Oregon marijuana processor fined $100,000 for skirting packaging rules

Oregon regulators fined a recreational marijuana processor $100,000 for allegedly sidestepping packaging and labeling rules.

In a news release, the Oregon Liquor and Cannabis Commission (OLCC) said it voted to uphold the decision of a state administrative law judge who found Luminous Botanicals sold vials of marijuana tincture that were not in compliance with the agency’s rules.

The OLCC said the labels on the tinctures “were not properly affixed” and could fall off, which could lead to an unsuspecting consumer inadvertently using the product.

“Small vials of marijuana product don’t provide any distinction on whether or not the product is from the legal or illegal market,” OLCC Executive Director Steve Marks said in the release.

The OLCC said it worked with Luminous Botanicals for more than a year to find a solution, but the company continued to sell products that violated state rules.

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Luminous Botanicals did not immediately respond to an MJBizDaily request for comment.

The OLCC charged the company with a violation for each sale of the trial-sized vial and offered to settle the case for $30,000 instead of the maximum $100,000 penalty.

Luminous’ legal counsel argued that the company had been exemplary in its dealings with the OLCC but misunderstood the rules and made an innocent error.

The counsel argued the company deserved leniency in the form of a warning, instead of a fine. The OLCC disagreed.