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Why Voting For Cannabis Doesn’t Always Equal Cannabis Legislation

At every level of the government, cannabis resistance lacking a defensible basis beats out the voted will of the people.

By Greg Huffaker III, Director Of Client Services With Canna Advisors

State after state, millions of voting Americans check ‘yes’ on their ballot for cannabis. Most of these voters understandably assume that’s the end of the story, and their government officials then go out and create a cannabis program. Those millions would be surprised to learn this is not the case all too often.

In recent weeks, we have seen Mississippi’s Supreme Court strike down their voter-approved cannabis program, as well as Florida’s Supreme Court uphold a legislatively created divergence from that voter-approved program. These maneuvers are a continuance of a pattern of elected and appointed government officials fighting cannabis after the voters have approved it, often influenced by vocal cannabis opponents.

Cannabis Legalization: What’s At Stake On Election Day
Photo by KellyJHall/Getty Images

Though cannabis is by no means the only issue where government action does not match the polled desires of the population (e.g., gun control, minimum wage), the important difference in cannabis is that the votes were cast, the will of the voters clear, yet resistance persists, and across all three branches of state governments.

When a state legalizes cannabis (medical or adult-use), it can do so via either the legislature passing a bill that the governor then signs or by putting a question on the ballot for voters to decide. That question on the ballot can be put there by collecting a qualifying number of signatures of state residents, as Mississippi did, or from the state legislature putting the question to the voters, as New Jersey did. Voters usually are making a change to the state constitution when they are voting on a ballot question.

After a voter-approved constitutional amendment passes, the legislature should then pass enabling legislation, directing a state agency to write regulations that follow the constitutional amendment and enabling legislation. Those regulations, written in an agency under the governor, should then be used to administer the program. People will then sue, bringing the courts into the mix. Sometimes these suits are brought by opponents, as in Mississippi, and sometimes they are brought by proponents, as in Florida.

RELATED: South Dakota’s Amendment Legalizing Recreational Weed Ruled Unconstitutional

The involvement of all three branches gives a variety of opportunities for program interference to occur. Back in 2018, an Ohio court struck down a license preference for racial minorities, and as mentioned, other state courts weigh in as well. In Montana and Florida, both the state courts and their legislatures have attacked legalizing cannabis at different points. Governors in South Dakota and Florida have also taken anti-cannabis actions after their voters approved.

Overturning the 74% Vote in Mississippi

Mississippi’s well-meaning amendment imposed only the state’s sales tax on cannabis sales. Looking to other states that generate more income through special taxes and fees, the Mississippi government seemed to yearn for the missing cash. Using what may well be impeachable reasoning, the state’s highest court struck down the voter-approved constitutional amendment, so that the legislature can create their own program, which will generate more revenue.

Republicans From Legal Marijuana States Won’t Vote To Legalize Federally
Photo by Nathan Griffith/Getty Images

No Straight Path in the Great Plains

Montana voters first legalized a medical program in 2004, which the legislature and courts then obliterated through a 2011 law, which the state supreme court upheld in 2016. Later that same year, Montana re-voted a medical program in, then in 2020 voted in an adult-use program, which their legislature then diluted down this year.

South Dakota’s Governor Kristi Noem is a vanguard in ignoring the votes of her people. Being the first state to pass medical and adult-use cannabis simultaneously, Noem had the opportunity to streamline the two programs. Instead, she is fighting adult use and their legislature is propping up the medical program, creating waste now and likely duplicity/contradiction later.

Florida’s Uniquely Broken Process

After 71% of Floridians voted for a medical program, the Governor set up the program to fail through appointing regulators who did so little that the legislature had to freeze their salaries in an attempt to get them to respond to the legislature’s requests for information.

RELATED: Dispensaries Sue City Of Miami For Right To Open; Florida Supreme Court Tosses Recreational Ballot Drive

Years of various lawsuits have mired the Florida program. The most recent was from the state Supreme Court. The Court upheld a law passed by the legislature that made a significant change to what the voters approved. That law only allows for a single license that does all business functions, called required vertical licensing. Vertical licensing differs from horizontal licensing, where someone can just operate one business type, like a cultivation or a dispensary. Though the constitutional amendment used the article “or” in the definition of what activities a business could engage in, the law passed by the legislature only had a single license type, which could do every phase of business, effectively turning that “or” into an “and.”

