Kannaway

The Direct Selling Self-Regulatory Council has put CBD MLM Kannaway on notice regarding distributors’ claims on social media that the company’s hemp-based products treat everything from eczema, psoriasis, anxiety, depression and PTSD, to diabetes, Parkinson’s, Crohn’s disease and cancer.

The FTC has made clear that MLMs are responsible for the claims of its distributors. So Kannaway had its distributors’ backs, right? Not quite.

Kannaway did not provide substantiation for the challenged claims, so DSSRC requested that Kannaway immediately remove all social media posts indicating that its products are effective against the health-related conditions outlined in the challenged social posts.

The DSSRC noted “multiple posts” were published by “individuals no longer associated with Kannaway.” But the self-regulatory body said that should not stop Kannaway from pursuing these individuals to remove the posts that remain accessible to the public. It left the MLM with a warning.

Should DSSRC continue to identify social media posts that include claims such as the health-related claims outlined in this case, Kannaway will be subject to a compliance inquiry to evaluate the appropriate steps that have been taken to ensure that the claims are discontinued.

Remember, readers, marketing anything other than FDA-approved drugs as having the ability to treat, cure, alleviate the symptoms of, or prevent developing diseases and disorders is simply not permitted by law.

Find more of our coverage on the MLM industry’s widespread use of illegal health claims – and regulatory efforts to stop it – here.