CHAPTER 31.4. Online Hemp Marketplaces [22944. - 22944.4.]

Cal. Business and Professions Code - BPC 31.4.
in effect

Cal. Business and Professions Code - BPC § 22944. Section 22944.

For purposes of this chapter, the following definitions apply: (a) “Advertisement” means an advertisement about, or an offer of, a sale of an intoxicating hemp product. (b) “Business information” means an internet website, mobile application, address, or telephone number through which a seller offers to sell, or a consumer makes a purchase of, an intoxicating hemp product. (c) “Clear and conspicuous” means in larger type than the surrounding text, or in contrasting type, font, or color to the surrounding text of the same size, or set off from the surrounding text of the same size by symbols or other marks that call attention to the language. The Attorney General may promulgate regulations further defining clear and conspicuous. (d) “Industrial hemp product” has the same meaning as that term is defined in subdivision (g) of Section 111920 of the Health and Safety Code. (e) “Inhalable hemp product” includes any hemp product that can be used by inhalation, including, but not limited to, hemp flower, hemp prerolls, hemp vaping cartridges, liquids, or prefilled devices, hemp shatter, wax, budder, or other hemp derived concentrates that can be used for inhalation. (f) “Intoxicating hemp product” means either of the following: (1) A hemp product whose THC concentration exceeds the amounts allowable under the Sherman Food, Drug, and Cosmetic Law (Part 5 (commencing with Section 109875) of Division 104 of the Health and Safety Code) or any rules or regulations adopted thereunder, and is unlawful to sell without a license. (2) An inhalable hemp product with a detectable THC concentration, and is unlawful to sell without a license. (g) “Licensed” means licensed pursuant to Division 10 (commencing with Section 26000). (h) “Online hemp marketplace” means an internet website, online service, online application, or mobile application, or a portion thereof, including a social media platform, as defined in Section 1798.99.20 of the Civil Code, that, as applied to products containing hemp for human consumption, including, but not limited to, cosmetics, food, food additives, dietary supplements, or lotions, does any of the following in California: (1) Transmits or otherwise communicates between a third-party seller and consumer an offer for the sale of an intoxicating hemp product that is accepted by the consumer. (2) Offers for sale an intoxicating hemp product. (3) Connects a third-party seller of an intoxicating hemp product and a consumer. (i) “Third-party seller” means a person or entity, independent of an online marketplace, who sells, offers to sell, or contracts with an online marketplace to sell a product in the state by or through an online marketplace.

Cal. Business and Professions Code - BPC § 22944.2. Section 22944.2.

(a) (1) An online hemp marketplace shall establish a clear and conspicuous mechanism within its internet-based service that allows any individual, whether or not that individual has a profile on the internet-based service or is a user, to report to the online hemp marketplace the existence on the marketplace of an advertisement of an intoxicating hemp product. (2) The mechanism required by this subdivision shall meet all of the following criteria: (A) The mechanism shall allow, but not require, an individual to do both of the following: (i) Upload a screenshot of the content that offers evidence of an offer of a sale of an intoxicating hemp product on the marketplace. (ii) Provide to the online hemp marketplace basic identifying information, such as an account identifier or URL, sufficient to permit the marketplace to locate the reported material. (B) The mechanism shall include, but not be limited to, a method for the online hemp marketplace to contact a reporting individual in writing, including a telephone number for purposes of sending text messages, an email address, or another reasonable electronic method of communication. (C) The mechanism shall provide, within 36 hours of receipt of a report, a written confirmation to the reporting individual that the marketplace has received that individual’s report. (D) (i) The mechanism shall provide periodic written updates to the reporting individual as to the status of the marketplace’s handling of the reported material using the method of communication pursuant to subparagraph (B). (ii) The first written update required by clause (i) shall be provided as soon as reasonably feasible but no later than 14 days after the date on which the written confirmation required under subparagraph (C) is provided. Subsequent written updates shall be provided as soon as reasonably feasible but no later than 14 days after the most recent written update provided pursuant to this clause, until the final written determination required by subparagraph (F). (E) Each report shall receive a review by a natural person. (F) (i) The mechanism shall issue a final written determination to the reporting individual within 30 days of receiving the report. The final written determination shall state one of the following: (I) The report has provided evidence that an advertisement of an intoxicating hemp product was displayed, stored, or hosted on the marketplace and the seller’s advertisements and business information have been blocked from being viewable on the marketplace. (II) The report has provided evidence that an advertisement of an intoxicating hemp product was or is displayed, stored, or hosted on the marketplace and the seller’s advertisements and business information will not be blocked from being viewable on the marketplace. The final written determination issued pursuant to this subclause shall also state that the marketplace acknowledges that it is aware that the seller is advertising an intoxicating hemp product and whether the marketplace has referred the report to a law enforcement agency. If the marketplace has referred the report to a law enforcement agency, the final written determination shall provide a true and correct copy of the report that the marketplace made to the law enforcement agency. (III) The report lacks evidence that the identified seller whose advertisement or business information was or is displayed, stored, or hosted on the marketplace was or is advertising an intoxicating hemp product and the seller’s advertisements and business information will not be blocked from being viewable on the marketplace. (IV) The report lacks evidence that the identified seller whose advertisements and business information was or is displayed, stored, or hosted on the marketplace was or is advertising an intoxicating hemp product and the seller’s advertisements and business information will be blocked from being viewable on the marketplace for reasons unrelated to the reported advertisement of an intoxicating hemp product. (V) The report lacks evidence that an advertisement of an intoxicated hemp product was or is displayed, stored, or hosted on the marketplace. (ii) If the marketplace cannot comply with clause (i) within 30 days due to circumstances beyond the reasonable control of the marketplace, the marketplace shall comply with clause (i) no later than 60 days after the date on which the report was received. If this clause applies, the marketplace shall promptly provide written notice of the delay, no later than 48 hours from the time the marketplace knew the delay was likely to occur, to the reporting individual. (b) This section shall not be interpreted to prohibit any individual from reporting the advertisement of intoxicating hemp without the use of the mechanism established in subdivision (a). (c) (1) Any online hemp marketplace that violates a requirement of this section shall be liable for a civil penalty of not more than ten thousand dollars ($10,000) for each violation and for compensatory damages, punitive damages, and any civil remedies, penalties, or sanctions for harms caused by the marketplace’s failure to comply with this chapter, which damages shall be adjudicated and awarded apart from any harms attributable to the existence of the reported content alone. (2) A person may bring an action to enforce this section. In addition to other equitable relief, the court may order injunctive relief to obtain compliance with this section and shall award reasonable attorney’s fees and costs to the prevailing plaintiff. (3) A person shall not bring an action to enforce paragraph (2) of subdivision (a) if the marketplace, upon receipt of the advertisement or business information through the mechanism, removes the reported advertisement or business information within 48 hours. (4) It is not a violation of paragraph (2) of subdivision (a) if the marketplace, upon receipt of the report, removes the reported advertisement or business information within 48 hours. (5) Each day an online hemp marketplace is in violation of a requirement of this section constitutes a separate violation. (d) The duties and obligations imposed by this section are cumulative with any other duties or obligations imposed under other law and shall not be construed to relieve any party from any duties or obligations imposed under other law.
Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026