In 2002, the group members, having matured both personally and professionally, came to the realization that a split with the Bad Boy label was necessary due to the lack of interest.[2] In search of greater creative control, 112 left Bad Boy Records in February 2002 and signed with Def Jam in July on their Def Soul-imprint, insisting that the breakup was amicable. They reiterated this "no-hard-feelings" attitude by going to Daddy's House to record a debut album for Def Jam. Disagreements remained over ownership rights to the 112 catalog of songs, and this album – the Def Jam debut disc was waylaid as a result, while negotiations ensued between Lyor Cohen of Def Jam and Bad Boy owner Combs. With both sides ultimately in agreement, Hot & Wet would eventually appear in November 2003.[2]
Hot & Wet's first single "Na Na Na Na" featuring dance hall legend Super Cat was released on July 22, 2003. It reached number 24 on the US Hot R&B/Hip-Hop Songs chart.[3] Second single "Hot & Wet" was released on September 22, 2003 and features rapper, Ludacris. It peaked at number 29 on the Hot R&B/Hip-Hop Songs chart.[3] The album's third single "Right Here for U" charted at number 72 on the US Hot R&B/Hip-Hop Songs chart on January 2, 2004, but was released as a digital download only.[3] Fourth and final single "Give It to Me" was released on April 13, 2004.
AllMusic editor Andy Kellman found that Hot & Wet offered "the same mixed bag of strong singles and inconsistent album cuts that fans have grown accustomed to since the 1996 debut [...] The overabundance of slow-tempo material weighs down the listen, which is especially problematic since the album is nearly 70 minutes in duration."[4] Jon Caramanica from Rolling Stone wrote that most of the "album moves at a snail's pace, though – an undifferentiated set of slooowww jams that suggest 112 are asleep at the wheel."[5] Laura Checkoway from Vibe found that "though Hot sizzles at times, lukewarm and robotically simple cuts dampen the party spirit [...] This crew’s at its best when it focuses on the bedrooms and dance floors. Yes, life has its blues, but with 112, we’ve come to expect nothing short of peaches and cream."[6]
Hot & Wet debuted and peaked at number 22 on the US Billboard 200 in the week of December 6, 2003, with first week sales of with 92,000 units.[7] It also opened and peaked at number four on the US Top R&B/Hip-Hop Albums chart.[8] By March 2005, the had album had sold 380,000 units in the United States, according to Nielsen SoundScan,[9] which was seen as a considerable decline compared to the 1.9-million selling release Part III (2001).[9] In 2005, Daron Jones commented on the album's commercial performance: "Hot & Wet wasn't a bad album. But the choice of singles helped make the album not as successful as it should have been, and some of the imaging was off."[9]