Drain jar of peppers and place in blender with vinegar. Blend thoroughly until no chunks of peppers or seeds remain. Pour into a 5-qt or larger pot.
Blend sugar, flour, and spices in a mixing bowl. Add 2 cups of the mustard and blend well. Pour mixture into pot with pepper-vinegar mixture. Mix well, and cook on low heat for 15-20 minutes until sugar is dissolved and everything is well combined.
Add Jack Daniel's, and then turn heat up to high. Stir constantly until mixture comes to a boil, then add remaining 1/2 cup yellow mustard and stir well. Mixture should be thick enough to coat a spoon well, but if not cook until it does. Remove from heat.
Fill jars 1/2 inch from top and process 7 minutes in a water-bath canner.