Why Does Congress Need Two Years To Federally Legalize Marijuana?
Photo by matt_benoit/Getty Images

Support and State Revenue Swell, Yet Obstruction Persists

Through the years, watching cannabis resistance has been fascinating, though often depressing. It is difficult to find issues in the U.S. that have such high agreement as cannabis—91% in one recent survey—and moreover increase state revenue simultaneously.

The cannabis opponents that remain generally make two main arguments: 1) We NEED more research into its dangers (somehow over 29,000 peer-reviewed studies, the vast majority of them searching for negative effects and finding few, is not enough for them; yet, all sunscreen use is based on one randomized study) and 2) but think of the children (as if children are not able to currently obtain cannabis). Yet, at every level of the government, cannabis resistance lacking a defensible basis beats out the voted will of the people.

What does not reach those officials making these decisions is what the people have already figured out: that the best way to protect children while learning more about the possible benefits of cannabis is to legalize. Drug dealers do not check IDs, dispensaries do. Cannabis users report that they use it to help sleep and with anxiety, yet prohibition blocks studies to isolate the underlying reasons for these benefits.

Sadly, this is an example—not an outlier—of this phenomenon of our governments going far askew of the polled desires of Americans. As mentioned, gun control and raising the minimum wage are another two topics where what Americans want has minimal effect on how government actors operate. The difference in cannabis? The people already voted for it. Then, government officials—who ostensibly represent those people—eroded or entirely eliminated the right to cannabis.

Greg Huffaker III is an expert in navigating the complex cannabis regulations and emerging state programs across the country. From his early industry work of maintaining a comprehensive database of ever-changing cannabis laws, his J.D. from Cardozo School of Law, and being a Colorado-licensed attorney, Greg brings a keen sense and deep knowledge of the legislation that impacts clients at every phase of business.  

This article originally appeared on Benzinga and has been reposted with permission.

3 Precautions To Take During A Heat Wave

Heat waves can take all the fun out of summer. Here are some things to keep in mind in order to stay safe and cool.

The sun is usually celebrated. Normally, it indicates that the weather is getting hot and summer is on its way. Heat waves are different though, no matter how much you love the beach.

Heat related illnesses like heat stroke and heat exhaustion are appearing more often as it affects large parts of the U.S. It’s important to recognize symptoms of heat illness and to guard yourself against extreme temperatures, especially since it can quickly grow into a problem when it’s not addressed.

Here are three precautions to take during a heat wave:

Don’t underestimate the heat

Don't Get Into The Shower If You Hear This Sound
Photo by Jay Cee via Unsplash

RELATED: Exercising In The Summer Can Burn More Calories And Build Muscle

It’s much easier to suffer from heat stroke than to get frostbite, which is why it’s important to remain hydrated. Aside from drinking lots of water, when outdoors, it’s important to keep your skin cool by spritzing yourself with cool water and to avoid strenuous exercise. When indoors make sure to block out windows when the sun is strongest and to let air circulate inside the room if there’s no A.C.

Keep an eye out for heat stroke

How To Talk To Your Kids About Cannabis
Photo by Nikada/Getty Images

Heat stroke involves a variety of symptoms that can be easy to confuse with being normally hot. Keep an eye out for your body temperature, which shouldn’t be over 103°F, and for hot and damp skin. When feeling dizzy or wrong, be sure to find some shade and to lower your body temperature with cool cloths or a cool bath.

Hydrate

How Dirty Is Your Water Bottle?
Photo by Shrey Gupta via Unsplash

RELATED: Teens Who Lack This Are More Likely To Binge Drink And Smoke Weed

Rather than keeping track of how many glasses of water you drink a day, you could try carrying around a water bottle. This will serve as a reminder to hydrate and will provide you with a source of water while you’re on the go. Drink every time you remember to do so, since extreme temperatures make us sweat electrolytes that should be replenished.

When it comes to foods, make sure to have stuff that is hydrating and refreshing, like fruits and veggies. If you’re eating salty meals, balance that out with water.

Will Congress Pass Us A Canna-Tax ‘Hit’?

With Democrats in control of the Presidency, House, and Senate, some form of tax reform is a good bet, though no slam-dunk.

