How Multiple CBD Brands Receive FTC Fines for Medical Claims Must Check It

Today, The Federal Trade Commission has launched enforcement actions against six CBD product makers, claiming that the claims for treatment they made did not have sufficient evidence to support them. It has Federal Trade Commission charged the defendants involved with a fine of more than $246,000. The FTC has posted the action against the businesses through its site.

According to the document, the government claims that it is clear that these CBD companies have made non-scientifically supported claims that their products can treat serious health issues, such as Alzheimer’s disease, cancer hypertension as well as heart diseases. The companies imposed fines that range between $20,000 and $85000, and demanded that all businesses stop making health claims.

The Federal Trade Commission calls this enforcement action CBDeceit. This is a measure to protect consumers from misleading claims about health benefits made by CBD manufacturer companies as promoted predominantly via social media platforms such as Twitter as well as Facebook.

Andrew Smith, FTC’s director Andrew Smith, FTC’s director are a warning to business leaders and startups in the growing CBD industry to cease making false health claims.

The Settlement Details and Companies Involved

Six settlements have been made to the following six CBD firms:

Bionatrol Health LLC and Isle Revive LLC:

The lawsuit was filed by Bionatrol Health LLC and Isle Revive LLC alongside two former managers and owners. The complaint questioned a claim that the company had made in which they claimed the fact that they’re CBD product could help treat pain better than prescription medications such as OxyContin. Additionally, the claim said it was secure and was able to treat chronic pain as well as age-related cognitive decline. The participants claimed that CBD had been scientifically confirmed to treat a variety of diseases. They imposed a fine of $20,000 on the company for misconduct.

Epichouse LLC:

FTC stated that the defendants in this settlement had marketed CBD as a safe alternative to prescription medications such as OxyContin which can treat pain effectively and preventing ailments like cancer, heart disease, and diabetes. The trial ended with defendants paying an amount of $30,000 in fines.

CBD Meds Inc.:

The suit was filed against the defendants as they had made a number of incorrect and unsubstantiated assertions that claimed CBD can effectively treat or prevent extreme health conditions, such as schizophrenia, artery blockage cancer, autism and Glaucoma. The defendants also claimed that CBD was backed by the U.S. government and scientific studies supported certain efficacy claims. The defendants have not imposed any charges.


In this case, respondents claimed of their CBD vape pen and gummies, as well as oils honey sticks, lozenges could help treat ailments such as AIDs as well as cancer-related symptoms as well as substance abuse. They were punished with a fine of $36,254 for making non-substantiated claims.

Reef Industries Inc.:

In this case, the defendants asserted that the CBD-based products can be effective in treating, preventing and treat ailments like Irritable Bowel Syndrome, Alzheimer’s disease, Autoimmune disease and Arthritis. They were charged $85,000 which is the most for all cases.

Steves Distributing LLC:

In this instance, defendants falsely asserted that the CBD or CBD supplements can effectively substitute for prescribed medicines since they could treat a variety of health issues, including Diabetes and Alzheimer’s disease, cancer, and many more. The FTC accuses the company of making false claims about the fact that they believed that their CBG and CBD were superior in antibacterial properties, and were effective enough to slow down and prevent heart attacks and strokes. The amount of fine imposed in this case was $75,000.

In the end the commission noted that in the event that any defendant in these cases did not adhere to the settlement terms stipulated in the terms of the settlement the defendants could be subject to additional fines of up to $43,000.

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