CLEVELAND — The state of Ohio requires strict oversight and approval for all marijuana marketing and advertising, and violations of these rules can result in hefty fines for dispensaries and marijuana businesses.
Since the legalization of recreational marijuana sales on August 6, Ohio dispensaries have generated $44 million in sales, with $11 million occurring in the fourth week alone. However, several companies have already incurred fines totaling $212,500 due to violations of the state’s strict advertising guidelines.
The Ohio Department of Commerce documented each violation, highlighting that the rollout of recreational marijuana has not come without penalties.
Summary of Fines:
- Greenleaf Apothecaries (The Botanist): $150,000 + $12,500 fine
- Standard Farms: $12,500
- Guaranteed Dispensary: $12,500
- Bloom Medicinals: $12,500
- Green Thumb Industries (GTI, The Rise): $12,500
Greenleaf Apothecaries (The Botanist): Operating five dispensaries throughout Ohio, The Botanist was fined $12,500 for using unapproved marketing content, including the phrase “Can you take me higher?” on its website. This infraction occurred before they had been certified for adult-use marijuana sales. Under Ohio law, all advertising must be pre-approved and meet specific guidelines (Ohio Administrative Code 3796:6-3-24).
Further violations occurred when an ice cream truck was allowed on dispensary premises on August 6, and a social media post advertised “Free Ice Cream.” These infractions, along with an oversized sign that was not attached to the dispensary’s building, resulted in an additional $150,000 fine.
Standard Farms: A medical marijuana processor based in Garfield Heights, Standard Farms was fined $12,500 for an email that falsely claimed the company had received approval for recreational marijuana sales. The company had not obtained state approval for the advertisement, which included the phrase “some HIGHlights below!”
Guaranteed Dispensary: Located in Montgomery, Guaranteed Dispensary was fined $12,500 for advertising on its website that it was both a recreational and medical dispensary, even though it had not yet been certified for recreational sales.
Bloom Medicinals: Bloom Medicinals, with locations across Ohio, was fined $12,500 for displaying an unauthorized billboard advertising “Bloom Medical Marijuana.” The company had not received pre-approval for the billboard, which also exceeded size restrictions. Bloom has since removed the sign and committed to following the marketing approval process moving forward.
Green Thumb Industries (The Rise): GTI operates The Rise dispensaries in several Ohio cities, including Cleveland and Toledo. In June, GTI sent an email to patients stating that its dispensaries would soon be open for both recreational and medical use. The email, sent without state approval, contained inaccurate information. GTI corrected the error within hours, but the initial message resulted in a $12,500 fine. They were also required to post signage clarifying the status of adult-use marijuana.
Ohio Department of Commerce Response: According to the Ohio Department of Commerce, all marijuana licensees must comply with state regulations regarding advertising. Public Information Officer Jamie Crawford emphasized that the department continues to monitor businesses for compliance, ensuring fairness across the board. “Violations are being taken seriously, and enforcement actions have been initiated against those who have failed to follow program rules.”
