A lawsuit against Diageo over claims that the spirits brand mislead customers about some of its tequilas has a new plaintiff, according to a piece that ran in The Robb Report on July 10. The plaintiff is a San Francisco resident named Jacqueline Jackson. Jackson claims she paid premium prices for tequilas labeled premium agave, when she was really buying significantly lower quality mixto.
Jackson’s suit presents lab results indicating that Casamigos Blanco contains 33 percent ethanol from agave. The suit alleges that Casamigos Reposado contains just 42 percent ethanol from agave. If this data proves correct, they fall below the 51% level, marking requirements for mixto tequila.
Three plaintiffs filed the initial suit in May 2024: a restaurant in Brooklyn called Sushi Bar Tokyo Inc., Avi Pusateri, and Chaim Mishulovin, a bartender and drinks influencer. The lawsuit seeks $5 million in damages. The suit claims the group paid premium prices for falsely labeled bottles of Casamigos and Don Julio.
Mexico’s legal labeling system claims that for a tequila to bear the 100% agave label, it must feature exclusively Blue Weber agave. The lawsuit alleges that the plaintiff’s bottles of Don Julio and Casamigos contained additives like cane and “other types of alcohol,” which would classify these products as mixto.
The California lawsuit has put additional heat on Diageo with RICO allegations. According to AI Invest, the plaintiff alleges that Diageo “conspired with Mexico’s Tequila Regulatory Council (CRT) to classify the tequilas as ‘100% agave.'” Subsequent laboratory tests revealed other types of alcohol present in the spirit.
‘Baseless’ Allegations ‘Without Factual or Legal Merit’
Diageo denies all wrongdoing and is using its certification as evidence that it is complying with all laws and regulations. Reuters reported that Diageo issued a statement on Monday, calling the lawsuit’s allegations “baseless.”
“These claims are without factual or legal merit,” a spokesperson for the organization said in a statement, according to The Spirits Business. “The complaint fails to allege a single fact that comes close to supporting the baseless claims that Casamigos and Don Julio tequilas are not 100% agave.”
There’s a lot at stake for Diageo here, and if the courts rule in favor of the plaintiffs, Diageo could witness a class-action lawsuit to the tune of over $1 billion, and a loss of confidence in the brand.
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