Multistate marijuana operator Curaleaf Holdings will pay $100,000 to settle a class action lawsuit in Oregon stemming from a deadly labeling mix-up in 2021.
Roughly 500 people will each receive $150 to $200, depending on how many people file claims over mislabeled CBD drops, The Oregonian reported.
Thursday’s settlement in U.S. District Court in Portland does not prevent consumers from pursuing individual personal-injury claims, according to The Oregonian.
The class action lawsuit arose after an employee at Curaleaf’s Select manufacturing facility in Portland, Oregon, confused two buckets labeled with similar identification numbers, one with THC and the other with CBD.
As a result, about 500 bottles labeled as CBD wellness drops but containing large doses of THC were sold.
Some consumers who ingested the mislabeled products went to medical clinics while others reported feeling confused.
Massachusetts-headquartered Curaleaf said it implemented new safety procedures after the accident, according to The Oregonian.
Also this week, Curaleaf settled – on confidential terms – a wrongful death case related to the labeling accident, the newspaper reported.
But two other personal-injury cases are pending.
In January, Curaleaf settled 10 lawsuits – also on undisclosed terms – from people who reported feeling negative effects from the mislabeled tinctures.
In August, Oregon regulators fined Curaleaf $130,000 and suspended the company’s business license for 23 days.
To identify consumers who qualify for compensation under the settlement, a “class administrator will use state records, online notices, proofs of purchase and personal testaments,” Portland attorney Michael Fuller told the newspaper.
In August, Curaleaf marijuana products were temporarily recalled in New York because of labeling errors.