Stop selling weed products in packaging identical to kid’s snacks, FTC tells N.J. company

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The Federal Trade Commission and Food and Drug Administration have accused a New Jersey business of deceptive marketing for selling weed products that closely resemble popular snacks geared toward children.

The Haunted Vapor Room in Franklin was one of six U.S. companies sent a cease-and-desist letter on June 29 for marketing edible products containing Delta-8 THC in packaging almost identical to many snacks and candy kids eat, including Doritos chips, Cheetos cheese-flavored snacks, and Nerds candy, the letter said.

The marketing of edible THC products that can be easily mistaken by children for regular foods may violate Section 5 of the Federal Trade Commission Act, which prohibits unfair or deceptive acts in or affecting commerce, including practices that present unwarranted health or safety risks, according to the cease-and-desist letter.

“Delta-8 tetrahydrocannabinol, also known as Delta-8 THC, is a psychoactive substance found in the cannabis sativa plant, of which marijuana and hemp are two varieties,” says a summary from the Food and Drug Administration official website. “Delta-8 THC is one of over 100 cannabinoids produced naturally by the cannabis plant but is not found in significant amounts in the cannabis plant. As a result, concentrated amounts of Delta-8 THC are typically manufactured from hemp-derived cannabidiol (CBD).”

Legal cannabis traditionally contains Delta-9 THC as the primary ingredient customers engage with, which is still illegal at the federal level, but due to legal loopholes, products that contain only Delta-8 THC can still be sold unless there’s state legislation that specifically bans it.

The unmanufactured form of Delta-8 has milder effects than what is found in its counterpart, so in order to get an intoxicating effect, products often require an intense amount of manufacturing. That process can still create a milder product, but can also increase potency and introduce additional chemicals that are not fit for human consumption.

Currently, there is no prohibition on Delta-8 in New Jersey. It can be found in gas stations, smoke shops, mini-marts, and convenience stores throughout the state.

Some Delta-8 products, like the ones sold by Haunted Vapor Room in Sussex County, mimic a range of food that appeals to children.

For example, the Haunted Vapor Room sells Delta-8 products called “Rope 500mg Delta-8 Nerds Candy” and “Medicated Dope Rope Bites” that closely resemble Nerds Rope candy. Both products are made of multi-colored crunchy candies attached to a gummy rope and the former even features similar packaging.

“Imitating non-THC-containing food products often consumed by children through the use of advertising or labeling is misleading,” and “could present an unwarranted risk to health and safety,” the Federal Trade Commission wrote in its letter.

Furthermore, the company’s “Rope 500mg Delta 8 Nerds Candy” and “Medicated Dope Rope Bites” are labeled with a nutrition facts panel, making it more likely to be confused for a genuine food or snack product.

The Haunted Vapor Room has been ordered to immediately cease marketing edible Delta-8 products that imitate conventional foods using advertising appealing to young children. The company has 15 days to respond to the cease-and-desist letter with specific steps taken to address any violations.

Industry insiders have criticized Delta-8 products in the past because some manufacturers have used the chemical to infuse products as a way get around cannabis licensing.

In June, a state Assembly committee unanimously voted to move forward a bill that would ban unregulated products containing concentrates of Delta-8. The state Senate introduced a companion bill shortly thereafter, which received a unanimous vote in the Senate Law and Public Safety Committee.

The companion bill was advanced by state Senate Majority Leader Teresa Ruiz, D-Essex, one of the senators who helped mold New Jersey’s current cannabis legislation alongside Senate President Nicholas Scutari.

“Delta-8 products are being sold all over the state, in gas stations and corner stores, with absolutely no oversight,” said Ruiz in a statement.

“This legislation will make it clear that Delta-8 has not been tested or endorsed as safe for public consumption,” Ruiz said.

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Jackie Roman may be reached at jroman@njadvancemedia.com.