Freymond had managed two Swiss accounts containing Hermès shares from 1998 to 2022, Puech remained the legal owner and had not been misled. Puech did not appeal the 2024 ruling and continues to claim he lost access to the assets.

The most recent U.S. filing names Borysthene LLC, a Delaware-based entity reportedly linked to Puech, as a party to the disputed agreement. Freymond is also listed in the documents as a “consultant”, although his specific role remains unclear.

Hermès has declined to comment on the ongoing case. According to Bloomberg, if Puech still holds the 5.7% stake once attributed to him, he would be Hermès’ largest individual shareholder. Last week, Hermès surpassed LVMH in market value, reaching a valuation of €249 billion and becoming the most valuable company on France’s CAC 40 stock index.

As the lawsuit unfolds, it adds another layer to the long-running legal and financial saga surrounding one of Europe’s most prestigious fashion houses. The outcome could influence Hermès’ shareholder structure and reshape future Gulf investments in luxury.