On September 5, the Alcoholic Beverage and Cannabis Administration’s Enforcement Division, accompanied by Metropolitan Police Department (MPD) officers, served a Closure Order to the owner of Supreme Terpene, an illegal cannabis business located at 1344 U Street NW, Washington, DC.

The Alcoholic Beverage and Cannabis (ABC) Board issued the Closure Order in response to the business continuing to sell illegal cannabis products, in addition to psychedelic mushrooms, in violation of a written warning and Cease and Desist Order, and cannabis product purchased from the business testing positive for amphetamines.

Due to the business posing a credible and imminent danger to public health and safety, ABCA shuttered the business, including padlocking the business, and MPD seized all illegal products on-premises.

The business owner may request an emergency hearing within five (5) business days after service. If requested, the ABC Board must hold the hearing within five (5) business days of the request and issue a determination within five (5) business days of the hearing date.

Prior to access to the property being returned to the property owner, the ABC Board may require the property owner to submit for Board approval, a remediation plan addressing how they will actively prevent future illegal cannabis sales on-premises. The ABC Board also has the authority to issue a $10,000 fine to the property owner.

Supreme Terpene is the first illegal cannabis business closed by ABCA since Bill 25-872, the Medical Cannabis Conditional License and Unlicensed Establishment Closure Clarification Emergency Amendment Act of 2024, which granted the agency with new civil enforcement powers, took effect on July 15, 2024.

To date, ABCA has issued 24 Cease and Desist Orders and 75 written warning letters to illegal cannabis businesses that did not apply for a medical cannabis business license during the open application period for unlicensed operators.

Per DC law, unlicensed businesses that applied during that specific open application period are exempt from ABCA enforcement actions until September 30, 2024, or within 180 days of Board approval, whichever date is later.

Following the issuance of a Cease and Desist Order, ABCA sends by certified mail a letter to each property owner where an illegal cannabis business is operating advising them that they may personally be subject to civil and criminal penalties for failure to immediately cease all illegal cannabis activity.

Questions regarding:

• Medical cannabis licensing and enforcement should be directed to ABCA at [email protected].
• Illegal product seizure and arrests should be directed to MPD at [email protected].