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Heaven Hill challenges ‘100% agave’ lawsuit

Kentucky-based Heaven Hill Brands has filed a motion to dismiss a class action lawsuit alleging that its Lunazul Tequila is falsely marketed as ‘100% agave’.

Lunazul Tequila
Lunazul Tequila became a million-case brand in 2023

In November last year, consumer Joel Sylvain filed a class action lawsuit against US spirits company Heaven Hill in Florida’s Southern District Court.

His legal action, like many others filed in the US last year against other Tequila producers, accuses the company of deceptive advertising, misrepresentation, negligence, and unfair trade practices over the claim that Lunazul Tequila is made with 100% Blue Weber agave.

The plaintiff claims scientific testing shows the Tequila contains alcohol derived from non-agave sources, meaning consumers paid premium prices for a product that was not ‘100% agave’ as stated.

The complaint relies on Nuclear Magnetic Resonance (NMR) testing, which allegedly showed isotopic signatures inconsistent with pure agave ethanol.

Through the lawsuit, Sylvain is seeking financial damages and refunds, and a court order forcing the company to stop ‘misleading’ marketing and disclose Lunazul’s ingredients.

On 29 January, Heaven Hill filed a motion to dismiss the legal action.

Heaven Hill argued that the plaintiff’s claim should be made in Mexico, rather than the US.

The filing noted the US has “long recognised Mexico’s exclusive authority over Tequila production through treaties, international agreements, a registered certification mark, and numerous US regulations”.

Heaven Hill said the complaint was “a collateral attack on Mexico’s exclusive sovereign authority to determine what is and is not 100% agave Tequila and how Tequila, which can only be made in Mexico, must be labelled”.

A decision on the case in a US court would upset the trade relationship between the US and Mexico, Heaven Hill believes, and impact the legal recognition of distinctive products like Tequila from Mexico and whiskey from the US.

The motion to dismiss document stated: “Heaven Hill has no say over how Mexico regulates growing agave plants, producing Tequila, authenticating Tequila as compliant with Mexico’s Tequila standards, or deciding what must or must not be listed on Tequila labels.”

The Spirits Business has approached Heaven Hill Brands for comment.

Similar legal action over ‘100% agave’ claims has been filed against Diageo, retailer Costco, Cincoro Tequila, and Kendall Jenner’s 818 brand.

Last November, Diageo filed a motion to dismiss class action lawsuits in New York and Florida, arguing the allegations against its Don Julio and Casamigos Tequilas are “baseless”.

Founded in 2002, Lunazul is produced at the Tierra de Agaves distillery in Jalisco, Mexico, alongside Casa Obsidiana.

Lunazul Tequila sold more than one million nine-litre cases for the first time in 2023.

According to The Brand Champions 2025 report, Lunazul experienced the largest percentage increase of the Tequila category’s million-case brands with a rise of 37% in 2024. The brand sold 1.7m nine-litre cases in 2024, becoming the ninth biggest-selling Tequila in the report.

Heaven Hill is also the owner of Ocho Tequila, after purchasing its parent company in 2022.

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