Arkansas cannabis companies face lawsuit over THC claims

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Regulators are tightening their grip on the marijuana industry to force them to play fairly

Failure to follow regulations on tetrahydrocannabinol (THC) levels is causing a number of medical marijuana companies in Arkansas to suit up and go to court. That’s because three Natural State residents filed a federal lawsuit against four medical marijuana firms operating in the state.

According to the recent lawsuits, these licensed companies are being accused of altering THC levels on product labels. Being a service dedicated to the medical cannabis market, residents did not hesitate to take legal action and file a lawsuit.

“Each Plaintiff files this suit to vindicate the federal laws prohibiting the cultivation and sale of marijuana and their rights under the Racketeer Influenced and Corrupt Organizations Act (“RICO”). Each Plaintiff is in “chronic pain and has been prescribed medical marijuana by a physician,” reads the Plumlee et al. v. Steep Hill Inc. et al. lawsuit.

Bold, Osage Cultivation and Natural State Medicinal are among the companies being sued. However, Steep Hill, Arkansas, of Steep Hill Inc. is the one being primarily accused of wrongdoing.

The plaintiffs apparently took the time to independently test products obtained through dispensaries. They described THC levels as being inflated by as much as 25% on average, which they claim is unacceptable and in violation of state regulations.

“We noted over time that some marijuana was more potent than others, despite being labeled with similar amounts of THC,” expressed plaintiffs Don Plumlee, Jakie Hanan and Pete Edwards. In addition, they went on to argue that if excessive THC levels equate to more positive sales results, then a concerted effort to mark those THC levels on certificates of analysis will lead to consistently higher sales.