SENATE, No. 4449
STATE OF NEW JERSEY
221st LEGISLATURE
INTRODUCED MAY 19, 2025
Sponsored by:
Senator SHIRLEY K. TURNER
District 15 (Hunterdon and Mercer)
SYNOPSIS
Prohibits use of coupons, price rebates, and price reductions in sales of cannabis items.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning sales of cannabis items and supplementing Title 24 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. When engaging in the sale or the offer for sale of any cannabis item to a consumer at retail, no Class 5 cannabis retailer licensed in accordance with section 25 of P.L.2021, c.16 (C.24:6I-42), shall:
(1) offer, provide, or accept coupons, including online coupons;
(2) offer or provide price reduction promotions, including online promotional discount codes; or
(3) offer or provide price rebates.
b. A person who violates the provisions of subsection a. of this section shall be liable to a civil penalty of not less than $250 for the first violation, not less than $500 for the second violation, and $1,000 for the third and each subsequent violation.
The civil penalty shall be collected pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.), in a summary proceeding before the municipal court having jurisdiction. An official authorized by statute or ordinance to enforce the State or local codes or a law enforcement officer having enforcement authority in that municipality may issue a summons for a violation of the provisions of subsection a. of this section, and may serve and execute all process with respect to the enforcement of this section consistent with the Rules of Court. A penalty recovered under the provisions of this subsection shall be recovered by and in the name of the State by the Cannabis Regulatory Commission. The penalty shall be paid into the treasury of the municipality in which the violation occurred for the general uses of the municipality.
c. (1) In addition to the provisions of subsection b. of this section, the Cannabis Regulatory Commission, upon the recommendation of the musicality, may suspend a license issued under P.L.2021, c.16 (C.24:6I-31 et al.). In an amount as determined by the Cannabis Regulatory Commission, the licensee may pay a monetary penalty in lieu of a suspension.
(2) Upon a second or subsequent violation of the provisions of subsection a. of this section, the Cannabis Regulatory Commission, upon the recommendation of the municipality may revoke a license issued under P.L.2021, c.16 (C.24:6I-31 et al.).
In accordance with rules and regulations adopted by the Cannabis Regulatory Commission pursuant to P.L.2021, c.16 (C.24:6I-31 et al.), a license holder may request an adjudicatory hearing pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to contest the Commission's notice of proposed suspension or revocation.
d. A penalty imposed pursuant to this section shall be in addition to any other penalty that may be imposed by the Cannabis Regulatory Commission for the violation of the "New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act," P.L.2021, c.16 (C.24:6I-31 et al.), and any of the regulations promulgated pursuant thereto.
e. Nothing in this section shall be construed to prohibit a medical cannabis dispensary or clinical registrant issued a permit pursuant to P.L.2009, c.307 (C.24:6I-1 et al.) from using coupons, price reductions, or price rebates in connection with medical cannabis, paraphernalia, or other related products dispensed to or on behalf of a registered qualifying patient.
Nothing in this section shall be construed to impose liability on news media that accept or public advertising that may include the advertisement of coupons, price reductions, or rebates that violate the provisions of this section.
f. As used in this section:
"Cannabis item" means any usable cannabis, cannabis product, cannabis extract and any other cannabis resin. "Cannabis item" does not include: any form of medical cannabis dispensed to registered qualifying patients pursuant to the "Jake Honig Compassionate Use Medical Cannabis Act," P.L.2009, c.307 (C.24:6I-1 et al.) and P.L.2015, c.158 (C.18A:40-12.22 et al.) or hemp or a hemp product cultivated, handled, processed, transported, or sold pursuant to the "New Jersey Hemp Farming Act," P.L.2019, c.238 (C.4:28-6 et al.).
2. This act shall take effect immediately.
STATEMENT
This bill prohibits the use of coupons, price reductions, and price rebates in connection with the sale of cannabis items.
The bill defines cannabis items as any usable cannabis, cannabis product, cannabis extract, and any other cannabis resin. The prohibition under the bill does not apply to medical cannabis and the coupons or discounts for medical cannabis dispensed to or on behalf of a registered qualifying patient by a medical cannabis dispensary or clinical registrant.
A violation of the prohibition established by the bill would be punishable by a civil penalty of not less than $250 for a first violation, not less than $500 for a second violation, and $1,000 for a third or subsequent violation, which is required to be paid into the treasury of the municipality in which the violation occurred. A cannabis dispensary found to have committed a violation would be subject to an additional administrative penalty or suspension of the retailer's license, and subject to revocation for a second or subsequent violation.
The penalties imposed under the bill would be in addition to any other penalty that may be imposed by the Cannabis Regulatory Commission for the violation of the "New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act," and any of the regulations promulgated by the commission.