Just over a year after opening its doors, one of Kentucky’s largest new independent distilleries has come to a grinding halt.
Garrard County Distilling Co., a $250 million project located in Lancaster, Kentucky, appears to have ceased operations—at least temporarily—amid mounting legal and financial troubles. The ambitious distillery, built by Atlanta-based spirits company Staghorn, officially began production in January 2024. Less than 14 months later, the site now sits idle, the phones are disconnected, and its workers have reportedly been furloughed.
$2.2 Million Lawsuit and Unpaid Taxes
The shutdown comes in the wake of a $2.2 million lawsuit filed by general contractor Doss & Horky, the firm responsible for building the state-of-the-art facility. The contractor also filed a lien for the same amount with the Garrard County Clerk’s office. Reports suggest at least one additional lien has been placed against the property.
According to local news outlet WLEX 18, the distillery has furloughed staff for at least two weeks, with Lancaster Mayor Michael Gaffney confirming the temporary layoffs. Adding to the distillery’s woes, more than $250,000 in unpaid property taxes are reportedly due this April.
Leadership Changes and Ongoing Legal Battles
Staghorn founder Ray Franklin, who spearheaded the project and once described it as “one of the largest all-new distilleries in the country,” has now left the company. His vision included turning the 210-acre property into a powerhouse in bourbon production, complete with two 45-foot column stills, 18 fermenters, and plans for up to 24 massive rickhouses by 2030.
The company is currently embroiled in two other lawsuits, including a $1.2 million case against Kentucky Steel Buildings, Panels and Supply over a warehouse roof collapse in 2021, and another against American Industrial Contractors following a crane collapse in 2022. Both cases remain unresolved.
A Short-Lived Dream
Garrard County Distilling filled its first barrel on January 2, 2024, and quickly drew attention within the industry for its scale and ambition. The facility was designed not only to produce its own spirits but also to offer contract distilling services to other labels. At one point, it housed over 17,000 barrels of sourced whiskey from Wilderness Trail Distillery while waiting for its own bourbon to mature.
In February 2024, the company made headlines again when it hired veteran distiller Lisa Wicker, formerly of Lyons Brewing & Distilling Co., as its first master distiller. However, her tenure was short-lived, as she left the company just months later.
A Nod to History
The distillery’s flagship product, All Nations Whiskey, is a tongue-in-cheek homage to Carrie (or Carry) Nation, the anti-alcohol crusader born in Garrard County. Nation was infamous for wielding a hatchet and smashing saloons in the early 1900s. Franklin even transported her birthplace—stone by stone—to the distillery site to serve as a tourist attraction.
Industry-Wide Slowdown
The closure of Garrard County Distilling comes amid broader industry cutbacks. Diageo, the global spirits giant behind Bulleit Bourbon, has paused operations at its Lebanon plant and closed a bottling line elsewhere. Meanwhile, Brown-Forman, makers of Jack Daniel’s and Woodford Reserve, recently laid off 650 employees and shut down a Louisville cooperage.
What’s Next?
The future of Garrard County Distilling Co. remains uncertain. As the legal battles continue and the bourbon industry grapples with shifting demand, the ambitious project that once promised to redefine independent distilling in Kentucky is now a cautionary tale of rapid growth and unforeseen obstacles.