To quote Benjamin Franklin, “nothing is certain except death and taxes”.  But tax rates and rules are far more unpredictable. As the dust continues to settle from the seismic tax reforms passed under the 2017 Tax Cuts and Jobs Act signed by President Trump, the Biden Administration is already discussing another round of tax reform.  The specifics of the Biden proposal became clearer with the May release of the Treasury’s “Greenbook” – a summary of the administration’s tax proposals. (Link).

The Biden Greenbook Proposals

The proposals don’t specifically target cannabis, but they also don’t provide any relief for an industry beleaguered by the one-two punch of the punitive tax on gross income inflicted by Section 280E and an established IRS audit policy that aggressively targets cannabis companies. To put the average cannabis business’ tax burden in perspective, consider that a cannabis company that generates revenue but is unprofitable pre-tax can find itself owing a massive tax bill without the cash-flow to pay!

How High Are Cannabis Taxes In Your State?
Photo by Hillary Kladke/Getty Images

Under the proposals outlined in the Biden Greenbook, many cannabis businesses (and their owners/investors) would likely see even higher tax bills, due primarily to its proposed increases in the corporate tax rate (21% to 28%), top marginal rates for individuals on ordinary income (37% to 39.6%) and capital gains/dividends (23.8% to 40.8%).  To add insult to injury, some reforms (such as the capital gains/dividend rate changes) may apply retroactively to as early as March 2021!

RELATED: Cannabis Rumors On Capitol Hill

Still, cannabis investors shouldn’t move to the Cayman Islands just yet.  The Greenbook tax reforms are often a “wish list” that serve as a starting point for the legislative process, and it would be unusual for the proposals to pass in their current form. Nevertheless, with Democrats in control of the Presidency, House, and Senate, some form of tax reform is a good bet, though no slam-dunk. Much will depend on whether Senate Majority Leader Chuck Schumer can persuade his entire caucus to use reconciliation to pass tax reform with a simple majority.

The Leaflet’s (Tax-Free) Two Cents

Our informed speculation at this stage is that the retroactivity provisions of Biden’s proposed tax plan are unlikely to make it into the final bill.  We also wouldn’t be shocked to see meaningful shifts on both the 39.6% rate and $1 million threshold. A downward shift in the proposed rate and a potential raising of the $1 million threshold could make a big difference for cannabis owners and investors that anticipate certain high value liquidity events, such as the sale of their businesses. Additionally, given the potential political toxicity of imposing taxes at death (even for the wealthy), we wouldn’t be shocked if the proposal to tax transfers on death either fails to pass or is modified to raise the threshold and/or applicable exclusions.

RELATED: Republicans From Legal Marijuana States Won’t Vote To Legalize Federally

That said, Benjamin Franklin needs to add another certainty to his list — Biden tax reform is quite certain to remain uncertain for at least the next several months.  So, Leaflet readers may want to sit tight for now, as the final tax reform bill is likely to depart in significant ways from the proposals in Biden’s Greenbook. In the meantime, the FK tax group is always happy to discuss prudent tax planning steps and considerations that may be appropriate based on your specific circumstances.

(For more information contact akrotman@dfmklaw.com).

Rich Trotter is a litigation counsel at the New York-based law firm of Feuerstein Kulick, one of the nation’s leading cannabis law firms. 

This article originally appeared in Feuerstein Kulick’s monthly cannabis newsletter, The Leaflet, which you can subscribe to here.  For more information you can contact Rich at rich@dfmklaw.com or (201) 410-4737, or email The Leaflet at theleaflet@dfmklaw.com.  

Why Was Vice President Harris Greeted With Trump Campaign Signs In Guatemala?

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Mexico is relatively peaceful and prosperous compared to its southern neighbors. So Harris’s  first stop was not Mexico City, but Guatemala City, but then it got weird.  

Disclaimer: The views expressed in this article solely belong to the author and do not necessarily represent those of The Fresh Toast.

Vice President Kamala Harris’s first international trip to Mexico via Guatemala was delayed for a few hours because her plane was forced to return to Joint Base Andrews due to technical problems about 30 minutes after it took off. Maybe that was an omen… 

A little history. 

Mexico's Cannabis Legalization Bill Will Boost Business, But There Are Concerns
Photo by John Coletti/Getty Images

This August 13 will be the 500th anniversary of the Spanish conquest of the Aztec capital of Tenochtitlan, now Mexico City. The Aztecs had conquered central Mexico in the 1300s and had established one of the (literally) bloodiest regimes in human history. Human sacrifice was essentially the state religion. 

