A class action suit filed in federal court on Monday alleges that three Chicago, Illinois-based cannabis operators made false medical claims about their products, Chicago Tribune reports. The suit, filed on behalf of 42 customers in a dozen states, alleges that Cresco Labs, Inc., Green Thumb Industries, Inc. and Verano Holdings Corp. are causing “human tragedy and misery” by making unsubstantiated claims about the medical efficacy of their products.

A similar lawsuit was also filed in Marion County, Illinois and in Connecticut against Curaleaf Holdings, Inc.

The lawsuit alleges that the companies knew, or should have known, about the dangers of their products and the lack of evidence for medical benefits.

In a statement, Verano called the lawsuit “part of a broader litigation campaign that plaintiffs’ counsel has brought against several multi-state cannabis operators and mirrors claims that were rejected by courts in similar legal actions against multi-state operators in the industry earlier this year.”

“The medical use and benefits of cannabis have long been recognized by the states themselves, as reflected in the comprehensive medical marijuana programs that state legislatures and regulators have created and overseen for years. Recently, the federal government—through both the President’s December 2025 Executive Order and the Department of Justice’s April 2026 order—has similarly embraced the medical of April 2026. We strongly disagree with the allegations and intend to defend the case vigorously.” – Verano in a statement to the Tribune

Cresco did not comment on the lawsuit.

The suit also accuses the defendants of a “conspiracy” to operate an illegal and fraudulent industry.

A class-action lawsuit filed in Missouri alleges that a “cartel” owns, controls or manages an unlawfully high portion of the state’s dispensary licenses and uses that market power to manipulate the market for its own benefit.

The lawsuit by licensed cannabis growers CPC of Missouri-Smithville, LLC and GF Saint Mary LLC alleges that Good Day Farm and a network of companies and investors conspired to invest in limited liability companies that then obtained additional cannabis industry licenses that are actually owned, managed or controlled by Good Day Farm.

Missouri there is a 10% licensing cap written into the adult-use cannabis law, but plaintiffs allege the so-called cartel operates under five different brand names and operates 61 dispensaries in total. The lawsuit alleges that Good Day Farms has 21 distribution licenses and is working with CODES, which operates 20 dispensaries; Greenlight, which operates 10 dispensaries; Fresh Karma, which operates six dispensaries; and 3Fifteen Primo, which operates four dispensaries.

The lawsuit alleges that the companies buy cannabis from unrelated firms at artificially low prices, but their stock from companies they are affiliated with and shut down independently manufactured products from their dispensaries unless the companies agree to their demands.

In a statement, Bob Hoffman, one of the lead lawyers for the lawsuit, said the companies’ actions are “suppressing competition in the wholesale cannabis market and enriching themselves with illegal profits through an unconstitutional and clandestine business conspiracy.”

“Missouri’s growers and producers have suffered under this scheme for too long – many of them know something is wrong, but don’t understand the extent of the Cartel’s market manipulation,” Hoffman said in a press release. “We filed this lawsuit to restore the fair and competitive marketplace that Missourians voted for when they legalized recreational cannabis in 2022.”

The lawsuit names 50 businesses and individuals as accomplices.