Maryland MSO cannabis dispensary fined for advertising violations targeting minors

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CannaMd, LLC, operating as Releaf Shop, a licensed cannabis dispensary in Baltimore, has been fined $2,500 by the Maryland Cannabis Administration (MCA) for violating advertising regulations by indirectly targeting individuals under the age of 21. This marks a second advertising violation for the company within a 24-month period.

The disciplinary action stems from CannaMd’s participation as an event sponsor at the Hot August Music Festival on August 19, 2023, held at Oregon Ridge Park in Cockeysville. The MCA asserted that Releaf Shop’s tent, conspicuously displaying its logo and name, was located adjacent to a playground where children were present and playing. The festival itself was noted for indirectly targeting minors by offering a “kids’ corner” with activities for children.

While an Administrative Law Judge (ALJ) initially proposed dismissing the charges, reasoning that the tent’s proximity to the playground was inadvertent and that “event sponsorship” was not explicitly covered by the 2023 statute, the MCA overruled this reasoning. The MCA emphasized that the plain meaning of “indirect” targeting does not require intent, only that the advertisement reasonably reaches an underage audience. They concluded that the combination of the conspicuous signage, its location near a youth-frequented area, and the youth-oriented programming at the event supported a finding of indirect targeting.

The MCA also noted that CannaMd had a prior advertising violation on June 12, 2023, when it was issued a Cease and Desist Notice and fined for using a billboard displaying its name and logo alongside a major Maryland highway, also in violation of advertising regulations concerning targeting individuals under 21. This previous incident was considered an aggravating factor in determining the penalty for the current violation.

As a result, CannaMd, LLC, has been ordered to pay a $2,500 fine to the Cannabis Business Assistance Fund within three months of the May 13, 2025, order date. The Final Determination and Order is a public document.

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