FTC Issues Warning Letters To Three CBD Companies

Husch Blackwell LLP

The Federal Trade Commission (FTC) sent Warning Letters to three companies that sell products containing cannabidiol (CBD) and advertise that the products prevent, treat, or cure disease without substantiation of the purported health benefits.  The products covered by these warnings letters were oils, tinctures, gummies, and dietary supplements.

According to the press release announcing the warning letters, FTC noted claims characterizing CBD as better than an opioid painkiller, “magic,” and a “miracle” as violative of the FTC Act.  FTC also noted that claims related to thousands of hours of research and that CBD is clinically proved to treat a myriad of diseases, such as cancer, Alzheimer’s, AIDS, among others, are also prohibited by the FTC Act without the support of competent and reliable scientific evidence.

This is the second action FTC has taken against companies that sell CBD products with advertising that contained health claims.  In April of this year, FTC, jointly with FDA, sent Warning Letters to three other companies.

This action underscores the federal government’s vigilance regarding products that contain CBD without substantiating scientific evidence for the purported health benefits of those products.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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