Charlie’s Holdings, Inc. announced that California regulators have added its Virginia Tobacco 25K-puff SBX disposable vape to the state’s Unflavored Tobacco List (UTL), which, according to the company, makes it the first 25,000-puff vaping device authorized for legal sale in the state. The approval follows California’s strengthened flavor restrictions under Assembly Bill 3218, which requires that only products classified as unflavored and included on the UTL can be sold in the state. Company executives said the listing positions the SBX device to access California’s retail market while underscoring Charlie’s focus on regulatory compliance and youth-access prevention.
Tag: California
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Calif. Court Denies Injunction for Cigar Companies in UTL Suit
A Los Angeles County Superior Court judge denied a request by premium cigar manufacturers and trade groups to block enforcement of California’s Unflavored Tobacco List (UTL) requirements. On Monday, January 12, Judge Cherol J. Nellon rejected the plaintiffs’ motion for a preliminary injunction in Rocky Patel Premium Cigars Inc. et al. v. Bonta, a state court case challenging emergency regulations tied to Assembly Bill 3218. The lawsuit was brought by Rocky Patel Premium Cigars, Cigar Rights of America, the Premium Cigar Association, and six other cigar manufacturers.
The plaintiffs argued that the regulations impose duplicative and burdensome SKU-by-SKU submissions on premium cigars that they contend are already unflavored under federal law. Judge Nellon found the plaintiffs were unlikely to succeed on the merits and failed to show irreparable harm.
The case stems from California’s creation of the UTL to enforce the state’s 2020 ban on most flavored tobacco products, requiring tobacco items to be approved for sale in the state. Plaintiffs sought to exempt “premium cigars” from the UTL, relying on a federal definition developed through FDA litigation, but the court held that the regulations lawfully apply to all tobacco products subject to the statute and do not exceed the attorney general’s authority. Nellon noted that the legislature chose a different approach to defining premium cigars and that the UTL rules are reasonably aimed at distinguishing unflavored products from prohibited flavored ones. This state ruling follows similar denials of relief in related proceedings and is separate from a parallel federal lawsuit involving the same parties and law but different legal claims.
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Nabis Acquires Major Share of Calif. Cannabis Market
Nabis, the “largest licensed cannabis wholesale platform in the U.S.,” acquired select assets of California distributor Humble Cannabis Solutions, expanding its distribution footprint across Northern and Southern California as the industry adjusts to federal cannabis rescheduling from Schedule I to Schedule III. The deal adds roughly $13 million in assets and $20 million in gross sales, strengthening Nabis’ technology-driven infrastructure to support scaling demand.
The transaction includes a $4 million strategic capital investment from Humble Cannabis Solutions, $4 million in distribution assets to be integrated into Nabis’ California operations, and $5 million in debt financing to support the company’s growth.
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Court Creates Split on Cannabis Landscape
A U.S. appeals court ruling last Friday (January 2) added fresh legal uncertainty to the regulated cannabis landscape, with potential implications for adjacent nicotine and tobacco industries. The Ninth Circuit Court of Appeals held that the dormant commerce clause does not apply to state-legal cannabis markets because marijuana remains illegal under federal law. The decision allows states within the Ninth Circuit to maintain residency-based licensing and other local protectionist measures, and directly conflicts with earlier rulings from the First Circuit (2022) and Second Circuit (2025), which extended constitutional commerce protections to legal cannabis despite federal prohibition—creating a clear circuit split.
The case challenged residency requirements for retail marijuana licenses in Washington State and Sacramento, California, brought by an out-of-state applicant who argued the rules unfairly favored locals. Writing for the court, Judge Daniel A. Bress said federal courts are not required to “inaugurate free trade” in a market Congress has deemed illegal under the Controlled Substances Act. While the ruling strengthens state and local control—often tied to social equity frameworks—it increases regulatory fragmentation across the U.S., underscoring the uneven legal footing of cannabis compared with federally lawful tobacco and nicotine products and raising the likelihood of eventual U.S. Supreme Court review.
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California Publishes First Unflavored Tobacco List
California Attorney General Rob Bonta announced the release of the state’s first-ever Unflavored Tobacco List (UTL), created under Assembly Bill 3218 (Wood, 2024). The list identifies unflavored tobacco products that may be legally sold under California’s flavored tobacco restrictions. Any covered product not included on the UTL is deemed flavored and prohibited from sale.
To be considered for the initial list, manufacturers and importers were required to submit applications by October 9, 2025. All timely submissions have now received a determination, while ongoing registrations remain open. State officials warned that products not registered and listed on the UTL are subject to seizure and penalties.
Enforcement of the flavored tobacco ban is led by the California Department of Public Health, with support from the Department of Tax and Fee Administration and state and local law enforcement. While enforcement will prioritize clearly flavored products, authorities said the UTL is intended to provide clarity for regulators, retailers and manufacturers and strengthen oversight aimed at reducing youth tobacco use.
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Altria Drops Suit as Elf Bar Exits California Market
Elf Bar’s parent company, iMiracle, agreed to cease sales of flavored disposable vapes in California, effectively ending a protracted legal battle with Altria’s e-cigarette unit NJOY. Under a joint motion, iMiracle will accept a permanent injunction preventing it from selling or shipping flavored vape products into California and will also refrain from shipping to other jurisdictions if the products are likely destined for California.
