Costco is facing a lawsuit for allegedly falsely advertising its Kirkland brand tequila as being made from “100% Blue Weber Agave”.
Kirkland produces five varieties of tequila, all labeled as “100% agave-based”. These tequilas are priced between $18.69 and $48.99 on Costco’s same-day delivery service.
According to a proposed class-action lawsuit filed on October 31 in the Southern District Court of Florida, the plaintiffs claim to have tested Kirkland tequila using “methods of peer review and scientific validation”.
Results from nuclear magnetic resonance tests confirmed that these tequilas “contain a substantial amount of ethanol not derived from the agave plant… mixed with ethanol other than Blue Weber Agave”.
The lawsuit points out that the product also fails to meet the necessary parameters for Mixto Tequila, which is typically made from 49% non-agave sugars and 51% Blue Agave sugars.
Consumers typically pay a premium for drinks labeled “100% Blue Weber Agave,” or may opt for other products or pay a lower price.
Mexican law mandates that tequila must contain at least 51% Blue Agave, with tequila made from 100% Blue Agave considered of higher quality.
By law, producers can add additives to tequila in quantities not exceeding 1% without labeling, often using colorants or sweeteners to ensure liquid consistency.
According to the Denomination of Origin regulations, tequila can only be legally produced in Mexico and within designated regions to ensure it is made specifically from Blue Agave plants.
The proposed class-action lawsuit accuses Costco of negligence, negligent misrepresentation, unjust enrichment, and violations of Florida’s Deceptive and Unfair Trade Practices Act and the Federal Alcohol Administration Act.
The lawsuit also states that Costco’s actions violate the Federal Alcohol Administration Act, undermining industry integrity.
Plaintiff Ariel Glazerare’s attorney from Florida is seeking jury trial and class-action certification, while also seeking a court order to prevent Costco from “continuing its false, misleading, and deceptive advertising and marketing practices”.
(Adapted from reports by USA TODAY and Spirits Business)