Thomas and Gail Chalmers, residing approximately 350 metres from Diageo's whisky bond in Bonnybridge, Falkirk, have initiated legal action against Diageo Scotland. In their lawsuit filed in the Court of Session in Edinburgh in 2017, the couple claimed damages amounting to £40,000 (US$48,389) due to alleged property damage caused by the facility. The Chalmers asserted that the release of ethanol into the atmosphere from the whisky bond resulted in the growth of black fungus, identified as baudoinia, which affected their house and outdoor furniture.
What is Whisky Fungus?
Baudoinia is a genus of fungi in the family Trichocomaceae. The most well-known species in this genus is Baudoinia compniacensis, also referred to as "whisky fungus" or "angel's share fungus." It is named after a mycologist, André Baudoin.
Baudoinia fungi are commonly found growing on the surfaces of buildings and structures near distilleries and other industrial facilities that produce alcoholic beverages, such as whisky distilleries. The fungus appears as a black or dark-coloured coating on surfaces, particularly on buildings and structures that have been exposed to ethanol vapours.
The name "angel's share fungus" refers to the phenomenon of alcoholic beverages like whiskey losing some of their volume to evaporation during the ageing process. The evaporated alcohol is known as the "angel's share." Baudoinia fungi thrive in the presence of ethanol vapours released during this evaporation, leading to the growth of the fungus on nearby surfaces.
The growth of Baudoinia fungus is mostly superficial, and it does not cause significant damage to the structures it colonises. However, its presence can be aesthetically displeasing, as it creates a blackened appearance on the affected surfaces. It is more common in regions with high humidity and near distilleries or industrial areas with significant ethanol emissions.
According to the couple, the fungus caused visible black staining on their roof and discolouration in the vicinity of several properties. They further alleged that the ethanol vapour emitted from the bonded warehouses also led to black, sooty deposits damaging their car, plant pots, trampoline, and playhouse.
Diageo strongly disputed these claims, but on June 30, 2023, Judge Lady Carmichael held the company liable for devaluing the Chalmers' property. In response, a Diageo spokesperson expressed disappointment with the court's decision and stated that the company is exploring options for an appeal.
The Chalmers purchased their house for £139,950 in 2002, and its value was revalued in May 2017 at £190,000-195,000 (US$242,600-248,984). The defence argued that the value of the house had diminished by approximately 5% to 10% due to the impact of the fungus on properties in the area.
The Chalmers claimed to have made continuous efforts to clean the fungus from their house and patio, using 16 bottles of bleach annually. Lady Carmichael deemed Diageo liable for the damages, highlighting the need for further investigation based on the allegations of excessive cleaning required.
Additionally, Lady Carmichael ruled that Diageo is responsible for the legal expenses of the Chalmers.
About Diageo
Diageo is a British multinational alcoholic beverage company headquartered in London, England. It is one of the largest producers and distributors of spirits, beer, and wine in the world. The company was formed in 1997 through the merger of Guinness PLC and Grand Metropolitan PLC, two prominent companies in the alcoholic beverage industry.
Diageo has an extensive portfolio of well-known brands across various categories, including Scotch whisky, vodka, rum, tequila, gin, and beer. Some of its notable brands include Johnnie Walker, Smirnoff, Captain Morgan, Baileys, Tanqueray, Guinness, and many others. The company's diverse brand portfolio allows it to cater to a wide range of consumer preferences and tastes.
The company operates in numerous countries and has a significant global presence. It has production facilities and distilleries in various locations worldwide, and its products are sold in over 180 countries. Diageo is committed to maintaining the highest standards of quality and craftsmanship in its products.
In addition to its own brands, Diageo has also acquired several other companies and brands over the years to expand its portfolio and market reach. It has made strategic acquisitions such as the purchase of Seagram's spirits portfolio in 2000, which included brands like Crown Royal, Captain Morgan, and Chivas Regal.
Diageo's success has been driven by its focus on innovation, marketing, and brand building. The company invests heavily in research and development to create new products and improve existing ones. It also implements marketing strategies to promote its brands and engage consumers globally.
Beyond its business operations, Diageo is also committed to corporate social responsibility and sustainability. The company has initiatives in place to promote responsible drinking, reduce its environmental impact, and support local communities.
As of my knowledge cutoff in September 2021, Diageo continues to be a prominent player in the global alcoholic beverage industry, consistently delivering a wide range of popular and high-quality brands to consumers around the world.