The lawsuit, initially filed in late 2023, alleged that iMiracle’s flavored products competed unfairly with NJOY’s FDA-authorized devices and violated California’s flavored tobacco ban and federal regulations. Most defendants in the original suit were dropped; iMiracle remained the principal target.
Though iMiracle denies liability, it agreed that violation of the injunction would be treated as contempt of court. The settlement is conditioned on California maintaining its current flavor ban; if the law is repealed or amended substantially, the injunction may no longer apply.
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PCA Pushes Back on California “Unflavored Tobacco List”
The Premium Cigar Association (PCA), joined by the Boutique Cigar Association and the newly formed California Premium Cigar Association, has filed comments opposing emergency regulations from the California Attorney General’s Office that would create an “unflavored tobacco list” following the state’s flavored tobacco ban.
The PCA criticized the emergency designation as unjustified, arguing that premium handmade cigars do not pose youth access or public health risks comparable to other tobacco products. The group also raised concerns over the high costs, vague definitions, and extensive documentation requirements the rules would impose, potentially forcing small businesses and specialty cigar shops out of the market.
“These regulations and fees are a needless and costly burden to our manufacturer and retail partners, that will have no affect on youth access, protection of public health, or enforcement of the existing flavor tobacco ban,” said Glynn Loope, PCA’s Director of State Advocacy, warning the policy sets a “horrible national precedent.”
California retailers echoed those concerns, warning the rules could reduce brand availability, eliminate limited editions, and shrink consumer choice. PCA said it will continue monitoring the regulatory process and work with allies on next steps.
You can view PCA’s filed comment on California’s Proposed Unflavored Tobacco List Emergency Regulations by clicking here.
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California Drafting Rules for Unflavored Tobacco List
Five years after passing a flavored tobacco ban, the California Attorney General’s Office this week released a draft detailing how tobacco manufacturers can request placement of products on the state’s Unflavored Tobacco List (UTL), a key requirement under the state’s flavored tobacco ban. The list is essentially the state’s official registry of tobacco products that are certified as not having a “characterizing flavor” — meaning they don’t taste or smell like menthol, fruit, candy, mint, vanilla, chocolate, or any other non-tobacco flavor.
According to the draft, companies wanting to sell tobacco and nicotine products must file an online application for each “Brand Style” they want listed, certify that the product has no characterizing flavor, waive sovereign immunity, consent to California court jurisdiction, and submit a sample in its largest retail package. A $300 fee per product must be paid online, and applications must be truthful under penalty of perjury. Products submitted by the initial deadline will be considered for the first official list, set for release by Dec. 31, 2025.
Products that require federal premarket authorization but haven’t received it are generally ineligible—unless they meet specific conditions, such as being on the U.S. market by certain dates and having timely FDA applications still pending. Exceptions apply if the FDA says no authorization is needed, a court vacates a denial, or the product is a variant of an already-listed brand.
“The UTL will cause many companies to stop selling products in California because of the registration process,” wrote Charlie Minato for Halfwheel. “Many might choose not to sell limited edition cigars in California because of the added paperwork. Furthermore, because companies will need prior authorization to sell the products, it might mean that California retailers will receive delayed shipments of new items as cigar companies wait for the attorney general’s office to approve a product for the UTL.
“It’s not just a problem for California-based retailers; this would apply to all shipments going to California, meaning that a retailer in Florida would run the risk of fines if they were to ship a product not on the UTL to a consumer in California.”
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Cresco Labs to Exit California Cannabis Market
Cresco Labs Inc. announced plans to sell its California operations as part of a strategic restructuring aimed at boosting cash flow and focusing on higher-margin markets. The multistate cannabis operator is in talks with buyers for its cultivation, manufacturing, and select distribution assets in California, with a deal expected in the coming quarters. Cresco will retain its premium FloraCal brand, continuing its presence in key U.S. markets.
CEO Charlie Bachtell cited California’s “structural challenges” and the lack of a scaled footprint as reasons for the exit, saying the move will allow Cresco to reallocate capital to core and emerging markets with clearer growth potential.
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Bloom Earns Quality Certification
Bloom, a national cannabis vape brand, announced it has earned Environmental & Consumer Compliance Organization (ECCO) Certification in California — raising the bar for product testing, accountability, and transparency within the cannabis industry. Regulatory enforcement and lab testing standards vary widely across states in the cannabis market, often resulting in inconsistent, conflicting product results.
“By achieving ECCO Certification, Bloom reaffirms our commitment to delivering high-quality products for our customers,” said Thomas Brinly, VP of Operations and Supply Chain at Bloom. “This certification ensures that consumers have transparent, verified information about what’s in their vapes—tested beyond standard regulatory requirements. We encourage other brands to join us in raising the bar for product integrity and consistency across the cannabis industry.”
ECCO is an independent, nonprofit organization committed to consumer and environmental safety. Products certified by ECCO are rigorously screened for over 100 potential contaminants beyond what the California DCC requires. This is all done through ongoing third-party lab testing. Certification is only awarded to brands that pass stringent benchmarks for safety, integrity, and transparency. ECCO is currently offered in the state of California.