Investigations and Enforcement / Fines
Fines
The Cannabis Control Commission (Commission) may issue an order to a Licensee, Registrant, or Host Community that assesses a fine or other financial penalty of up to $50,000 per violation.
Overview
Pursuant to 935 CMR 500.360 and 501.360, if the Commission determines there is a violation of state Marijuana laws, it may assess an administrative fine of up to $50,000 per violation, or an order for corrective action, or both. Each day during which a violation continues may constitute a separate violation, and each instance and provision of the state Marijuana laws that is violated may constitute a separate violation.
The Commission assesses administrative fines based on the categories below. Please note that these categories are intended to provide consistent guidance and structure for the initial assessment of violations identified by the Commission. Each violation and assessment is based on any aggravating or mitigating circumstances present in accordance with 935 CMR 500.360(3) and 501.360(3).
Category I violations create a direct threat to public health, safety or welfare. Violations in this category generally meet multiple aggravating factors as outlined in 360(3)(a) or present facts in which public health, safety, or welfare are directly impacted.
Category II violations create a potential threat to public health, safety or welfare, and violations of 935 CMR 500.450. Violations in this category may meet some of the aggravating factors present in 360(3)(a) or are actions that constitute grounds for suspension, revocation, or denial of a renewal application. Additionally, violations in this category represent lesser violations that have a longer duration or are repeated multiple times such that they could have an impact on the public.
Category III violations create a climate conducive to abuse and non-compliant operation. Violations in this category are generally more severe than routine operational violations and, if not addressed, could create a potential or direct threat to public health, safety, or welfare.
Category IV violations are routine operational violations. These violations generally encompass regulatory obligations on a licensee that are related to licensed operations and have extremely limited or no impact on the public.
The Commission applies the following guidelines in assessing fines and other penalties for Licensees and individuals. Please note that these categories are intended to provide consistent guidance and structure for the initial assessment of violations identified by the Commission staff. However, Commissioners have the final authority to reject, approve, or amend penalties through a recommended decision of the Hearing Officer, taking into consideration the facts and circumstances of each individual case.
Assessing Monetary Penalties on Licensees
| Number of enforcement actions/settlement in the same category or higher in the past 3 years | |||
|---|---|---|---|
| Category | 1 | 2 | 3+ |
| I | Up to $50,000 per violation
and/or Suspension |
$25,000 – $50,000 per violation
and/or Suspension/Revocation |
Revocation |
| II | Up to $25,000 per violation
and/or Suspension |
$10,000 – $25,000 per violation
and/or Suspension |
$25,000 per violation
and/or Suspension/Revocation |
| III | Up to $15,000 per violation | $2,500 – $15,000 per violation
and/or Suspension |
$15,000 per violation
and/or Suspension |
| IV | Up to $1,000 per violation | $500 – $1,500 per violation | $1,000 – $2,500 per violation
and/or Suspension |
Suspension or Revocation of Licensees
| Number of enforcement actions/settlement in the same category or higher in the past 3 years | |||
|---|---|---|---|
| Category | 1 | 2 | 3+ |
| I | Up to 1 mo. Suspension | 1 – 3 mos. Suspension
or Revocation |
Revocation |
| II | Up to 1 wk. Suspension | 1 wk. – 1 mo. Suspension | 1 mo. Suspension
or Revocation |
| III | N/A | 1 – 3 day Suspension | 3 day – 1 wk. Suspension |
| IV | N/A | N/A | 1 – 3 day Suspension |
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Meeting
The Cannabis Control Commission conducts meetings and other events to keep you informed.
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