diff --git a/aci/convert/convert.go b/aci/convert/convert.go
index 54043a90c..c8134b7c4 100644
--- a/aci/convert/convert.go
+++ b/aci/convert/convert.go
@@ -95,6 +95,9 @@ func ToContainerGroup(aciContext store.AciContext, p types.Project) (containerin
 		if err != nil {
 			return containerinstance.ContainerGroup{}, err
 		}
+		if service.Labels != nil && len(service.Labels) > 0 {
+			return containerinstance.ContainerGroup{}, errors.New("ACI integration does not support labels in compose applications")
+		}
 		if service.Ports != nil {
 			var containerPorts []containerinstance.ContainerPort
 			for _, portConfig := range service.Ports {
diff --git a/aci/convert/convert_test.go b/aci/convert/convert_test.go
index c802082fe..2667e8756 100644
--- a/aci/convert/convert_test.go
+++ b/aci/convert/convert_test.go
@@ -235,6 +235,23 @@ func TestComposeInconsistentMultiContainerRestartPolicy(t *testing.T) {
 	assert.Error(t, err, "ACI integration does not support specifying different restart policies on containers in the same compose application")
 }
 
+func TestLabelsErrorMessage(t *testing.T) {
+	project := types.Project{
+		Services: []types.ServiceConfig{
+			{
+				Name:  "service1",
+				Image: "image1",
+				Labels: map[string]string{
+					"label1": "value1",
+				},
+			},
+		},
+	}
+
+	_, err := ToContainerGroup(convertCtx, project)
+	assert.Error(t, err, "ACI integration does not support labels in compose applications")
+}
+
 func TestComposeSingleContainerGroupToContainerDefaultRestartPolicy(t *testing.T) {
 	project := types.Project{
 		Services: []types.ServiceConfig{