Jul 19, 2024

Owners of four more NE vape shops, stores selling delta-8 settle with AG

Posted Jul 19, 2024 10:00 PM
Nebraska Attorney General Mike Hilgers holds a press conference in October 2023 on what he called a major, unprecedented consumer protection action in the state targeting “deceptive” labeling of delta-8 products. (Courtesy of Nebraska Attorney General’s Office)
Nebraska Attorney General Mike Hilgers holds a press conference in October 2023 on what he called a major, unprecedented consumer protection action in the state targeting “deceptive” labeling of delta-8 products. (Courtesy of Nebraska Attorney General’s Office)

Cindy Gonzalez

Nebraska Examiner

LINCOLN — Nebraska Attorney General Mike Hilgers on Thursday announced legal settlements against four more shops he described as selling mislabeled and “dangerous” THC-containing products. 

“We appreciate that these stores did the right thing and took these products off the shelves,” Hilgers said in a media statement. “Our fight continues, and more lawsuits will be filed as we broaden our campaign.”

According to the attorney general, the four stores agreed not to sell prohibited hemp products that contain or have been modified with synthetic THC. He said that includes delta-8 THC, delta-9 THC and delta-10 THC modified through chemical processes. 

All four stores were given 14 days to turn over remaining prohibited products for destruction.

They would face financial penalties for breach of the agreement.

The latest settlements join two others announced last month. The retailers were among those targeted in 11 state lawsuits filed in 2023 against vape shops and businesses across the state. 

Hilgers alleged violations of consumer protection and deceptive trade practices laws.

Some of the THC-containing products involved were packaged and made to look like candy and snacks. THC is the compound in the cannabis plant most commonly associated with getting a person high.

Hilgers has pledged to try to close legal loopholes around delta-8, which opened when the 2018 farm bill opened up the hemp farming industry nationally. The bill limited delta-9 THC but did not address regulation of delta-8. States have been grappling with that loophole.

A legislative bill introduced earlier this year by State Sen. Teresa Ibach of Sumner included more explicit language banning delta-8 products — but stalled. 

Hilgers on Thursday repeated his stance that the products pose a health risk and have sent some Nebraskans, including children, to the hospital. Buyers and sellers of delta-8 products call such concerns a scare tactic.

“We encourage retailers to stop selling these products, whether they have been sued yet or not — our campaign will continue until the industry is cleaned up,” Hilgers said.

“It took several years for these stores to pop up,” he told the Examiner. “It’s going to take us a little time to sort of reverse the tide, but we are building momentum and we’re getting more victories as we go.”

Lawsuits against the four stores were filed in the District Courts of Dawes (Greenhouse Grandma), Keith (First Stop Vape Shop), Lincoln (A Botanical Dream), and Scotts Bluff (Zy Glam) Counties. The complaints alleged violations of the Consumer Protection Act, Uniform Deceptive Trade Practices Act and Nebraska’s Pure Food Act.

Nebraska Examiner calls to shop owners were not immediately returned. The website of Greenhouse Grandma indicated that its physical Chadron store site has closed.

Nebraska Examiner reporter Zach Wendling contributed to this story.