On July 28, 2020, the U.S. Securities and Exchange Commission (SEC) accused six individuals and their companies with securities fraud in connection with two cannabis-related businesses in California that raised $25 million in an unregistered securities offering. The SEC’s complaint was filed in the Central District of California and seeks permanent injunctions, disgorgement of ill-gotten
Litigation
FDA Submits CBD Enforcement Policy to OMB
By Barak Cohen & Tommy Tobin on
On July 22, 2020, the U.S. Food and Drug Administration (FDA) submitted draft enforcement guidance for cannabidiol (CBD) industry for review by the White House’s Office of Management and Budget (OMB). The draft guidance is not yet available. No date or proposed deadline for producing a final policy, but this submission indicates that the FDA…
FDA Releases Report to Congress Regarding CBD
By Barak Cohen & Michael Bleicher on
Posted in Food and Drug Administration (FDA), Litigation
Yesterday, the FDA belatedly released a report in its progress towards CBD enforcement, as required by Congress.
Although the report repeats the FDA’s concerns regarding CBD safety, and fails to offer a useful timeline for a reasonable regulatory pathway for the CBD market, it also affirms a desire for a nuanced “risk-based” approach to CBD…
Multiple CBD Class Actions Filed With More Expected
On the heels of the U.S. Food and Drug Administration’s (FDA) recent declarations regarding the safety of products containing cannabidiol (CBD), several companies have been hit with class action lawsuits alleging that that the company’s CBD-containing products are mislabeled and falsely advertised in violation of state law. Further class action litigation is expected given the…