1. (1) The following conduct is prohibited:

   1. (a) Failure to comply with any provision of ORS 475C.600 to 475C.648 or these rules.
   2. (b) Transferring, selling, or offering to sell an industrial hemp-derived vapor item for ultimate sale to a consumer to another hemp vapor item manufacturer that is not labeled in accordance with these rules.
   3. (c) Failure to receive label approval prior to transferring, selling, or offering for sale an industrial hemp-derived vapor item that is for ultimate sale to a consumer.
   4. (d) Transferring, selling, or offering for sale an industrial hemp-derived vapor item that has not received label approval.
   5. (e) Selling or offering to sell an industrial hemp-derived vapor item under a different label than what was approved.

2. (2) For each violation of a provision of ORS 475C.600 to 475C.648 or a rule adopted thereunder, the Commission may impose a civil penalty of up to $500 per violation.

   1. (a) Each violation of a provision of ORS 475C.600 to 475C.648 or a rule adopted thereunder is a separate violation.
   2. (b) Each unit of sale that is in violation of a rule or statute constitutes a separate violation.

   3. (c) Civil penalties are assessed as follows:

      1. (A) Except as provided in paragraphs (B) to (D) of this subsection, violations of OAR 845-026-7000 to 845-026-7070 will be assessed up to $50 per violation with an overall cap of $10,000 for all violations charged concurrently in a single notice.
      2. (B) Violations of OAR 845-026-7030(2) will be assessed up to $250 per violation with an overall cap of $50,000 for all violations charged concurrently in a single notice.
      3. (C) Knowing violations of OAR 845-026-7030(2) in which a label is untruthful or misleading will be assessed up to $500 per violation with an overall cap of $100,000 for all violations charged concurrently in a single notice.
      4. (D) Notwithstanding paragraphs (A) to (C) of this subsection, any violations that create a present or substantial likelihood of a threat to public health or safety will be assessed up to $500 per violation with an overall cap of $500,000 for all violations charged concurrently in a single notice.
      5. (E) If a person has within the previous two years been assessed a civil penalty under this rule, the Commission may assess the maximum of $500 per violation with an overall cap of double the overall cap amounts described in paragraphs (A) to (D) of this subsection for all violations charged concurrently in a single notice.
3. (3) Section (2) of this rule does not apply to a person who is a hemp handler licensed under ORS 571.281.

Statutory/Other Authority

ORS 475C.604, 475C.608, 475C.612, 475C.616, 475C.636 & 475C.644

Statutes/Other Implemented

ORS 475C.604 & 475C.644

History

OLCC 202-2022, amend filed 11/21/2022, effective 01/01/2023
OLCC 21-2022, minor correction filed 02/25/2022, effective 02/25/2022
OLCC 21-2021, adopt filed 12/30/2021, effective 01/01/2022