Nonetheless, Mexican President Andrés Manuel López Obrador recently demanded that Spain and the Vatican apologize for the Conquest. They declined. 

SEE: Mexico Demands Apology From Spain and the Vatican Over Conquest 

The Mexican dictator Porfirio Díaz famously said, “Poor Mexico, so far from God, so close to the United States.” That was over 100 years ago, but it is still a convenient way for Mexican politicians to pass the blame, like demanding that Spain apologize for liberating central Mexico from the Aztec empire. 

Unfortunately, extreme violence is a frequently recurring part of Mexican history. In their recent elections, over 100 politicians were murdered.  

SEE: Dozens of Candidates Murdered Ahead of Mexico’s June 6 Elections 

This time the violence was a bit “over the top.”  

See Man Tosses Severed Head at Voting Station as Mexico’s Midterm Election Violence Rages And Mexican Cartel Now Targeting Cops at Their Homes  

Nonetheless, Mexico’s endemic corruption continues with impunity.  

SEE: The Impunity of Alberto Reyes Vaca, the Mexican Army General Who Was Fond of Drug Ballads AND: Mexico Fails To Legalize Marijuana As Drug War Chaos Grows 

But Mexico is relatively peaceful and prosperous compared to its southern neighbors. So Harris’s first stop was not Mexico City, but Guatemala City, but then it got weird.  

Harris was greeted by protesters in Guatemala with professionally printed signs telling her “Trump won” and “go home” — as the country’s president blamed President Biden for this year’s “migrant crisis.” 

border crisis
Photo by Brandon Bell/Getty Images

Consider the context. The “border crisis” does not begin in Guatemala or even with its southern neighbors, Honduras or El Salvador. 

All of them have been devastated by multiple hurricanes, and — of course the Drug War. 

SEE: We Need To Recognize That The War In Afghanistan Is Not Our ‘Longest War’ 

Of course, the very Trumpian New York Post was delighted and ran the headline, Guatemala’s prez blames Biden for border crisis as protesters tell Kamala Harris ‘Trump won’. But how and why would protesters in Guatemala have professionally printed posters baiting Biden? Other signs actually attacked Harris for not having children. Not exactly the kind of greeting that one might expect under the circumstances.  

It is easy to understand why these people would want to flee to the United States. Hurricanes and endemic poverty and the Drug War are reasons enough, but they are also fleeing the violence related to their national political and ethnic divisions. 

For example: The Guatemalan Civil War was a civil war in Guatemala fought from 1960 to 1996 between the government of Guatemala and various leftist rebel groups, which were primarily supported by ethnic Maya indigenous peoples and Ladino peasants…” 

So it is easy to understand “Central American migrant caravans except for just how they really work. Just how do thousands of the poorest people in the world march over 1,300 miles (maybe up to 2,500 to California) from Guatemala City to the U.S. border?   

SEE: Here’s how long it takes to walk from Mexico’s southern border to the US

Who organized them? Who paid for their food and other expenses? The same people paid for the Trump posters? Just asking.

guatemala city
Photo by Greg Gallaher via Unsplash

And why would they blame Biden when there was a huge caravan right before the 2018 midterm elections? As this Examiner article explained, “President Trump has repeatedly blamed Democratic lawmakers for enticing migrants to travel to the U.S. without having applied for asylum at a U.S. consulate in one’s home country ahead of time. He said the new caravan is a result of lawmakers not fixing ‘loopholes’ that allow the majority of families and children smuggled north to avoid prosecution and to be released from federal custody shortly after being apprehended.”  

“Trump said aid to Central American countries would now be cut off or curtailed after they failed to rein in their own people.” 

So Biden is to blame, and Trump is their hero? Just asking.

Richard Cowan is a former NORML National Director and author of Is The Hemp CBD Industry Sustainable? 

Health Experts Say Marijuana’s Link To Suicide Not Cut And Dry

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Although cannabis might help people with anxiety, it can worsen the symptoms of severe psychiatric conditions like schizophrenia and bipolar disorder.

People who use marijuana are more likely to have suicidal thoughts. That’s the latest round of anti-pot propaganda coming from a couple of bodies of research published over the last two months. It’s enough to scare the ever-living crap out of parents worried about their kids getting wrapped up in the novelty of weed and then being carted off to a very dark place.

