Bourbon industry woes continue: Foreclosure sale ordered on Kentucky distillery
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- Judge orders foreclosure, sale of 197 Soards Road property owned by Darin and Beth Dillow
- KTF lien claims almost $787,000; Rooftek holds a separate lien near $39,000
- Multiple lawsuits and liens reflect broader financial troubles in whiskey industry
A Scott County judge has ordered foreclosure and sale of property linked to a financially troubled Kentucky distillery now on the Kentucky Bourbon Trail.
The order, entered March 23, sends to the master commissioner the property at 197 Soards Road in Georgetown that is owned by Darin and Beth Dillow and listed as the address of LF Heritage Distilling Co., formerly known as Limestone Farms.
Limestone Farms, which joined the Kentucky Bourbon Trail despite its financial and legal troubles, is part of an ongoing wave of litigation involving the whiskey industry: Kentucky Owl and owner Stoli are in bankruptcy. Uncle Nearest in Tennessee is in a messy receivership. Garrard County Distilling Co. is in receivership and has been recently purchased by Sazerac. Luca Mariano in Boyle County filed for bankruptcy owing at least $34.5 million and is for sale. Whiskey House in Elizabethtown was subject to a lien from Buzick Construction. And Bardstown Bourbon Co. is being sued for discrimination.
The distillery once included Kentucky football legend Tim Couch as an investment partner and released a commemorative bottle honoring Couch’s 2024 induction into the College Football Hall of Fame. Couch and his brother, Greg, appear to be no longer involved and are not parties to the lawsuit.
The distillery is also involved in a separate lawsuit involving millions in liens for another Scott County property on Paynes Depot Road, where a distillery was to be built. That case is ongoing, with a hearing scheduled for April 2.
In that lawsuit, Colt Engineering Inc, doing business as Thoroughbred Engineering, has asked for that property to be sold to pay off more than $741,000 in liens owed to them. The property is owned by Dudley and Wanda Jennings, who are defendants along with Darin Dillow in that lawsuit.
According to LEX18, there are more than $5 million in liens on that property., where Limestone Farms Distilling hired Thoroughbred Engineering to design and build a distillery and visitors center. The property was cleared, but no construction appeared to have been done as of last summer. Another company, Woodford Excavation and Transport of Versailles, also filed a lien last year against Limestone Farms for nearly $1.3 million for site development work on the Paynes Depot Road property.
Soards Road property to be sold off
The Soards Road order stems from a legal dispute that began in 2025 over unpaid bills involving the construction of a distillery, bottling facility and associated commercial center to be built on the Soards Road property. The Dillows hired subcontractors for equipment and roofing work that was done by April but never paid for, according to the court records.
One of the contractors, KTF, filed a lien and claims a debt of almost $787,000. Scott Circuit Judge Jeremy Mattox found the Dillows liable for the claim as well as for one by Rooftek, which also has a lien on the property, for almost $39,000.
KTF also filed a claim of fraud against the Dillows, alleging they made false representations that induced the contractor to invest $480,000 in the distillery.
The judge did not rule on that claim in Monday’s summary judgment on the foreclosure.
At least three banks also have mortgage interests on the property, too, according to the judge’s order.
In a statement, Eric Eaton, attorney for KTF, said: “KTF feels vindicated that some of the debt that Dillow owes to KTF and its subcontractors will be paid from this sale. KTF looks forward to resolving the balance of the indebtedness owed by Dillow and his companies in due course.”
This story was originally published March 25, 2026 at 12:42 PM.