Sponsor MessageBecome a KQED sponsor
upper waypoint

Lawsuit Could Shake Up Tequila Industry

Save ArticleSave Article
Failed to save article

Please try again

Bottles of Don Julio tequila line the shelves at San Francisco Tequila Shop in Bernal Heights on Aug. 19, 2025. (Gustavo Hernandez/KQED)

Here are the morning’s top stories on Friday, September 19, 2025…

  • Tequila is produced exclusively in Mexico and has become a star in California’s cocktail culture. More than 50 million cases of tequila were sold in the U.S. in 2023, with most of that consumed in the Golden State. And demand for tequila is growing faster than vodka, whiskey, and all other spirits combined. But this summer, several legal battles have begun which could shake up the entire industry. 
  • Bay Area immigrant advocates are suing the Trump administration to end its controversial immigration courthouse arrests, and stop detaining people for days in San Francisco holding rooms meant for only a few hours. 
  • When immigrants are detained by the feds, families often struggle to pay rent.  LA County officials are now trying to help these families.

What’s In Your Tequila? California Lawsuit Claims Some Labels Misled Consumers

Tequila has become the darling of California’s cocktail culture. According to industry data, more than 50 million cases of tequila were sold in the United States in 2023, a 7.6% increase from the previous year. And California is the biggest market for the spirit produced from the blue Weber agave plant grown exclusively in a handful of states in Mexico — a demand boosted by the state’s sizable Latino population.

A handle of tequila can range up to $100 and beyond, depending on the brand, with many premium labels promoting that their liquor is made up of “100% agave.” This kind of tequila usually costs more because it “takes more agave to make,” said Mike Morales, Los Angeles-based executive editor and tasting director of the industry magazine Tequila Aficionado. “It’s a big status symbol,” Morales said.

But a series of legal battles has begun this summer that could shake up the entire industry — one of them in the very state that has embraced tequila the most. A San Francisco resident has filed a class action suit in federal court against spirits giant Diageo — parent company of well-known tequila brands Don Julio and Casamigos — alleging the company intentionally misled consumers about the agave content in its tequila products labeled “100% agave” in order to profit from this deception.

The class action — filed in the U.S. District Court for the Northern District of California — claims to represent anyone “who purchased Diageo Premium Tequila Products” with the goal of recovering “financial losses sustained by consumers who were misled by [Diageo’s] false and misleading advertising.” This is actually the third lawsuit that Diageo faces from consumers regarding the agave content in their Don Julio and Casamigos brands, with one class action filed by consumers in New York in May and another in Florida shortly after.

Lawsuit Filed Over Immigration Courthouse Arrests

Bay Area immigrant rights advocates have filed a federal lawsuit against the Trump administration to end its controversial immigration courthouse arrests and stop federal officers from detaining people for days in a San Francisco holding facility not meant for overnight use. 

Sponsored

Since late May, U.S. Immigration and Customs Enforcement officers have been arresting asylum seekers and others in the halls of immigration courts in San Francisco, Concord and Sacramento. Lawyers say at least 85 people have been detained. “These arrests are often traumatic and needlessly violent,” the complaint said. “Immigrants leaving court are shackled and thrown to the floor while their families watch helplessly.”

The unprecedented tactic has triggered heated protests, with some activists attempting to block arrests and getting into clashes with ICE officers.

LA County Considers Reviving COVID-Era Eviction Policy To Aid Immigrants

Recent federal immigration raids in the Los Angeles area have separated breadwinners from their families, leaving many struggling to pay rent. In response, county leaders are reviving an idea dating back to the COVID-19 pandemic: pausing evictions for those who can’t pay rent on time.

The L.A. County Board of Supervisors voted 4-0 Tuesday, with Supervisor Kathryn Barger absent, to instruct county lawyers to report back to the board in two weeks on options for a new “eviction moratorium” related to the immigration raids.

The plan, as written, would be to target relief to “individuals or households that have been financially impacted, lost employment or had family members taken by federal agents.” The county’s proposal will need further consideration and approval in future votes before any new limits on eviction are enacted.

The board also voted Tuesday to approve a new $30 million rent-relief program designed to assist tenants affected by the federal immigration detentions, as well as those who lost homes or income in January’s fires.

lower waypoint
next waypoint
Player sponsored by