More sympathetic to these concerns for their children, we couldn’t be. However, health professionals say the link between the consumption of marijuana and increased suicidal behavior is not that cut and dry.

Two recent studies show a connection between marijuana use and suicide. The first comes from Stanford University, where researchers found an uptick in suicides where marijuana was legal. The study blames the potency of legal pot products for driving users over the edge.

Stanford Claims Legal Marijuana States See More Suicide Attempts
Photo by Srdjanns74/Getty Images

The next study is from the National Institute on Drug Abuse (NIDA) (yep, the federal government), which finds that people who use marijuana are more likely to experience suicidal thoughts. The study shows that cannabis users are at a higher risk for mood disturbances and self-harming attempts.

So, watch out, right?

Well…

The relationship between marijuana and suicide is nothing new. For years, scientific minds have noted a connection between those who smoke marijuana and suicidal behavior. But it’s not like the average, happy person is suddenly going full-blown depressive through the use of the herb. All the research we have on the subject seems to show that people with pre-existing mental health conditions are more susceptible to the wrath of these adverse effects than healthy individuals. 

RELATED: Stanford Claims Legal Marijuana States See More Suicide Attempts 

Although cannabis might help people with anxiety, it can worsen the symptoms of severe psychiatric conditions like schizophrenia and bipolar disorder. We just don’t know much about how or why. Dr. Nora Volkow, the director at NIDA and lead author of the study, stops short of blaming cannabis for an increase in suicidal behavior. She believes more research on this topic is critical.

“While we cannot establish that cannabis use caused the increased suicidality we observed in this study, these associations warrant further research, especially given the great burden of suicide on young adults,” she said in a statement. “As we better understand the relationship between cannabis use, depression, and suicidality, clinicians will be able to provide better guidance and care to patients.”

a woman sits on the end of a dock during daytime staring across a lake
Photo by Paola Chaaya via Unsplash

Even though high humanity could use some solid research to find out more about how marijuana reacts with the mentally ill, the fact that we don’t yet have that data at our disposal isn’t stopping legalization from happening all over the country. Somewhere around 17 states have legalized marijuana for adults 21 and over. There will even be a push this year to legalize it at the federal level. But the chances of the nation turning into the Jonestown Massacre are slim to none. 

 RELATED: Can Someone Please Talk About Using Cannabis To Relieve Pandemic Stress Disorder & Suicide?

“Most people who use cannabis are not suicidal, and most people who have attempted suicide may not have used cannabis, so cannabis is neither necessary nor sufficient to ‘cause’ suicide or mood disorders,” Dr. Deepak Cyril D’Souza, a professor of psychiatry at Yale University School of Medicine, told Healthline.

Still, America could use some of that additional marijuana research that Dr. Volkow mentioned in her study. To make those kinds of opportunities more available, however, the federal government must make changes to the Schedule I classification of the cannabis plant — downgrading it to a Schedule II. This is something President Joe Biden said he would change during his campaign. Yet, nothing so far has been done to see it through.

Dr. D’Souza admits the added science surrounding the purported correlation between cannabis use and suicide would be greatly beneficial. “Clearly, further work is necessary to tease the complex association between cannabis use, mood disorders, and suicide.”

Paraphernalia And The PACT Act, Explained

The PACT Act requirements do suggest that we take another close look at what exactly drug “paraphernalia” means across the states that have legalized recreational or medical marijuana.

The PACT Act has caused quite the stir in the cannabis and vaping community, but a vague reference to the Controlled Substances Act (CSA) by the United States Postal Service (USPS) last month caught my eye.

The USPS PACT Act update and notice indicated that the USPS would continue to reject drug paraphernalia items as defined by 18 USC 863, as they did before the enactment of the PACT Act. However, cannabis companies that sell accessories and other parts should be aware of a little-known provision of the CSA that defers to state and local governments for enforcement purposes.

The definition of drug paraphernalia seems rather straightforward, encompassing “any equipment, product, or material of any kind” that is “primarily intended or designed for use in manufacturing, compounding, converting, concealing, producing, processing, preparing, injecting, ingesting, inhaling, or otherwise introducing into the human body a controlled substance.”

