The maker of Raw Rolling Papers will have to pivot production by the end of spring to comply with a federal court order telling the company to stop making false claims about its organic hemp line and a nonexistent charitable foundation.
Raw’s competitor Republic Brands took the company to court alleging that Raw’s labels included false information. The owner of a suite of rolling papers that include OCB and Top branded papers eventially obtained the permanent injunction against RAW’s distributing arm, HBI International.
On Jan. 31, the United States District Court for the Northern District of Illinois ordered HBI to stop making certain claims about its products and “immediately” cease manufacturing, ordering, or replenishing its inventory with goods that fail to conform to the court’s order.
The injunction order follows a jury’s verdict that HBI, the distributor of rolling paper brands RAW and Juicy Jays, engaged in unfair competition and violated the Illinois Uniform Deceptive Trade Practices Act through its packaging and promotional activities.
According to the findings, HBI marketed its papers as having been made by artisanal craftsman in “Alcoy, Spain,” referred to Alcoy as the “birthplace of rolling papers,” and affixed an “Alcoy” stamp to some of its products.
However, in a Jan. 19 ruling, the court found that HBI “makes no rolling paper in Alcoy, Spain, whatsoever.”
HBI has also claimed on packaging and in interviews that it contributes its funds and sales proceeds...
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