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Tattersall Distilling faces eviction over alleged unpaid rent; owner blames IT 'hack'

The building's management company, JGS Management, LLC, claims Tattersall Distilling has not made a rent payment since July 2023.

MINNEAPOLIS — The landlord of a popular distillery in northeast Minneapolis alleges the business is indebted more than $120,000 in unpaid rent, prompting the building's management to file an eviction complaint.

According to court documents, the building's management company, JGS Management, LLC, claimed Tattersall Distilling has not made a rent payment since July 2023, amounting to a total unpaid balance of $121,717.64 as of Jan. 5. The complaint said the amount includes Tattersall's pro rata share of operating costs, real estate taxes and insurance premiums, as well as late fees and interest accrued for past-due payments.

JGS alleges Tattersall Companies, LLC, has violated its lease agreements for the distillery, located at 1620 Central Ave. NE, Suites 150 and 149, which were entered into on Dec. 31, 2014 and June 23, 2016, respectively. The first space, Suite 150, included 8,824 square feet, while the deal to acquire Suite 149 added another 5,494 square feet.

As a result of the alleged late payments, JGS charged Tattersall a late fee of $25 and added 18% interest on the total amount owed per month. JGS goes on to say it has the right to evict tenants who don't meet required lease agreements with "no obligation" to give prior notice. 

The management group is also requesting Tattersall be responsible for any outstanding "costs, disbursements and attorneys' fees."

In a statement provided to KARE 11 on Wednesday, co-founder and chief officer for Tattersall Distilling said the alleged missed payments were due to the landlord's IT system being "hacked."

"We are currently litigating the issue. It appears that our landlord's IT system was hacked and caused issues for the landlord in receiving our payment. We are working with authorities to attempt straightening things out and getting the dispute resolved.”

The two parties will meet in a Hennepin County court hearing Wednesday afternoon.

Tattersall opened a second location in River Falls, Wisconsin in 2021, citing restrictive liquor laws in Minnesota.

KARE 11 also reached out to JGS Management for comment, but has not yet heard back.

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