RELATED: USPS Suggests PACT Act Compliance Exception For Mailing Hemp And CBD Products

USPS Suggests PACT Act Compliance Exception For Mailing Hemp And CBD Products
Photo by nd3000/Getty Images

The definition goes on to list examples of what would be drug paraphernalia, like water pipes, “hashish heads” and “punctured metal bowls.” However, it also indicates that each drug paraphernalia item is considered on a case-by-case basis. There are various indicators of what may be used to determine drug paraphernalia including instructions, advertising materials, and expert testimony considering its use.

Then, finally, we get to the big exemption: “This section shall not apply to—any person authorized by local, State, or Federal law to manufacture, possess, or distribute such items.” In the case of marijuana paraphernalia, most states that have legalized medical, recreational, or both uses would be authorized by local and state law to possess or distribute such items.

Now, this may not seem like big news, but there are concerns that the PACT Act shipping ban could make it impossible to ship vape products that are used or intended for use with marijuana because it is a Schedule I controlled substance, federally. In this case, there is a reasonable argument that the CSA does not criminalize shipments of drug paraphernalia to and from or within states and other localities that have decriminalized the possession of such items for use with cannabis.

PACT Act Update: USPS Delays Ban On Mailing Vape Products
Photo by Vaporesso via Unsplash

The language “authorized by local and State law” is truly the magic phrase in this case. It is a needle in a haystack because it is the only reference in the CSA to local and state law authority. It is a good thing, though, because statutory interpretation principles emphasize that inclusion of such precise and unique language in a section titled “exemptions” is rather significant. In other words, it would not be easy for a court to dismiss the language as superfluous, but rather the meaning of the phrase authorized by state and local law is important and should be interpreted as having significant weight by the courts.

RELATED: PACT Act Update: USPS Delays Ban On Mailing Vape Products

Until now, only a few scholars and some law school graduates have taken the time to sift through the language of the CSA exemption on drug paraphernalia, but the PACT Act requirements do suggest that we take another close look at what exactly drug “paraphernalia” means across the states that have legalized recreational or medical marijuana.

Emily Burns is a recognized expert on cannabis-related legal, regulatory, and policy issues, having worked with a wide range of individuals and entities in both the public and private sector. You can contact Emily at info@gl-lg.com or (503) 488-5424.

This article originally appeared on Green Light Law Group and has been reposted with permission. 

Mexican Supreme Court Legalizes Individual Adult Cannabis Use

The individual right to grow and consume marijuana without affecting third parties is now officially recognized in Mexican law.

In a historic session yesterday afternoon, the Mexican Supreme Court voted to issue a General Declaration of Unconstitutionality (the “Declaration”) of the General Health Law’s prohibition on individual adult (recreational) cannabis use.

The Supreme Court vote followed the Mexican Senate’s failure to pass a Cannabis Law bill that would have regulated adult use, as we reported here. In 2018, the Mexican Supreme Court ruled that the federal statutory prohibition on recreational marijuana use was unconstitutional, and ordered Congress to legalize recreational use throughout Mexico within 90 days. The deadline was extended several times and the final extension expired on April 30, 2021.

In issuing the Declaration (which will be effective upon publication in the Federal Official Gazette and notification to the Ministry of Health — most notably COFEPRIS, the Federal Commission for Protection Against Health Risks) and both chambers of Mexico’s Congress, the Supreme Court Justices have expunged from the Mexican legal system the wording in the General Health Law providing that any cannabis-related activity should only be conducted for medical or scientific purposes.

We Thought We'd Be Celebrating The Legalization Of Recreational Weed In Mexico — We Were Wrong
Photo by Filip Gielda via Unsplash

What does the Declaration mean for consumers?

First, that activities related to individual adult use of cannabis are now fully legal nationwide. In other words, the individual right to grow and consume marijuana without affecting third parties is now officially recognized in Mexican law, formalizing existing jurisprudencia (binding court precedent).

RELATED: We Thought We’d Be Celebrating The Legalization Of Recreational Weed In Mexico — We Were Wrong

Second, COFEPRIS, which will continue to be the agency in charge of issuing individual adult use cannabis permits, has been directed to issue guidelines telling consumers how to procure seeds for themselves, apply for permits and conduct individual adult use activities.

Third, individual adult cannabis use is considered an exercise of “the right to the free development of one’s personality” (for what that means concerning cannabis use, see here), which in Mexico, following international practice, is deemed a human right.

