On September 9, 2025, the Appellate Court of Maryland issued its decision to overturn the the preliminary injunction issued by the Washington County Circuit Court in October of 2023, which prohibited the Alcohol, Tobacco, and Cannabis Commission (ATCC) from enforcing the State’s cannabis laws against retail businesses that were selling intoxicating tetrahydrocannabinol (THC) products prior to July 1, 2023. Governor Wes Moore, et. al. v. Maryland Hemp Coalition et. al., No. 1590, September Term, 2023, 2025 WL 2602274 (Md. App. Ct. Sept. 9, 2025).

What This Means For Retailers

All retail establishments engaged in the sale of intoxicating THC, especially those in business prior to July 1, 2023, are on notice that the Appellate Court’s order, when effective, will terminate the limited protection afforded to them by the preliminary injunction issued by the Washington County Circuit Court. Moving forward, any person or business that engages in the distribution or sale of an intoxicating THC product without the required license issued to them by the Maryland Cannabis Administration (MCA), is subject to criminal prosecution under Maryland law. 

Offenses and Violations

When the ATCC observes a person or business engaging in the distribution or sale of an intoxicating THC product without a license by the MCA, the ATCC may seize on sight and charge the following criminal offenses listed in the Alcoholic Beverages and Cannabis Article (ABCA):

• Packaging, Labeling, and Potency Violations
  Selling a product which violates THC product Packaging, Labeling, and Potency Standards – ABCA § 36-1104(b)

• False or Illegal THC Advertising
  Advertising a product as containing an amount of THC that violates AB § 36-1102 – ABCA § 36-1104(c)(1)

• Unlicensed Sales Above THC Limits
  Selling a product that contains more than 0.5 milligrams of THC per serving or 2.5 milligrams of THC per package without a license from the MCA – ABCA § 36-1102(b)(1)

• Synthetic Intoxicating THC Products
  Selling or distributing a cannabinoid product that is not derived from naturally occurring biologically active chemical constituents (aka “synthetic intoxicating THC products”) – ABCA § 36-1102(c)

Penalties for Conviction

Conviction of any or all of these offenses could result in fines of up to $5,000 for each offense, with enhanced fines of up to $10,000 for offenses involving synthetic THC products, the destruction of the seized intoxicating THC products, and potential adverse effects on any other State license held by that person or business.

ATCC’s Ongoing Commitment to Public Safety

In response to the Appellate Court’s decision, the ATCC is prepared to expand its State-wide investigation and enforcement actions against any persons and businesses who distribute or sell intoxicating THC products in violation of Maryland law. The ATCC continues to be committed to ensuring the public health and safety of Marylanders through the application and enforcement of Maryland’s cannabis laws.

Question?

If you have any questions please call the ATCC at 443-300-6990, or email us at [email protected].