Judge Dismissed Tequila Labeling Class Action Lawsuit
A federal court ruled that plaintiffs failed to prove consumer harm in their case against Diageo regarding tequila quality.
Updated on Oct. 1, 2026 in Cocktails
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A federal judge dismissed a class action lawsuit accusing Diageo of falsely marketing Casamigos and Don Julio tequilas as 100% agave. The court found that the plaintiffs did not demonstrate actual consumer harm or provide sufficient evidence.
Why it matters
The case centered on allegations of deceptive marketing that led consumers to pay premium prices for tequilas they claimed were not made of 100% agave. This ruling highlights the high burden of proof required for consumer protection class actions regarding product labeling.
The lawsuit, identified by case number 1:25-cv-02482-LDH-CHK, was dismissed due to the insufficiency of evidence derived from the analysis of only five product samples.
The players
Diageo
Diageo is a multinational beverage company that owns a diverse portfolio of alcohol brands, including Casamigos and Don Julio.
LaShann DeArcy Hall
LaShann DeArcy Hall is the US District Judge who presided over the case in Brooklyn.
The details
Plaintiffs had utilized independent laboratory testing to argue that the Diageo-owned tequila brands were not made of 100% agave as labeled. US District Judge LaShann DeArcy Hall ultimately rejected the claims, noting the lack of concrete evidence showing that buyers suffered specific financial harm.
Timeline
The class action lawsuit was originally filed in 2025.
The judge dismissed the class action lawsuit on September 30, 2026.
Roadmap
This case reflects broader trends in consumer litigation regarding the authenticity of premium spirits imported from Mexico. The ruling underscores the challenges plaintiffs face in using limited product sampling to prove systemic deception in the global spirits industry.
This dismissal means that current labeling practices for Casamigos and Don Julio will remain unchanged as the court has found no evidence of deception. Consumers who paid premium prices for these products will not receive restitution or damages related to these specific legal claims.
The takeaway
Product labeling disputes in the spirits industry often hinge on rigorous scientific evidence rather than general consumer sentiment. Shoppers looking for specific production claims should rely on verified certification labels rather than independent claims that may not hold up in court.
What happens next
The plaintiffs have the option to ask the court to reconsider the decision, which would be the next procedural step in this litigation.
Further reading
For more context on the regulatory standards for spirits, explore the Cocktails section.
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