A Tennessee court has placed Uncle Nearest, the whiskey brand celebrated for honoring the legacy of formerly enslaved distiller Nearest Green, under receivership following a dispute over more than $100 million in loans.
Lawsuit Alleges Loan Defaults and Misuse of Funds
Farm Credit Mid-America, a Kentucky-based agricultural lender, filed a federal lawsuit on July 28th against Uncle Nearest, Inc., its affiliated companies, and founders Fawn and Keith Weaver. The suit claims the company defaulted on three loans worth ~$67 million, $22 million, and $15 million, with total outstanding debts exceeding $108 million.
The lender alleges the company overstated collateral barrel inventory by around $20 million, failed to meet loan covenant requirements, and sold barrels and future revenue streams without notification. They also allege that the Weavers diverted funds to purchase a $2.2 million Martha’s Vineyard property through a separate entity.
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READ THE STORYFounders Look To Former CFO & Fawn Weaver Asks Uncle Nearest Fans To ‘#ClearTheShelves’
In court filings and public statements before a gag order took effect, Uncle Nearest acknowledged being in technical default but said the problems stemmed from actions by former chief financial officer, Michael Senzaki.
The company stated it had repaid nearly $9 million in 2024 and $7.5 million so far in 2025. It argued that Farm Credit Mid-America knew about key business decisions at the time.
Fawn Weaver took to Instagram on August 3rd to refute the allegations. In a video on her page, she said that Uncle Nearest is seeing continued double-digit growth “against impossible odds” in terms of “revenue, volume, and velocity”. She stated that “Uncle Nearest is having its strongest year in the market, ever,” and invited whiskey fans to ‘#ClearTheShelves’ and demonstrate the brand’s vitality.
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She also encouraged Uncle Nearest fans and critics to pay close attention to the emails in the court exhibits, asking people to focus especially on the emails regarding the purchase of the Martha’s Vineyard Property.
On August 11th, the court imposed a gag order, barring all parties from making further public comments on the case.
Court Appoints Receiver
On August 14th, Judge Charles Atchley Jr. appointed a receiver to take control of Uncle Nearest and related entities. The order removed the Weavers from operational control, although they may remain involved in marketing to protect the brand’s reputation.
Judge Atchley Jr. said, “the court can craft a receivership order that still allows the Weavers to market Uncle Nearest and further build the brand. By keeping the Weavers involved in this way, they could mitigate any potential brand damage that a receivership might entail,” according to Kentucky.com.
Proposals for the receiver role are due by August 20th.
The Future of Uncle Nearest
Uncle Nearest Whiskey has expanded significantly in recent years and has won multiple industry awards. The brand was ranked number nine on The World’s Most Admired Whiskies list. It is also recognized as one of the most prominent Black-owned spirits companies in the United States.
The company was founded by Fawn Weaver, a bestselling author and entrepreneur who has become a high-profile figure in the whiskey industry.
The case is ongoing, and the future of the brand will depend on the outcome of the receivership process.
