Cannabis Company CANN to Pay $115,000 for Falsely Advertising Cannabis Content

Monterey, California- Monterey County District Attorney Jeannine M. Pacioni announced on September 24 that SoCali Manufacturing, Inc., maker of CANN, a cannabis beverage company, will pay $115,000 to

settle a consumer protection case. The settlement was negotiated by the District Attorneys of

Alameda, Orange, Marin, Monterey, Napa, San Francisco, Santa Clara, Santa Cruz, Shasta, Solano,

and Sonoma Counties, which comprise a task force that aims to protect consumers by holding

businesses accountable for false and misleading advertising related to food, drugs, and medical

devices.

The civil complaint, filed in Monterey County Superior Court, alleged that SoCali Manufacturing,

Inc. (“SoCali”) maker of CANN, a cannabis infused beverage, falsely advertised the amount of THC

or CBD claimed on the label. CANN products typically advertise that they contain 2 mg of THC and

4 mg of CBD. But testing of these beverages purchased at dispensaries from across California

revealed that they routinely contained less or more of these ingredients by margins greater than 10%,

and many sampled products had no detectable THC or CBD.

On September 15, 2025, a judge ordered SoCali to pay $90,000 in civil penalties and $25,000 in

investigative costs. In addition, SoCali was ordered to conduct various quality control measures to

ensure that labels accurately reflect the actual CBD and THC content, including working with

SoCali’s manufacturing partners to test the products. SoCali is also required to comply with injunctive

terms that prohibit it from making untruthful, deceptive, or misleading marketing claims in the future.

The investigation began in 2022 when investigator Leo Gomez from the Monterey County District

Attorney’s Office conducted testing of CANN after it discovered a dispensary illegally offering free

samples of it. Additional purchases and testing showed continued mislabeling. SoCali cooperated

with the investigation.