Federal Court orders $6.5 million penalty against CDA Clinics QLD over CBD product advertising

The Federal Court of Australia ordered CDA Clinics QLD Pty Ltd, which traded as CDA Express, to pay a $6.5 million penalty over advertising of CBD products, according to a judgment published on 30 October 2026.

Federal Court orders $6.5 million penalty against CDA Clinics QLD over CBD product advertising
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The Federal Court of Australia has ordered CDA Clinics QLD Pty Ltd (ACN 636 677 471), which traded as CDA Express, to pay a pecuniary penalty of $6,500,000 for contraventions of the Therapeutic Goods Act 1989 (Cth), according to a judgment published by the Court on 30 October 2026.

In Secretary, Department of Health and Aged Care v CDA Clinics QLD Pty Ltd trading as CDA Express [2026] FCA 1623, Collier ACJ declared that the company contravened s 42DLB(1) of the Act in 2021. The judgment states that the advertisements appeared on the company's website and Facebook page between 20 April and 30 July 2021 and concerned cannabidiol (CBD) products. The catchwords record advertising of therapeutic goods not entered on the Australian Register of Therapeutic Goods, prohibited and restricted representations, and references to substances in Schedules 3, 4 or 8 of the Poisons Standard.

The Court also declared that a second respondent, an individual, was involved in the company's contraventions, and ordered that respondent to pay a pecuniary penalty of $450,000 within 180 days, plus $20,000 in costs. The company was ordered to pay the Secretary's costs of the claims against it.

The judgment records that the Secretary filed the proceedings on 1 December 2023, that liquidators had been appointed to the company, and that the liquidators did not oppose the Secretary seeking the Court's leave to proceed against it. The company did not appear.

Source: Federal Court of Australia — Secretary, Department of Health and Aged Care v CDA Clinics QLD Pty Ltd trading as CDA Express [2026] FCA 1623 (judgment delivered 30 October 2026)