Wine retailer sued over $3m of undelivered wine

Seven people have launched lawsuits against a high-end Californian wine retailer over claims it failed to deliver en primeur wine worth US$3 million.

Credit: Gordon Commercial Real Estate

Seven customers have filed lawsuits against Premier Cru in Berkeley, near San Francisco, according to reports in the local press, claiming they paid the merchant to buy Bordeaux en primeur wines on their behalf, which were never delivered.

Its owner John E. Fox told Berkeleyside.com that many of the disputes were a result of customers not understanding the length of time it takes to deliver en primeur wines, which are bought when still ageing in barrel. This means delivery can on occasion take several years, however most high-end retailers deliver en primeur purchases within three years.

It is the length of waiting time that has been contested by seven of the retailer’s customers, with Wine Spectator reporting that one was yet to receive a bottle of Brunello di Montalcino ordered in 2003. Another, Lawrence Wai-Mun Hui, told Berkeleyside.com that he had purchased 1,591 bottles of en primeur wine from 2009 to 2012, spending around $981,000 for bottles of Haut Brion, Cheval Blanc, Mouton Rothschild, Margaux and Petrus, but had received fewer than 10 bottles.

“Many of the wines Hui ordered from Premier Cru are now widely available from other vendors at prices lower than what Mr. Hui paid Premier Cru up front,” according to a lawsuit filed in federal court in August.

“For example, in August 2011, Hui pre-ordered 18 bottles of 2009 Cheval Blanc for $995 per bottle. This wine is immediately available for purchase online for less than what Hui paid. As another example, in March 2012 Hui ordered 24 bottles of 2009 Mouton Rothschild for $799 per bottle. This wine is available online for far less than Hui’s price from Premier Cru. None of these wines has been delivered to Hui nor has he been advised by Premier Cru that they are otherwise available.”

The company’s premises in Berkeley has since bee put up for sale by Gordon Commercial for $7.5 million.

All seven lawsuits against Premier Cru are pending.