Mike Curley
March 4, 2026
Vape Makers, Distributors Want Antitrust Claims Tossed
3 min
AI-made summary
- • Vape manufacturers and distributors filed motions to dismiss consumers' antitrust claims in a California federal multidistrict litigation, citing lack of standing and conspiracy evidence. • Defendants argue consumers are too far removed from the manufacturers' and distributors' markets and that the complaint fails to allege specific pricing practices or market share. • The motions state defendants only sell empty vapes, not cannabis-filled ones, and that the alleged conspiracy does not cover the entire market. • Defendants contend that the amended complaint does not provide factual support for a price-fixing conspiracy or show that distributor defendants coordinated their agreements with Smoore.
A group of vape manufacturers and distributors are asking a California federal judge to throw out consumers' claims in antitrust multidistrict litigation, saying the allegations fail to establish either standing or the existence of a price-fixing conspiracy.
In a pair of motions filed Friday, distributor defendants 3Win Corp., Jupiter Research LLC, Canna Brand Solutions, and Greenlane Holdings Inc. and manufacturers Shenzhen Smoore Technology Co. Ltd. and Smoore International Holdings said the end purchasers, already on their third amended complaint, shouldn't get yet another chance to amend their claims.
In response to the court dismissing an earlier complaint and saying the federal antitrust claims can't apply to the federally illegal cannabis-filled vapes at issue, the consumers refiled a complaint alleging claims under California's Cartwright Act, but those claims still fall short, the defendants wrote.
The motions said the consumers are too far down the commerce chain from either the manufacturers' or distributors' markets, and by their own admission don't participate in those markets, which is fatal to the claims.
While the third amended complaint simplifies the distribution chain to place the end purchasers closer in the stream of commerce, this ignores the facts and regulations of California's cannabis market, and past allegations that more accurately described the system, they said.
The defendants argued that the central claim — that the consumers paid higher prices for cannabis-filled vapes — doesn't implicate them, as they sell and distribute empty vapes, not cannabis-filled ones, and they are distinct markets.
In the suits, consolidated in the MDL in October, the plaintiffs allege the distributor defendants agreed via deals with manufacturer Smoore to create a price floor for the vapes and prevent the purchase of competitors' products, while sharing price and customer information with one another. Four of the suits are being pressed by consumers, and the fifth was filed by a retailer.
Friday's motions claim the latest amended complaint fails to allege facts about the conspiracy, or rule out the possibility that each of the distributor defendants independently agreed to Smoore's deals because it was good for their business.
The one meeting the complaint points to as evidence of the conspiracy happened well after each of the distributors signed those deals, and there are no factual allegations supporting the claim that any of the distributors discussed their deals with each other, the motions said.
In addition, the defendants argued that the price-fixing claims fail because the consumers haven't alleged any pricing practices, including the prices at which Smoore sold the vapes or at which the distributors sold to retailers, or even how much the consumers themselves paid.
Nor does the complaint allege that the alleged conspiracy has taken up the entire market, the defendants contended, as it does not specify the companies' California market share, and only alleges that a single competing manufacturer lost access to a single defendant distributor.
And while the consumers now couch their claims in terms of California law, they are still seeking damages for allegedly overpriced cannabis vapes, relief that the federal courts cannot provide, the defendants said.
Representatives for the parties could not immediately be reached for comment Monday.
The consumers are represented by James L. Ferraro and James L. Ferraro Jr. of the Ferraro Law Firm PA, Jason R. Sultzer and Scott E. Silberfein of Sultzer & Lipari PLLC, Jeffrey K. Brown of Leeds Brown Law PC, and Steven N. Williams.
Consumer B.Z. is represented by Nick Suciu III and Russell Busch of Bryson Harris Suciu & DeMay PLLC.
Consumer Martin Rukeyser is represented by Jonathan M. Streisfeld and Jeff Ostrow of Kopelowitz Ostrow PA.
Consumer M.M. is represented by Miles N. Clark.
Retailers Earth's Healing and Redbud Roots are represented by Christopher L. Lebsock, J.R. Hamilton, and Nathaniel C. Giddings of Hausfeld LLP and Joshua H. Grabar of Grabar Law Office.
Direct purchaser Summit Industrial Solutions is represented by Bailey Twyman-Metzger, Daniel C. Hedlund, Dennis Stewart, and Michelle J. Looby of Gustafson Gluek PLLC.
The Smoore companies are represented by Kevin Y. Teruya, Lynette Lim, William R. Sears, and Yixuan Zhu of Quinn Emanuel Urquhart & Sullivan LLP.
The distributors are represented by Diane Hazel, Jaikaran Singh, and Timothy Patterson of Foley & Lardner LLP.
The consolidated case is In re: CCell Closed Cannabis Oil Vaporization Systems and Components Products Litigation, case number 3:25-md-03161, in the U.S. District Court for the Northern District of California.
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Mike Curley
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