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A Huge Class Action Lawsuit Alleges That Casamigos Tequila Is Just Sugar Water and Don Julio Has Been Gutted

  • A federal class-action lawsuit filed in May 2025 in New York accuses Diageo of adulterating Casamigos and Don Julio tequilas with cane sugar alcohol while labeling them as 100% agave products.
  • The suit follows allegations supported by new testing methods indicating significant cane alcohol in these brands, and claims Diageo misled consumers paying premium prices for inferior quality.
  • Plaintiffs include mixologists and restaurants who purchased these tequilas based on Diageo’s labels and assert the case highlights industry tensions between corporate brands and agave farmers.
  • Hagens Berman, representing plaintiffs, said Diageo marketed its brands as 'luxury' and 'super-premium,' while Diageo strongly denies adulteration and affirms full compliance with tequila standards.
  • The lawsuit could reshape the tequila industry by exposing alleged collusion on agave pricing and labeling practices, prompting calls for regulatory reform and greater transparency.
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L.A. TACO broke the news in Los Angeles, United States on Tuesday, May 6, 2025.
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