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COVID and CBD Prove to be a Powder Keg for Federal Regulators

Cannabis operators (from marijuana to hemp-derived products such as CBD) often get the sense they are one of the central targets of the federal government’s reach. But they are not in the same league lately as the COVID-19 virus. Earlier this month, those worlds collided.

The U.S. Food and Drug Administration (FDA) and the Federal Trade Commission (FTC) jointly issued warning letters to companies that have claimed or implied that these companies’ products will cure, mitigate, treat, or prevent coronavirus disease 2019 (COVID-19). As the agencies made clear, no drugs containing CBD have been approved for the treatment or prevention of COVID-19. We have previously covered similar warning letters regarding marketing of CBD products (here and here). These warning letters are not limited to CBD companies, either; the FTC has previously issued similar warning letters in 2020 to companies for making similar claims regarding the ability of other products to treat or prevent COVID-19.

The agencies warned these companies that such representations are violations of the Federal Food, Drug, and Cosmetic Act (FDCA) and Federal Trade Commission Act, and demanded that these companies take immediate action to cease such representations as to their products. In one instance, the agencies noted that the company’s website contained a link to a 2021 study by the National Institute of Health stating that CBD “reverses many effects of COVID-19, preventing the infection from worsening and promoting future immunity;” a study by researchers at the University of Chicago showing “a significant negative association with positive COVID tests” for individuals taking CBD; and a study by the 2022 American Chemical Society and American Society of Pharmacognosy finding that CBD binds to spike proteins of COVID-19 and prevents the virus from entering cells and causing infection. After citing these studies published on the company’s website, the agencies demanded that this company “take immediate action to address the violations cited in [the] letter.” The agency letters serve as a stark reminder that companies should avoid marketing a substance’s purported health benefits or efficacy in treating or preventing disease, regardless of the evidence that may exist to support such a statement, unless that product has been approved, cleared, or authorized by the FDA for such purpose.

© 2023 Bradley Arant Boult Cummings LLPNational Law Review, Volume XII, Number 109
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About this Author

Whitt Steineker Cannabis Attorney Bradley Birmingham
Partner

Whitt Steineker has devoted his legal career to representing companies that provide a wide range of goods and services. He provides clients of all types with litigation counsel, transactional advice, and practical strategies for growth. Whitt advises clients of all sizes—from multinational corporations to local businesses—in transactional and litigation matters in jurisdictions across the country and around the world.

As co-chair of Bradley’s Cannabis Industry team, Whitt represents clients on a wide range of cannabis issues. In addition to...

205-521-8401
Benjamin William Perry Litigation Attorney Bradley Arant Boult Cummings
Associate

Ben Perry’s practice spans the spectrum of legal services. On the litigation side, Ben represents clients at the trial and appellate level against a wide variety of claims in state and federal courts. His practice primarily concentrates on complex civil litigation, products liability defense, and representing financial institutions and mortgage companies in civil litigation. As part of the Banking and Financial Services Practice Group, he defends mortgage servicers, investors, and related entities against numerous state and federal law claims arising out of lending and...

615-252-3515