Benjamin Patterson v. SLI, LLC, et al.

CourtDistrict Court, N.D. Illinois
DecidedJune 22, 2026
Docket1:25-cv-07719
StatusUnknown

This text of Benjamin Patterson v. SLI, LLC, et al. (Benjamin Patterson v. SLI, LLC, et al.) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Benjamin Patterson v. SLI, LLC, et al., (N.D. Ill. 2026).

Opinion

UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

BENJAMIN PATTERSON,

Plaintiff, No. 25 CV 7719 v. Judge Manish S. Shah SLI, LLC, et al.,

Defendants.

MEMORANDUM OPINION AND ORDER

Defendants SLI, LLC, SLI Holdings, LLC, SLTI, LLC, SLI Investors, LLC, and BC Brands, LLC manufacture and market vapable products. Plaintiff Benjamin Patterson purchased two of defendants’ products from a third-party dispensary. He brings claims against defendants for violating the Illinois Consumer Fraud Act, as well as for common-law fraud, fraudulent concealment, breach of express warranty, breach of implied warranty, and unjust enrichment. Defendants move to dismiss under Rule 12(b)(1) for lack of standing and Rule 12(b)(6) for failure to state a claim. For the reasons discussed below, defendants’ motion to dismiss is granted. I. Legal Standards Federal Rule of Civil Procedure 12(b)(1) governs dismissals based on lack of subject matter jurisdiction. Article III of the Constitution confines the federal judicial power to resolving “cases” and “controversies.” TransUnion LLC v. Ramirez, 594 U.S. 413, 423 (2021). A case or controversy exists only where the plaintiff has a personal stake in the case (i.e., standing). Id. To satisfy standing, “a plaintiff must show (i) that he suffered an injury in fact that is concrete, particularized, and actual or imminent; (ii) that the injury was likely caused by the defendant; and (iii) that the injury would likely be redressed by judicial relief.” Id. (citing Lujan v. Defs. of Wildlife, 504 U.S.

555, 560–61 (1992)). As the party invoking federal jurisdiction, plaintiff bears the burden of establishing standing. In re Recalled Abbott Infant Formula Prods. Liab. Litig., 97 F.4th 525, 528 (7th Cir. 2024). Because defendant makes a facial challenge to plaintiff’s standing, I accept all well-pleaded allegations as true and draw all reasonable inferences in plaintiff’s favor. Id. Federal Rule of Civil Procedure 12(b)(6) governs dismissals based on failure to

state a claim upon which relief may be granted. To survive a 12(b)(6) motion, the complaint must contain “a short and plain statement of the claim showing that the pleader is entitled to relief.” Kaminski v. Elite Staffing, 23 F.4th 774, 776 (7th Cir. 2022) (quoting Fed. R. Civ. P. 8(a)(2)). The complaint must contain “sufficient factual matter, accepted as true, to ‘state a claim to relief that is plausible on its face.’” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (quoting Bell Atlantic Corp. v. Twombly, 550 U.S. 544, 570 (2007)). In evaluating a complaint’s sufficiency, courts “accept as

true all well-pled facts and make any reasonable inferences in the non-movant’s favor.” Brant v. Schneider Nat’l, Inc., 43 F.4th 656, 664 (7th Cir. 2022). A plaintiff alleging fraud under the Illinois Consumer Fraud Act must meet the heightened pleading standard of Rule 9(b). Camasta v. Jos. A. Bank Clothiers, Inc., 761 F.3d 732, 736–37 (7th Cir. 2014). Under Rule 9(b), the plaintiff must identify “the who, what, when, where, and how of the fraud.” Id. (citation omitted). II. Background Defendants manufacture, market, label, and package cannabis-infused products (CIPs). [1] ¶¶ 1–5.1 Defendants’ CIPs are vapable products (“vapable oils”)

sold with the intent that they be vaped. [1] ¶ 4. Defendants sell their products under the brand names Breeze Canna and Cheetah. [1] ¶ 5. CIPs are safe to be consumed in potencies of no more than 100 milligrams of tetrahydrocannabinol per package. [1] ¶ 6. Plaintiff alleges that defendants’ vapable oils universally exceed this safety limit by 10 or 20. [1] ¶ 6. High THC potency cannabis products pose health risks. [1] ¶ 50. These

products are linked to risk of adverse physical effects and psychiatric-related illnesses. [1] ¶ 52. Frequent use of these products also leads to dependence. [1] ¶ 54. Cannabis is illegal at the federal level. [1] ¶ 32. Illinois similarly recognizes the risks inherent in the consumption of THC. [1] ¶ 59. Nevertheless, in 2019, Illinois passed the Cannabis Regulation and Tax Act, which legalized the possession and use of recreational cannabis by persons over the age of 21 in Illinois. [1] ¶ 47. The use of recreational cannabis in the state is subject to express safety requirements and

limitations. [1] ¶ 47.

1 Bracketed numbers refer to entries on the district court docket and page numbers are taken from the CM/ECF header placed at the top of the filing. The facts are taken from the complaint, [1]. The court has subject-matter jurisdiction over the state-law claims under the Class Action Fairness Act, 28 U.S.C. § 1332(d)(2): plaintiff is a citizen of Illinois, defendant BC Brands is a citizen of Michigan for CAFA purposes, see City of East St. Louis v. Netflix, Inc., 83 F.4th 1066, 1070 (7th Cir. 2023), and the aggregate claims of all members of the proposed class are in excess of $5,000,000. [1] ¶¶ 21, 26–28. Two categories of cannabis products may be manufactured and sold to consumers in Illinois: smokeable products (cannabis concentrates) and CIPs (such as edibles and oils). [1] ¶ 65. CIPs are not intended to be smoked. [1] ¶ 66. The Illinois

statute defines smoking as requiring combustion, whereas vaping does not require combustion. [1] ¶¶ 68–69. Product packages must define what the product is and label the product with its common name. [1] ¶ 75. Illinois law imposes different regulations on cannabis concentrates and CIPs: Illinois residents can possess up to 5,000 milligrams of cannabis concentrate, but only 500 milligrams of THC in a CIP. [1] ¶ 83. Non-residents may possess only half of

those quantities. [1] ¶ 84. The required product warnings also differ: smokeable concentrates must include a statement that “Smoking is hazardous to your health” and (most) CIPs must include a warning that reads “CAUTION: This product contains cannabis, and intoxication following use may be delayed 2 or more hours. This product was produced in a facility that cultivates cannabis, and that may also process common food allergens.” [1] ¶ 76. Plaintiff Benjamin Patterson bought a 1000-milligram Breeze Canna pen from

a third-party dispensary. [1] ¶ 134. Patterson bought a second 1000-milligram Breeze Canna pen from the same third-party dispensary a few weeks later. [1] ¶ 132. Before purchasing the pens, plaintiff observed the packaging and description of the products on the dispensary’s ordering platform. [1] ¶ 137. He also personally reviewed the label and packaging of the vapable oils before confirming his order. [1] ¶ 140. Plaintiff alleges that the label and packaging indicated that the products complied with safety requirements and the law. [1] ¶¶ 140–41. He did not observe any warnings indicating that the vapable oils contained THC that exceeded safe

limits or any instruction regarding how to safely use the products. [1] ¶ 143. Plaintiff further alleges that, on information and belief, the images on the dispensary ordering platform were created and approved by defendants (and thus that defendants had control over the representations made or omitted therein). [1] ¶ 142.

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