Diageo rejects ‘flat earth’ Tequila purity claims

Diageo has moved to dismiss a Florida class action alleging its Don Julio and Casamigos Tequilas contain non-agave alcohol. In its filing, the company likened the plaintiffs’ testing theory to “someone claiming the earth is flat because he saw a test result somewhere that says his neighbour’s backyard is level.”

Diageo is fighting back against allegations that its top-shelf Tequila brands, Don Julio and Casamigos, are not as pure as their labels suggest. Late Wednesday night (28 October), the company filed a motion to dismiss a Florida class action lawsuit that accuses it of misleading consumers by labelling both brands as “100% agave.”

In a statement shared with the drinks business, a Diageo spokesperson said: “We have moved to dismiss this complaint as the allegations are implausible, lacking legal and logical merit. The plaintiffs hinge their allegations on a scientifically unvalidated test; this is simply copycat conjecture based on other sham complaints. As previously stated, we are confident in our defence as all bottled Casamigos and Don Julio Tequilas labelled as ‘100% agave’ are just that – proudly made from 100% Blue Weber agave.”

‘The equivalent of claiming the earth is flat’

In its motion, Diageo argues that the plaintiffs’ entire case rests on “incomplete and vaguely described results from a single European company’s test”, which it says has “no scientifically proven or even demonstrated applicability to Tequila.”

The company goes on to ridicule the testing method, writing that the theory is “the equivalent of someone claiming the earth is flat because he saw a ‘test’ result somewhere that says his neighbour’s backyard is level.”

It continues: “[Plaintiffs] unsuccessfully try to alchemise rumour into fraud, internet speculation into evidence and conjecture into liability.” Diageo also stresses that the plaintiffs have failed to identify any flaw in its “meticulous and rigorously monitored” production process, nor any whistleblower among “the hundreds if not thousands” involved in making its Tequilas.

The science of Tequila purity

At the heart of the case lies the definition of what makes a Tequila “100% agave.” According to Mexican regulation NOM-006, overseen by the Consejo Regulador del Tequila (CRT), only Tequilas produced entirely from the sugars of the Blue Weber agave may bear that label. Spirits containing up to 49% sugars from other sources are legally “mixto” Tequilas.

Premium agave, premium prices

The case comes amid a global Tequila boom. Casamigos, co-founded by George Clooney and bought by Diageo in 2017 for up to US$1 billion, sold around 3 million cases in 2023, making it the world’s fourth-largest Tequila brand. Don Julio remains another stalwart of the high-end category.

Both brands proudly market themselves as “100% Blue Weber Agave,” a claim that justifies their premium positioning. As per the CRT, Diageo’s Tequilas meet all Mexican regulatory requirements and are approved by the US Alcohol and Tobacco Tax and Trade Bureau (TTB).

Industry eyes on the outcome

If the case proceeds and the plaintiffs succeed, it could shake confidence in the premium agave category. As per court documents, the plaintiffs argue they paid “top dollar” for authentic 100% agave Tequila and would have chosen differently had they known otherwise.

For now, Diageo is standing firm. The company insists it relies not on “a single scientifically unproven, post-production test” but on “a robust, real-world version of multi-factor authentication” to ensure authenticity at every stage of production.

With the motion to dismiss now filed, the next round in this agave-flavoured legal battle will depend on whether the court finds the plaintiffs’ “flat earth” theory holds any water.

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