North Mississippi cannabis dispensary owner sues state of Mississippi over advertising ban

Micaela A Watts, Memphis Commercial Appeal
Updated ·3 min read
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A medical marijuana dispensary owner is suing the state of Mississippi in a challenge to the state's ban on advertising for all dispensaries.

Clarence Cocroft, the owner of TruSource Medical Cannabis in Olive Branch, is suing the Mississippi Department of Health, the Mississippi Alcoholic Beverage Control Bureau, and the Mississippi Department of Revenue for what his attorneys argue is a clear violation of his First Amendment rights through an advertising ban for state-licensed medical marijuana dispensaries.

The lawsuit was filed Tuesday morning in federal court in the Northern Mississippi district. Cocroft's attorneys are seeking a temporary injunction in addition to challenging the ban.

Currently, dispensaries can display a sign on the exterior of the building and list very basic information on specific websites, said Katrin Marquez, an attorney with the Institute for Justice, a national civil liberties law firm.

Cocroft, a former textbook author for Pearson, said the medical marijuana industry is "making it," but an advertising ban brings inevitable harm to his business, and other dispensaries.

This undated photo provided by Institute for Justice shows Clarence Cocroft II, who opened Tru Source Medical Cannabis in Olive Branch, Miss. Croft, the owner of a Mississippi medical marijuana dispensary filed a federal lawsuit Tuesday, Nov. 14, 2023, challenging state regulations that he says censor business owners by preventing them from advertising.

Mississippi's portal for medical marijuana shows around 25,000 residents for the entire state have their card that enables them to shop at dispensaries. Cocroft sees 22 to 30 people a day in his shop, though that number is slowly rising as more people obtain their medical marijuana cards.

"But every dispensary is suffering from not being allowed to advertise," Cocroft said told The Commercial Appeal in an interview. “If I’m paying taxes, why can’t I advertise like anyone else? It’s a legal business."

Cocroft's business has been kept afloat primarily through word or mouth, or through a sponsorship for nonprofits that, in turn, allow for a business to attach their name to an event.

But even then, potential customers have to guess where TruSource is located. The shop is located off of Highway 78 in Olive Branch, "off the beaten path" in an area zoned for dispensaries, Cocroft said. Even the four billboards Cocroft owns in North Mississippi cannot point to the direction of his business.

According to the federal complaint, word-of-mouth recommendations are also banned. Meaning nurse practitioners and doctors who prescribe marijuana cannot make recommendations as to where their patients can go.

Mississippi's policy goals in banning advertisements are unclear. The state law does not explicitly state a reasoning for the ban, but notes that businesses are restricted "from using inducements to persuade or influence the use of medical marijuana."

"Whatever Mississippi’s policy goals may be, the ban prohibits more speech than necessary to accomplish them," the complaint reads, while also noting that the state law contains a provision that restricts "any image designed or likely to appeal to minors, including cartoons, toys, animals, or children or any other likeness."

Marquez said the restriction on appealing to advertising to children makes sense. But the state already has other laws on the books that prohibit the advertising of heavily regulated products to minors.

"It's easy to get bogged down with the medical marijuana aspect," Marquez said. "But I think it's important to recognize that this case is really about a simple principal — if your business is legal, it should be legal talk to about your business."

Mississippi does not appear to have any advertising bans on others businesses and products that some may deem as inappropriate. A trip down I-55 will allow a drive to see billboards promoting stores that sell alcohol, tobacco, or advertise adult entertainment.

Casinos, another heavily regulated business, are also allowed to advertise.

"The first amendment protects the right to lawful transactions," Marquez said. "Clarence's business is lawful in Mississippi. But it's a business that people may not understand yet, and because of that, I think there's a lot of tension and fear about how you advertise it."

The Mississippi Health Department was unable to immediately return a request for comment.

Micaela Watts is a reporter for The Commercial Appeal covering issues tied to healthcare, hospitals, and resource access. She can be reached at micaela.watts@commercialappeal.com.

This article originally appeared on Memphis Commercial Appeal: TruSource medical marijuana dispensary sues Mississippi over ad ban