HomeMedical Science & TherapeuticsAccess & Prescribing (Australia & Global)Class-Action Lawsuit Alleges False Medical Cannabis Claims Against Major US Operators

Class-Action Lawsuit Alleges False Medical Cannabis Claims Against Major US Operators

Lawsuit Filed Over Alleged Unsubstantiated Medical Cannabis Claims

A class-action lawsuit has been filed in federal court in Illinois, accusing three prominent multi-state cannabis operators—Cresco Labs, Inc., Green Thumb Industries, Inc., and Verano Holdings Corp.—of making false medical claims about their products. The lawsuit, filed on behalf of 42 customers across 12 states, alleges that these companies have made unsubstantiated assertions regarding the medical efficacy of their cannabis products, according to a report by Ganjapreneur. A similar lawsuit has also been filed against Curaleaf Holdings, Inc. in Marion County, Illinois, and in Connecticut.

The plaintiffs’ lead attorney, Patrick Kenneally, stated that the lawsuit aims to hold the cannabis industry accountable for what he termed “years of misrepresentation” of product health benefits. The legal action also seeks to compel companies to “warn consumers about the well-known, obvious, and scientifically validated dangers of cannabis,” as reported by The Free Press.

Allegations and Legal Arguments

The lawsuit contends that the defendant companies knew, or should have known, about the potential hazards of their products and the lack of scientific evidence supporting their claimed medical benefits. Specific allegations include that the companies advertised products as capable of addressing mental health conditions, pain, and other disorders, while allegedly knowing that scientific data did not support these claims and that products could potentially worsen such conditions.

The legal action further accuses the defendants of a “conspiracy” to operate an illegal and fraudulent industry. The lawsuit, which could potentially include millions of plaintiffs, seeks civil penalties and punitive damages. The allegations also extend to claims that each company functions as an organized criminal enterprise, indicating the significant legal and financial stakes involved.

Industry Response and Broader Context

Verano Holdings Corp. issued a statement in response to the lawsuit, describing it as “part of a broader litigation campaign that plaintiffs’ counsel has brought against several multi-state cannabis operators.” Verano stated that the claims mirror those that have been rejected by courts in similar legal actions earlier in the year. The company’s statement, provided to the Chicago Tribune, also highlighted the long-standing recognition of the medical use and potential benefits of cannabis by states through comprehensive medical marijuana programs. Verano further referenced recent federal actions, including the President’s December 2025 Executive Order and the Department of Justice’s April 2026 rescheduling order, as formal recognition of the accepted medical use of cannabis. Verano stated its strong disagreement with the allegations and its intent to defend the matter vigorously. Cresco Labs, Inc. did not provide a comment on the lawsuit.

This litigation campaign underscores ongoing scrutiny regarding how medical cannabis claims are communicated to consumers and the scientific substantiation required for such assertions within the regulated industry.


Disclaimer: This article is for informational purposes only and does not constitute medical advice. Hemp Gazette does not provide medical recommendations, diagnoses, or treatment plans. Always consult a qualified healthcare practitioner before making any decisions regarding your health or any medical condition. Statements concerning the therapeutic uses of hemp, cannabis, or cannabinoid-derived products have not been evaluated by Australia’s Therapeutic Goods Administration (TGA). Medicinal cannabis products in Australia are accessed via prescription pathways under TGA regulation.

Steven Gothrinet
Steven Gothrinet has been part of the Hemp Gazette in-house reporting team since 2015. Steven's broad interest in cannabis was initially fueled by the realisation of industrial hemp's versatility across multiple sectors. You can contact Steve here.
RELATED ARTICLES

Most Popular