DC's Crackdown On Unlicensed, But "I-71 Compliant" Cannabis Shops

Unlicensed operations, like the recently shuttered Supreme Terpene in D.C., create challenges for hardworking, legitimate cannabis professionals. The once allowable I-71 window has shut down.

WUSA9 Reported that the Alcoholic Beverage and Cannabis Administration (ABCA) closed the shop after repeated warnings and investigations found it was selling marijuana and psychedelic mushrooms illegally. This type of illegal activity undermines the work of compliant businesses striving to follow regulations and maintain proper licenses.

By continuing operations without a business license and ignoring cease-and-desist orders, bad actors like Supreme Terpene force regulators to step up enforcement. This makes it harder for professionals who have invested time and money into building legal cannabis operations. Moreover, the presence of unlicensed shops can damage public trust in the industry, complicating efforts for licensed businesses to attract investment and expand responsibly.

The 2024 D.C. Council Act has empowered the ABCA to close such unlicensed establishments swiftly, protecting public safety and ensuring fair competition for compliant operators. However, the actions of a few rogue players can still impact the perception of the entire cannabis sector, making it harder for law-abiding professionals to thrive in the growing market.

The Confusing I-71 Grey Area in DC Was Not a Gift for Cannabis Entrepreneurs

The closure of unlicensed cannabis shops like Supreme Terpene in D.C. highlights the difficulties compliant cannabis professionals face in navigating the city's complex regulations. Entrepreneurs like Terrence White of Monko have invested heavily in creating legal, high-end cannabis businesses, but D.C.'s gray market, fueled by I-71's "gifting" loophole, complicates their efforts. The future of cannabis relies on collaboration between regulators and responsible operators to ensure compliance, safety, and industry growth.

For those not familiar with the grey area, this is an article from the Washingtonian from last year

Supreme Terpene has the right to appeal this decision. The ABCA has only approved 11 licensed cannabis retailers in D.C., far below the city's high demand. As cannabis acceptance grows nationally, we hope to see this number increase exponentially to support compliant businesses and consumers in our nation’s capital.