Fourth, you will still need a permit to conduct individual adult cannabis use-related activities (i.e. growing and consuming marijuana without a permit will still be a crime). However, in order to have COFEPRIS entertain your application, you will no longer need to file an amparo action saying that the Court had already ruled that prohibition of individual adult use was unconstitutional.

Mexico Pushing To Make CBD A Supplement
Photo by MariaLR via Pixabay

Fifth, as previously, individual adult use does not include the right to import, purchase, sell or in any other way transfer ownership or distribute cannabis or THC. A permit shall only allow for growing, preparation, possession and transport of cannabis for individual (i.e. private) use. Any violation of this will result in revocation of the permit.

RELATED: Mexico Fails To Legalize Marijuana As Drug War Chaos Grows

Sixth, given that in our experience COFEPRIS either does not answer applications or outright rejects them, we foresee that amparo actions will still be needed to get individual adult use permits.

Seventh, because now individual adult use is officially recognized, individuals (or their lawyers) can force COFEPRIS to respond to applications or justify rejections by filing amparo actions that include a request to federal courts to allow individual activities pending a ruling-till now, you had to wait for a court ruling ordering COFEPRIS to act and obtain a permit to conduct any activity.

What does the Declaration mean for cannabis industry stakeholders?

The Declaration signals another step along the road to the comprehensive Cannabis Law we expected Congress to enact earlier this year. Though the Declaration issued by the Supreme Court limits adult cannabis use activities to individual consumers, those consumers will require seeds, accessories and more. Once COFEPRIS issues guidelines that provide a framework for individual cannabis use, industry stakeholders will be able to react.

Mexico's Cannabis Legalization Bill Will Boost Business, But There Are Concerns
Photo by Jezael Melgoza via Unsplash

With its Declaration of unconstitutionality, Mexico’s Supreme Court has renewed pressure on the Mexican Ministry of Health and both chambers of Congress to regulate cannabis, for the sake of legal certainty and public health policy.

Full legalization of cannabis cultivation and distribution is all but inevitable in Mexico, and as we have written recently, interested stakeholders understandably want to be prepared when the doors swing open. Go here for our suggested steps to ready your business for that day.

Adrián Cisneros Aguilar is an attorney at Harris Bricken and oversees the firm’ss Mexico practice, where he helps companies on US-Mexico cross border legal matters, including cannabis law matters, Latin American and European companies on China and International Law issues, and local companies with international and domestic business transactions.

This article originally appeared on Canna Law Blog and has been reposted with permission.

4th Of July Weekend To Beat 420 Cannabis Sales

Historical data shows cannabis sales typically spike the weekend before the Fourth of July and Friday, July 2nd is expected to retail nearly $91,000,0000 — up 60% from an average Friday.

Cannabis software and intelligence company Akerna (NASDAQ: KERN) released a new flash report this morning, predicting the 4th of July, 2021 will bring in over $206,000,000 in legal cannabis sales across the United States.

With Connecticut being the most recent state to legalize, 38 states now have legislation permitting an adult-consumption and/or medical cannabis program. Not everyone has dispensaries up and running yet, so this data doesn’t reflect sales in all 38 legal states.

Photo by Paul Weaver via Unsplash

2021 Fourth of July Sales Predictions

According to the flash report, historical data shows cannabis sales typically spike the weekend before the Fourth of July and Friday, July 2nd is expected to retail nearly $91,000,0000 — up 60% from an average Friday. The report predicts July 2nd to be the second highest sales day of the year, just after 4/20. Saturday, July 3rd, is forecasted to generate $72,000,000 in cannabis sales, with Sunday, July 4th, expecting to see $43,000,0000. Sundays are typically the lowest sales day of the week when you look at historical data, but dispensaries will still see more sales than normal because it’s a holiday.

RELATED: Why Cannabis Operators Expect Record 420 Despite Coronavirus Concerns

“Year over year, we’ve seen a 23% increase in the number of products consumers and patients are purchasing for the 4th of July holiday weekend,” said James Ahrendt, Business Intelligence Architect at Akerna. “With the holiday falling on a Sunday this year, dispensaries should be evaluating staffing and preparing inventory ahead of the weekend to ensure they are ready to accommodate these increases in both traffic and sales.”

