Behind the DC Cannabis Closures

If you live in or around DC, you may have noticed some recent changes to the business landscape–specifically if you enjoy cannabis. 

There has been a sequence of closures of cannabis businesses over the past year, which potentially means less access to cannabis as well as changes to the cannabis industry. 

Wondering why? We will explore the status of cannabis in DC, what exactly has been happening with these business closures, why they have been shut down, and what this may mean for the future of cannabis in DC. 

Legal Status of Cannabis in DC

First, let’s get clear on the legal status of cannabis in DC. According to the Washington DC police department website, cannabis is legal for both medicinal use and recreational use within certain boundaries. They specify that it is “small amounts” for adults 21 and older, amongst other restrictions. 

Additionally, the Washington DC Cannabis Information website specifies that it is legal to grow a max of six marijuana plants. Meanwhile, penalties for violating the cannabis laws include “jail sentences, payment of fines, driver’s license suspension, and sometimes, asset confiscation.”

What Has Been Happening with Cannabis Businesses in DC? 

In contrast to this recreational legality, there has been a recent stream of cannabis business shutdowns in DC.  The Office of the Attorney General for the District of Columbia announced that, as of February 27, 2025, it has shut down 25 unlicensed cannabis retailers in DC over the past six months.

Additionally, “in partnership with the District Alcoholic Beverage and Cannabis Administration (ABCA) and the Metropolitan Police Department (MPD), OAG’s Civil Enforcement Section (CES) has brought actions against a total of 38 unlicensed establishments illegally selling cannabis products.”

This has only continued to increase, as DC News Now reported on March 25, 2025, that the Alcoholic Beverage and Cannabis Administration had shut down its forty-second unlicensed cannabis retailer in DC. 

According to the Office of the Attorney General, the enforcement operations include purchasing and testing products, as well as sometimes obtaining search warrants. Then, cease and desist letters are issued. 

These changes have rapidly disrupted the DC cannabis market, forcing more shops to shut down. DC cannabis business owners and residents deeply feel the impact. 

READ: DC Passes Medical Marijuana Reciprocity Law

Why Are They Closing?

But why is this happening? Of course, authorities regularly investigate and close some unlicensed shops, but they have shut down many suddenly and in large numbers. 

The answer is complicated. In terms of legislation, these shutdowns can be accounted for by the enactment of Bill 25-872, the Medical Cannabis Conditional License and Unlicensed Establishment Closure Clarification Emergency Amendment Act of 2024. This gave the agency, composed of the police department, ABCA, and the D.C. Attorney General’s Office, new civil enforcement powers, resulting in increased search warrants, cease and desist notices, and shutdowns. 

In terms of the specific violations or reasons that these shutdowns are taking place through this bill, the answer seems to be the presence of laced, unregulated, and illegal products. This includes cannabis products that are mixed with amphetamine and other narcotics. 

Beyond cannabis, investigators have also uncovered and confiscated other illegal products at some shops, including “weapons, cash, cocaine and other illegal drugs.”

All in all, the agency claims that public safety is driving the shutdowns. Stephanie Litos, the Senior Council for Attorney General for Trials and Complex Litigation, explained, “People are going into shops, thinking they are buying cannabis but, instead, they are buying and ingesting stuff that’s not just cannabis but laced with other dangerous drugs.” 

Future of Cannabis in DC

All of this raises the question: what’s next for cannabis in DC? 

There are some potential outcomes from these changes. On the one hand, some believe that this will make DC’s cannabis landscape safer by ensuring proper regulation of sales and consumption and reducing consumers’ exposure to unsafe, unregulated cannabis. Others may feel that this limits cannabis and reduces the ease of access in DC.

Additionally, authorities shutting down unregulated, unlicensed cannabis shops may help legally operating cannabis businesses, though they have not necessarily felt this change yet. Martin Austermuhle with The 51st explains, “All of the talk of enforcement is of little comfort to some of D.C.’s existing medical marijuana dispensaries, who say they are still losing business to existing gifters and illicit delivery services – not to mention Maryland’s market.” 

These changes have happened so recently and rapidly that it is unlikely we can determine their true effect yet, but we can hope that they will ultimately lead to more success for legally running cannabis businesses while keeping consumers safer. 

Final Thoughts

The shutdowns of various cannabis businesses in DC have been swift and intense, with 40+ businesses closed just over the past six months. 

This is a notable shift in the cannabis community in DC and has multiple potential effects, ranging from increased safety to increased urgency of business owners to get up to code, to, ideally, increased business for legally operating businesses. 

Assessing the real impact of the new legislation and stream of investigations and shutdowns will likely take time, as all of this is still fresh and has been happening quickly. 

We can hope that the effect will ultimately be net positive, aiding in the success of licensed and legally operating businesses and boosting the safety of consumers.