{"id":11258,"date":"2026-11-01T16:42:25","date_gmt":"2026-11-01T16:42:25","guid":{"rendered":"https:\/\/cannabisindustryjournal.com\/?post_type=feature_article&amp;p=39349"},"modified":"2026-11-01T16:42:25","modified_gmt":"2026-11-01T16:42:25","slug":"the-compliance-risks-cannabis-brands-overlook-after-products-leave-the-lab","status":"publish","type":"post","link":"https:\/\/cannitrol.com\/blog\/the-compliance-risks-cannabis-brands-overlook-after-products-leave-the-lab\/","title":{"rendered":"The Compliance Risks Cannabis Brands Overlook After Products Leave the\u00a0Lab"},"content":{"rendered":"<div id=\"wp_fb_like_button\" style=\"margin:5px 0 5px 5px;float:right;height:100px;\"><script src=\"http:\/\/connect.facebook.net\/en_US\/all.js#xfbml=1\"><\/script><fb:like href=\"https:\/\/cannitrol.com\/blog\/the-compliance-risks-cannabis-brands-overlook-after-products-leave-the-lab\/\" send=\"true\" layout=\"standard\" width=\"450\" show_faces=\"false\" font=\"arial\" action=\"like\" colorscheme=\"light\"><\/fb:like><\/div><div><img src=\"https:\/\/cannitrol.com\/blog\/wp-content\/uploads\/2026\/11\/the-compliance-risks-cannabis-brands-overlook-after-products-leave-the-lab.jpg\" class=\"ff-og-image-inserted\" \/><\/div>\n<p><span data-preserver-spaces=\"true\">A cannabis product can pass laboratory testing, meet manufacturing standards, and have the documentation to demonstrate its quality. But what happens when that product leaves the lab and enters the marketplace?<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">That was the question <a href=\"https:\/\/www.linkedin.com\/in\/sheritarr\/\">Sheri Tarr<\/a>, chief advisor of regulatory consultancy <a href=\"https:\/\/68partners.com\/meet-68-partners\/\">68 Partners,<\/a> raised at the recent <a href=\"https:\/\/cqcexpo.com\/\">Cannabis Quality Conference<\/a> in Washington, DC.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr acknowledged that her presentation on packaging, labeling, and marketing compliance was aimed more at cannabis brands than at the laboratory, quality, and regulatory professionals in the room. But she wanted them to understand where compliance goes next, after their work is done. And that\u2019s where cannabis businesses may be overlooking some of their greatest regulatory and legal risks.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Packaging, advertising, social media, customer testimonials, and even conversations between budtenders and consumers can create problems for an otherwise compliant product.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr brings an unusual perspective to the subject. A self-described \u201crecovering lawyer,\u201d she previously worked in pharmaceutical sales and marketing, ran a division at Pfizer, and later became a plaintiffs\u2019 attorney, suing pharmaceutical companies over product liability and regulatory violations.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">She\u2019s seen the commercial side of regulated products from both sides of the courtroom.<\/span><\/p>\n<h2><strong>When Packaging and Marketing Become Compliance Problems<\/strong><\/h2>\n<p><span data-preserver-spaces=\"true\">Tarr joked that she doesn\u2019t always get an enthusiastic reception when discussing packaging and labeling compliance.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cUsually I\u2019m in front of people that are like, God, do I sit here and listen to why I can\u2019t put a holographic giraffe on my packaging and labeling?\u201d<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">But the rules governing how cannabis products are presented to consumers are extensive. She pointed to New York\u2019s packaging, labeling, marketing and advertising regulations, which she said run approximately 135 pages, in 10-point type.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">And those are just the state requirements.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr emphasized that regulators examine the overall impression a company creates through its packaging, imagery, messaging, and promotional materials.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">A company doesn\u2019t necessarily have to make an explicit medical claim to create a problem.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr described working with a company selling a topical product that wanted to use before-and-after photographs showing improvements in psoriasis. The company argued that it wasn\u2019t actually saying the product cured or treated the condition. It also planned to include the standard disclaimer that the product wasn\u2019t FDA-approved and wasn\u2019t intended to diagnose or treat disease.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr wasn\u2019t persuaded.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cYou just sent me materials that show a before and after with psoriasis, without psoriasis,\u201d she recalled telling the company. \u201cYou don\u2019t have to say, this cures, treats.\u201d<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Nor would a disclaimer solve the problem.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cYou can\u2019t hide behind a disclaimer,\u201d she said.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The example illustrates how easily a marketing team can cross into medical claims without recognizing it. A photograph, testimonial, or comparison may communicate something that the company deliberately avoided putting into words.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">And regulators don\u2019t necessarily evaluate those elements separately. They consider the overall message consumers receive.<\/span><\/p>\n<h2><strong>Claims Don\u2019t Stop at the Label<\/strong><\/h2>\n<p><span data-preserver-spaces=\"true\">One of Tarr\u2019s strongest warnings concerned the many places where companies communicate with consumers.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cClaims live everywhere, and the brand owns all of it,\u201d she said.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">A brand\u2019s compliance exposure doesn\u2019t end with its approved packaging or advertising copy. Its website, social media accounts, promotional videos, customer testimonials, and sales presentations all contribute to the claims being made about its products.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr pointed to companies that publish customer testimonials describing relief from serious medical conditions, then argue that the statements came from consumers rather than the company.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">But once a business selects a testimonial and publishes it on its own website, it has adopted that message.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cCongratulations, you\u2019re responsible,\u201d Tarr said.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">She also warned against relying on disclaimers to distance a company from statements it has chosen to promote. The issue becomes more complicated as brands work with influencers and third-party marketers, particularly when promotional content moves quickly across social media.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr urged companies to pay closer attention to the Federal Trade Commission (FTC), which oversees advertising claims and can scrutinize misleading representations even when those claims don\u2019t appear on a product label.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">An audience member raised another interesting question: Could posting published scientific research about terpenes on a cannabis company\u2019s website be considered an implied product claim?<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr acknowledged that she didn\u2019t have a definitive answer. Even legitimate scientific research can raise questions about how it\u2019s presented, particularly if consumers could interpret it as evidence of a product\u2019s therapeutic benefits.