As the cannabis industry continues to evolve, loyalty programs have become a staple, with customers earning points, discounts, and perks for every dollar spent. But what happens to your hard-earned rewards if your go‑to dispensary suddenly closes its doors? The answer isn’t as simple as a universal policy—it varies by dispensary, not by state law.
Dispensary-Specific Policies: The Default Rule
In most cases, the handling of rewards when a dispensary closes depends entirely on the individual store’s loyalty program terms and conditions—many of which grant them broad discretion.
- Program termination clauses: For example, some dispensaries explicitly state that if the program is terminated or suspended, any unused points will be forfeited without compensation.
- Modifications allowed: Others reserve the right to modify or cancel the program at any time, with or without notice, and specify that any non‑redeemed points would simply vanish.
These provisions typically appear in the fine print under “Program Changes” or “Termination” clauses. Unless a dispensary voluntarily offers account transfers or refunds, points generally disappear once the business closes or the loyalty system is shut down.
What About Points With No Expiration?
Some dispensaries offer programs where points never expire. Yet this safeguard pertains only to expiration—not closure. If the dispensary closes without honoring those points or transferring them, legal expiration becomes irrelevant.
Inactivity Versus Closure
Many loyalty plans hinge on account activity. For instance:
- Rolling expirations: Some dispensaries implement a rolling 90‑day expiration policy without activity.
- Fixed inactivity windows: Other programs wipe points after 60 days or up to six months of inactivity.
Yet again, these expiration mechanisms focus on account use, not business closure. If the dispensary disappears, your points disappear too, unless contingencies exist.
Is There Any Legal Safety Net?
Unlike some other retail sectors, cannabis rewards programs aren’t regulated by state laws focusing on loyalty program continuity. Instead, oversight stems from consumer protection statutes, which prohibit unfair or deceptive practices. While these laws require transparency, they typically don’t compel a closed business to refund or transfer rewards points. The absence of clear state-wide regulations means customers rely on contractual obligations—outlined in loyalty terms—with no guarantee of recourse after closure.
Real-World Recommendations
- Know the fine print: Read terms about program termination or business closure.
- Redeem early: Use points proactively—especially if there’s a hint of closure.
- Ask about transfers: Some multi-location operators allow cross-location redemption.
- Monitor communications: Stay alert to closure announcements or program changes.
The Bottom Line
When a dispensary closes, loyalty points are almost always at risk. Because policies are dispensary-specific, not mandated at the state level, customers must rely on program terms—or act preemptively. Points may be transferable within a brand, but across different businesses? Unlikely. The safest move: spend them while you can, and stay informed.