Curaleaf Settles Class Action Lawsuit Over Mislabeled Products

Multistate cannabis operator Curaleaf will pay $100,000 to settle the class-action lawsuit filed in 2021 after the company sold CBD drops that contained THC in Oregon, the Oregonian reports. The company in January settled 10 lawsuits over the mix-up.

In August Curaleaf agreed to a $130,000 fine and 23-day suspension handed down by Oregon cannabis regulators. The company recently settled a wrongful death lawsuit filed following the mishap, but the terms of the settlement are confidential, the report says.  

The $100,000 settlement, filed last week in the U.S. District Court in Portland, covers anyone who bought the mislabeled CBD drops. It’s estimated that 500 people will receive between $150 and $200 apiece, depending on how many claims are filed. The settlement does not restrict consumers from filing separate personal injury claims, the report says. 

Portland attorney Michael Fuller will seek a quarter of the funds as compensation for representing the plaintiffs while any unclaimed funds would go to the nonprofit organization Oregon Consumer Justice. Fuller said the average cost of the drops was $25 and consumers would get back six to eight times their purchase price. 

The class administrator will use state records, online notices, proofs of purchase, and personal testimonies to identify people who qualify, Fuller said.  

In August, Curaleaf was forced to remove tens of thousands of units of cannabis from dispensary shelves in New York after it switched to a new way of labeling product potency without approval from state regulators.