Update, Aug. 16 • The case was dismissed Thursday without prejudice, meaning it can be refiled. The motion to dismiss did not state a reason, and an attorney for the plaintiff, William McGeary, did not immediately respond Friday to The Tribune’s request for comment.
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Entrepreneur and “The Real Housewives of Salt Lake City” cast member Lisa Barlow is being accused of not paying debts — again.
In a lawsuit filed Tuesday in Salt Lake County’s 3rd District Court, Georgia finance man William McGeary claims Barlow and her husband, John, owe him and his trust $400,000. According to the complaint, McGeary loaned the money to help the Barlows cover expenses related to their tequila brand, Vida Tequila.
Barlow’s publicist did not immediately respond Thursday to The Tribune’s requests for comment. An attorney has not yet been named in this case, but Sean Eagan, who is representing Barlow in a lawsuit filed in June, said he was not aware of the new charges as of Tuesday afternoon and could not provide comment.
It is the third time this year someone has accused Barlow or her family of owing money on behalf of Vida Tequila. A former business partner sued Barlow in June for roughly $410,000 he claims she borrowed between 2010 and 2018 and has not repaid. The Financial Services Corporation also sued Vida and John Barlow in May for $105,954.16 in alleged unpaid loans. The Barlows have denied the charges in each case, according to court documents.
“I pay my bills and obligations and I always have,” Lisa Barlow said in a statement in June.
McGeary’s complaint claims the Barlows borrowed money from the McGeary Family Trust in order to source “raw materials” for Vida Tequila, but actually spent the money elsewhere and never paid it back.
(Camille Durtschi, The Salt Lake Tribune) | Vida Tequila is the liquor brand owned by Real Housewives of Salt Lake City cast member Lisa Barlow and her husband John.
According to the complaint, John Barlow approached McGeary’s son, David — who had known the couple for 20 years — and said Vida Tequila was struggling to buy “certain raw materials” because vendors were not convinced it had the money. David McGeary is not a plaintiff in the suit, but is an authorized agent of the trust, according to the complaint.
The McGeary Family Trust signed off on a $400,000 loan, with 5% interest, in December 2022, to be paid back a year later, according to the complaint. The loan could be converted to equity in Vida Tequila if both parties agreed, but the trust told Vida in November 2023 that it didn’t want equity; it expected its money back, plus interest, in a month.
McGeary claims Vida has not made any any payments toward its loan and has therefore violated its contract with the McGeary Family Trust.
The complaint also alleges the Barlows did not spend the loan money on the materials they claimed Vida Tequila needed. That story was a farce, McGeary claims.
The complaint does not specify how McGeary thinks the money was spent, but claims Vida already had “significant quantities of raw materials that did not change over time, suggesting both that the company had no need for raw materials, and that no new raw materials were acquired after the loan was funded.”
The McGeary Family Trust would not have offered the loan if not for the belief it would help VIDA Tequila buy necessary materials, the complaint claims. It is a misrepresentation McGeary’s attorneys claim amounts to securities fraud.
Shannon Sollitt is a Report for America corps member covering business accountability and sustainability for The Salt Lake Tribune. Your donation to match our RFA grant helps keep her writing stories like this one; please consider making a tax-deductible gift of any amount today by clicking here.