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The challenge isn\u2019t limited to preventing outright falsehoods. Companies also need to consider whether their imagery, language, and testimonials imply benefits that haven\u2019t been substantiated.<\/span><\/p>\n<h3><strong>Budtenders Are Part of the Compliance Equation<\/strong><\/h3>\n<p><span data-preserver-spaces=\"true\">Tarr also raised another concern: What happens when a consumer walks into a dispensary and asks for help choosing a product?<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">In the pharmaceutical industry, sales representatives receive extensive training on what they can say about a drug, how to discuss its benefits and risks, and when to refer questions to medical professionals.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">As a plaintiffs\u2019 attorney, she deposed hundreds of pharmaceutical sales representatives, examining what they were taught and whether they understood the evidence supporting the products they promoted.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">She sees a parallel in cannabis, where budtenders and dispensary employees often serve as the primary source of product information for consumers.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">During the presentation, an audience member asked how a budtender should respond when a customer describes a headache, pain, or difficulty sleeping and asks which product might help.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr acknowledged that there isn\u2019t an easy answer.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Budtenders face pressure to sell products, but many don\u2019t have scientific or medical training. They may also receive product education from third-party sales trainers who lack a regulatory background.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cThe training becomes really, really critical,\u201d she said.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr cautioned that brands, dispensaries and the companies providing sales training all have responsibilities in how products are represented to consumers.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">And she expects more attention to be paid to what happens inside dispensaries.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">She predicted that plaintiffs\u2019 lawyers and regulators would eventually emerge from their \u201corange-carpeted cubicles from the 1980s,\u201d start visiting dispensaries, listen to sales conversations, and examine packaging and labels firsthand.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cThey\u2019re going to do it the old-fashioned way,\u201d she joked. \u201cWe\u2019re gonna have a visit.\u201d<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Her concern isn\u2019t that budtenders shouldn\u2019t help customers. It\u2019s that the industry needs better training and clearer boundaries around product recommendations and medical claims.<\/span><\/p>\n<h3><strong>Building a Commercial Compliance System<\/strong><\/h3>\n<p><span data-preserver-spaces=\"true\">So how can cannabis companies manage compliance across packaging, advertising, websites, sales teams, and multiple state markets?<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr pointed to a system commonly used in the pharmaceutical industry: medical, legal, and regulatory review of promotional materials before they reach the marketplace.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">At Pfizer, she said, promotional materials went through a review process involving multiple departments.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cNothing went out the door until all of those people were aligned.\u201d<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">She recommends applying similar oversight to cannabis marketing, particularly as companies expand into additional states with different requirements.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Her approach centers on what she calls the three C\u2019s of compliance: controlled, centralized, and consistent. Companies need a system to approve promotional materials, track where those materials are used, and withdraw or replace them when necessary.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">That becomes increasingly important for multistate operators managing different labels, advertising requirements, websites, and sales teams.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Consistency alone isn\u2019t enough, however.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cYou don\u2019t want consistently bad,\u201d Tarr joked.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The information also needs to be accurate and<\/span> <span data-preserver-spaces=\"true\">supported by evidence<\/span><span data-preserver-spaces=\"true\">. She urged companies to avoid embellishing product claims and instead market what they can substantiate.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cSay what your COA says,\u201d she advised, referring to the certificate of analysis.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr also emphasized documentation.<\/span> <span data-preserver-spaces=\"true\">Companies should be able to show what evidence supported a claim, who approved it, and how<\/span> <span data-preserver-spaces=\"true\">decisions were<\/span> <span data-preserver-spaces=\"true\">made.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cBuild a record you want someone else to read,\u201d she said.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Regulators, attorneys, investors, or prospective buyers may eventually examine that record.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Tarr encourages cannabis businesses to think about compliance as part of their long-term planning. Her \u201cbuild to exit\u201d approach reminds companies that the decisions they make today, including how they manage marketing claims and document approvals, could come under scrutiny during an acquisition, investment review, or lawsuit.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u201cWe want to be treated<\/span> <span data-preserver-spaces=\"true\">normally,<\/span> <span data-preserver-spaces=\"true\">we want to be<\/span> <span data-preserver-spaces=\"true\">mainstream,<\/span> <span data-preserver-spaces=\"true\">then we have to act that way, right?\u201d<\/span><\/p>\n<div class=\"sharedaddy sd-sharing-enabled\">\n<div class=\"robots-nocontent sd-block sd-social sd-social-icon-text sd-sharing\">\n<h3 class=\"sd-title\">Share this:<\/h3>\n<\/p><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>A cannabis product can pass laboratory testing, meet manufacturing standards, and have the documentation to demonstrate its quality. But what happens when that product leaves the lab and enters the marketplace? That was the question Sheri Tarr, chief advisor of regulatory consultancy 68 Partners, raised at the recent Cannabis Quality Conference in Washington, DC. Tarr [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[11179,10934,8509,10802,9290,10789,10851,8771,9,11180,1,3,61,1736],"tags":[11181,10935,8535,10816,9295,10792,10852,8781,11182],"_links":{"self":[{"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/posts\/11258"}],"collection":[{"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/comments?post=11258"}],"version-history":[{"count":0,"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/posts\/11258\/revisions"}],"wp:attachment":[{"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/media?parent=11258"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/categories?post=11258"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/tags?post=11258"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}