RAW Rolling Papers Are Not 'Drug Paraphernalia,' Court Confirms

The United States Court of Appeals for the Ninth Circuit has upheld a previous ruling in favor of BBK Tobacco & Foods LLP, doing business as HBI International, in its ongoing litigation with Central Coast Agriculture, Inc. The Court denied Central Coast Agriculture’s petition for a rehearing by the full court, maintaining the original decision made by a three-judge panel. This decision marks a pivotal moment in the trademark dispute between the two companies, centering around the use of the “RAW” and “Raw Garden” trademarks.

The July 26, 2024, ruling solidifies the stance that BBK's RAW rolling papers are not classified as “drug paraphernalia” under the Controlled Substances Act, a claim that Central Coast Agriculture had previously challenged. The denial of the rehearing request means that the lower court’s ruling, which was in favor of BBK, remains intact.

"This outcome reaffirms our commitment to protecting our business interests and upholding the integrity of our operations," said a spokesperson for BBK. "We will continue to focus on providing high-quality products to our customers while defending our rights in the legal arena."

Background Of RAW Case

The dispute began when BBK Tobacco & Foods LLP, known for its RAW-branded smoking products, claimed that Central Coast Agriculture’s use of the “Raw Garden” trademark for its cannabis products infringed on BBK’s trademarks. BBK’s complaint included allegations of trademark infringement and sought to cancel several of CCA’s trademark applications on the grounds of lack of bona fide intent to use the mark in commerce.

See also: RAW Rolling Papers Battles Sex Pill Maker In High-Stakes Trademark Clash

In April 2024, the Ninth Circuit had affirmed the district court’s jurisdiction to consider challenges to trademark applications within the scope of an action involving a registered trademark. The court found that CCA’s intent-to-use applications for the “Raw Garden” trademark lacked bona fide intent, thus validating BBK’s claims.

The Legal Journey

BBK’s legal journey has seen a series of strategic legal maneuvers. Initially, the district court dismissed BBK’s false advertising claims but granted summary judgment in favor of BBK on its counterclaims to invalidate CCA’s trademark applications. The Ninth Circuit's latest ruling not only maintains this stance but also prevents any further reconsideration of these decisions by a larger panel of judges.

The implications of this ruling are significant for BBK, as it safeguards the integrity of its trademark and business practices. The company has consistently argued that its products, including RAW rolling papers, lighters and tobacco grinders, are not “drug paraphernalia” and should not be classified as such under federal law.

Industry Impact

This legal victory for BBK is not just a win for the company but also sets a precedent in the industry regarding the protection and enforcement of trademarks. It highlights the importance of having bona fide intent to use trademarks in commerce, especially in the competitive landscape of the cannabis and smoking accessories market.

The case also underscores the complexities involved in trademark disputes, particularly when they intersect with federal regulations on controlled substances. For BBK, the ruling is a testament to their resilience and commitment to fair business practices.

This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Photo courtesy of RAW Rolling Papers.