The state Alcohol, Tobacco, and Cannabis Commission is preparing to enforce the law after an injunction protecting businesses that were not licensed and involved in hemp THC was overturned in Maryland.
In July 2023, the injunction had prevented ATCC enforcement action against companies selling THC-derived hemp products without a marijuana license. The Appellate Court of Maryland reversed the injunction on September 9th, 2025.
Maryland Law states that “Any person or company who distributes or sells an intoxicating THC-containing product, without the license required by the Maryland Cannabis Administration(MCA), will be subject to criminal prosecution.” says the ATCC.
The following are examples of offenses:
- Infractions in packaging, labeling, potency and other violations
- THC advertisements that are false or illegal
- Unlicensed Sales Above THC Limits
- Synthetic THC intoxicants
According to the Commission, “convictions for one or more of these offences could result in fines as high as $5,000, but with increased fines that can reach up to $10k for those offenses which involve synthetic THC.
The Daily RecordAppellate Court judge Dan Friedman wrote this in the decision he delivered.
Maryland has always prohibited these products. “The fact that there has been a lax enforcement of the ban does not make the product legal.”
Maryland allows recreational and medical cannabis use. However, industry players must be properly licensed. Cannabis was legalized in Maryland in 2014 after it had been decriminalised.
The legal cannabis market (medical and recreational) has reached 678 millions dollars in sales year-to-date.
Maryland Department of Agriculture (MDDA) adopted new regulations in 2020 that expanded its industrial hemp program. But the Department has no jurisdiction over processing, sales, or distribution of this hemp. Maryland, like other states, has tried to close loopholes that led to hemp-derived THC being produced.