McIlhenny Co, the owner of Tabasco sauce, has filed a lawsuit in Texas against Stoli Group and subsidiary Louisiana Spirits over the Stoli Halapeño Pepper flavoured vodka extension.
Louisiana-headquartered McIlhenny has alleged that initial meetings with Stoli Group were held to explore developing a co-branded pepper-sauce vodka in 2024, but the sauce-owner terminated the discussions. Late last year, Stoli Group unveiled a pepper-infused vodka under its namesake vodka brand.
“In other words,” McIlhenny has claimed, “when told ‘no’ by McIlhenny, [Stoli Group] took the Tabasco trade dress and, without authorisation, used it to create the infringing trade dress.”
In the court filing, seen by Global Drinks Intel, the company alleges that Stoli’s Halapeño Pepper Could cause confusion for consumers and “dilute the ability of the famous Tabasco trade dress to identify McIlhenny exclusively”.
The sauce producer also claims that the vodka’s bottle (pictured above, right) mimics Tabasco’s distinctive bottle shape, red cap, green neck label and overall colour scheme.
The revelations come in the same week that McIlhenny teamed up with Pernod Ricard’s Absolut brand to launch a co-branded flavoured vodka (below).
Located in its namesake state, Louisiana Spirits is a production facility owned by Stoli Group that also makes Bayou rum and Gator Bite rum liqueurs.
Global Drinks Intel has approached Stoli Group for comment.
Earlier this month, Stoli Group declared its US division, as well as the Kentucky Owl American whiskey business, as bankrupt, ending a year-long battle to save the pair. In November 2024, the company filed for Chapter 11 bankruptcy for Stoli Group USA and Kentucky Owl.
The voluntary submission, which CEO Chris Caldwell told Global Drinks Intel at the time would “enable us to conduct the financial restructuring required”, was then followed by the move to Chapter 7, meaning the operations will be the subject of a liquidation process.
