North Dakota Settles with Delta 8 Distributors Over Illegal E-Cigarette Sales

Key Points:

 1. The Attorney General of North Dakota has announced a settlement with a Delta 8 distributor who was previously accused of selling and transporting illegal e-cigarettes to minors. 

2. To reach a settlement, the Delta 8 distributor has agreed to sign a voluntary compliance agreement, cease all sales in North Dakota for one year, provide refunds to consumers, and pay a civil penalty of at least $5,000.

On April 21, 2025, according to the official website of the North Dakota Attorney General's Office, Attorney General Drew H. Wrigley announced that he had reached a settlement with the owners and operators of Delta 8 distributors (including Vando Holdings Corp., K & L Products, LLP, Kristen Doka, and Ryan Doka) to resolve accusations of selling and transporting illegal e-cigarette products to residents of North Dakota, including minors. The settlement agreement has been submitted to Burleigh County District Court and is currently awaiting court approval.

Headquartered in New Jersey, the Delta 8 distributor promotes, sells, and transports cannabis, tetrahydrocannabinol (THC), Delta 8 THC, kratom leaves, or mushroom products nationwide through its website, including e-cigarettes, e-cigarette pods, gummies, snacks, chocolates, and other edible products. An investigation was launched by consumer protection and antitrust authorities when they received information that the company was illegally selling electronic vaping devices to minors in North Dakota.

An investigation found that the company was also providing products that are considered illegal marijuana products under North Dakota state law, products that are contaminated or mislabeled, or products containing controlled substances. The settlement agreement addresses the company's alleged violations of North Dakota's Food, Drug, and Cosmetic Act, North Dakota's Consumer Fraud Act, marijuana laws, and the prohibition of selling electronic smoking devices to individuals under 21.

Despite Delta 8 distributors denying the accusations of illegal activity by the Attorney General, the company has agreed to settle the investigation and charges by signing a voluntary compliance assurance. As part of the agreement, the company has agreed to cease sales in North Dakota for one year.

If the company resumes sales to North Dakota in a year, it must implement commercially reasonable age verification technology to prevent sales to minors and cannot sell any products prohibited by North Dakota law. The company has also agreed to pay consumer refunds and a civil penalty of $10,000, with $5,000 suspended if the company complies with the settlement agreement.

Wrigley stated, "The company's products may pose a danger, and this settlement is aimed at preventing the company from selling and transporting these potentially harmful products to our state." Some products sold on Delta 8 distributor websites are known to potentially contain controlled substances, but the product labels fail to disclose or indicate their true ingredients.

The deceptive names, packaging, and descriptions of these products not only make them appear legitimate and harmless, but also make them attractive to minors.

Wrigley stated, "The company completely lacks meaningful age verification before selling and shipping products, which is illegal, careless, and infuriating.

If the company decides to resume operations in the state, the company will no longer be allowed to sell electronic smoking devices or any other products to people in North Dakota until using age verification technology to ensure that the purchasers are at least 21 years old.