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September 9, 2021

Can cannabis companies use billboard advertising in CT? There’s gray area in the law.

PHOTO | Contributed
By Sean Teehan

In the eyes of some state regulators, part of Connecticut's cannabis legalization law effectively made marijuana billboard advertising illegal, but that's not how everyone sees it.

The regulations, which will be monitored and enforced by the state Department of Consumer Protection, carry a strong focus on shielding cannabis advertisements from anyone under 21 years old.

For example, cannabis products cannot be advertised in print, television, radio or on the internet or billboards unless there is “reliable evidence” that at least 90% of the audience is 21 years or older.

But more than two months after the cannabis legalization law went into effect July 1, numerous highway signs advertising marijuana companies in Massachusetts remain up, and state regulators are trying to figure out how to enforce the billboard restrictions.

How the issue plays out could have major implications for how Connecticut cannabis companies advertise their products when the recreational market opens up sometime next year. 

"Those billboards were supposed to be down on July 1," said Kaitlyn Krasselt, communications director for the state Department of Consumer Protection.

DCP's legal division communicated with billboard companies to let them know about the change in law on June 28, days before the law went into effect.

Motorists driving Connecticut's highways today, however, will still pass cannabis business billboards, like one southbound on I-91 near Hartford advertising INSA, a Massachusetts-based cannabis cultivator and retailer that operates four dispensaries and two cultivation facilities in the Bay State. 

Matthew Duddy says the billboard falls squarely within the law. Duddy is a senior vice president at Lamar Advertising Co., which owns the billboard. 

"Before we post any cannabis ads, we thoroughly vet both the location and the content of the advertisement to ensure that it complies not only with the audience age restriction and other provisions of [Connecticut's legalization law], but also Lamar's copy acceptance policy, which includes other restrictions in addition to state law requirements," Duddy said in an email.

Duddy said Lamar uses audience measurement data that shows at least 90% of the people who see the billboard will be 21 or older.

An INSA spokesperson said in an email that the company only intends to advertise its products to adults over 21.

"Our products are for adults over the age of 21, and the media partners we work with  reach an adult target that meets or exceeds industry standards," INSA said.

The novelty of cannabis legalization in the state, along with jurisdictional questions complicate Connecticut's ability to police its new billboard restrictions, Krasselt said. The law doesn't include an enforcement mechanism for advertising restriction violations. Additionally, most companies with billboard ads are headquartered outside the jurisdiction of Connecticut regulators and law enforcement. 

"It really seems that with out-of-state businesses, it becomes a pretty sticky situation," Krasselt said. "We don't have as much ability to enforce compliance when they're out of state."

However, Krasselt said DCP is taking advertising restriction enforcement seriously, and is working with the state Attorney General's office on reaching a solution to the billboard issue.

Elizabeth Benton, communications director for Attorney General William Tong, said the AG's office is aware of the issue, and is currently trying to figure out the billboards' legality.

"We are working with DCP to determine whether the outdoor advertisers are complying with Connecticut’s law that restricts such advertising and will take enforcement action as appropriate," Benton said.

John Barrett, president of the Outdoor Advertising Association of Connecticut, said outdoor ad companies are operating in good faith, and the issue of what’s legal and what isn’t hasn't been settled.

"The very fact that the AG's office is having difficulty on how to proceed indicates that [billboard companies] may have a case," said Barrett, who is also the chief operating officer of Barrett Outdoor Communications, which does not have any billboards featuring cannabis companies.

In an email, Duddy said his company is committed to operating within the state's new law.

"We understand that this is a polarizing subject in Connecticut," Duddy said. "Lamar is committed to being fully compliant with state law, industry best practices and company policy."
 

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