RELATED: Cannabis Sales Expected To Hit $370M In Days Leading Up To 420

Some other Independence Day weekend (7/02-7/04) sales predictions:

Product Categories

  • The average order total will be $8 more than normal: $109 vs. $101
  • Each basket will carry an average of 3.6 products per transaction
  • Flower will make up 49% of sales
  • Cartridges/pens will make up 31% of sales
  • Concentrates will account for 10% of sales
  • Infused edibles will account for 9% of sales
  • Other products will make up 1% of sales
could marijuana legalization unite a divided country
Photo by strelov/Getty Images

Demographics 

  • 61% of consumers will be male
  • 39% of consumers will be female
  • 29% of consumers will be under the age of 30
  • 30-40 year olds will make up 31% of consumers
  • 20% of consumers will be between the age of 40 and 50
  • 50-60 year olds will account for 11% of consumers
  • Consumers over the age of 60 will account for 9% of sales

Akerna regularly releases flash reports. Last year’s 4th of July report anticipated an 87% increase in sales over the 4th of July weekend, with Americans expected to spend more on cannabis than bbq meats. Historically, consumers spend more than $371 million on chicken during the two weeks leading up to July 4th, equalling about $37 million per day. Akerna predicted cannabis sales to reach over $260 million in just three days, generating about $86 million per day.

Data for Akerna’s flash reports are provided by MJ Platform, a regulatory compliance technology company in the cannabis space.

This article originally appeared on Green Market Report and has been reposted with permission.

Supreme Court Finds Marijuana Laws Outdated

According to Clarence Thomas, there is no use in the federal government continuing to enforce separate rules for the cannabis plant if it’s going to continue allowing states to operate fully legal markets.

Although the suits on Capitol Hill, otherwise known as Congress, might be incapable of passing a marijuana reform bill this year — and rest assured, they are seriously incapable of getting it done — one of the US Supreme Court’s most conservative justices has published a statement concerning federal marijuana prohibition that could make them look like clowns for their inaction. 

On Monday, Justice Clarence Thomas said the federal marijuana laws in the United States had lost any sensical function and are no longer needed. 

“A prohibition on interstate use or cultivation of marijuana may no longer be necessary or proper to support the federal government’s piecemeal approach,” he wrote

clarence thomas
Photo by Tasos Katopodis/Getty Images

In other words, there is no use in the federal government continuing to enforce separate rules for the cannabis plant if it’s going to continue allowing states to operate fully legal markets. The statement was in response to a case involving a Colorado marijuana business and how the IRS will not allow it to take deductions like other legitimate businesses. The nation’s highest court opted not to take on the case, yet Thomas didn’t let it go without offering his two cents on the matter. 

“Federal policies of the past 16 years have greatly undermined its reasoning,” Thomas continued. “Once comprehensive, the Federal Government’s current approach is a half-in, half-out regime that simultaneously tolerates and forbids local use of marijuana. This contradictory and unstable state of affairs strains basic principles of federalism and conceals traps for the unwary.”

Thomas is referring to a couple of occasions when the Obama Administration took a hands-off approach to state marijuana laws, instructing federal prosecutors not to make weed a priority. He also points to how federal budget riders designed to protect cannabis operations in medical marijuana states have been approved by Congress over the past several years.

A Right-Leaning Supreme Court Won't Impede Cannabis Reform, Legal Experts Say
Photo by Esther Kelleter/Getty Images

“Given all these developments, one can certainly understand why an ordinary person might think that the Federal Government has retreated from its once-absolute ban on marijuana,” Thomas wrote. “One can also perhaps understand why business owners in Colorado…may think that their intrastate marijuana operations will be treated like any other enterprise that is legal under state law.”

As far as Thomas sees it, the federal government may have lost the power to enforce cannabis laws. “If the Government is now content to allow States to act “as laboratories” “‘and try novel social and economic experiments, then it might no longer have authority to intrude on “[t]he States’ core police powers . . . to define criminal law and to protect the health, safety, and welfare of their citizens.”

RELATED: Will the Supreme Court Hear Litigation To De- Or Re-Schedule Marijuana?

Although Thomas’ thoughts on the matter won’t force any concrete changes at the national level, cannabis advocates praised him for taking a stand and giving Congress something to think about.

“Justice Thomas’ comments reflect what has been obvious to the vast majority of Americans for some time now,” said NORML’s Executive Director Erik Altieri. “With nearly half of all Americans residing in a state where the use of marijuana by adults is completely legal, it is both absurd and problematic for the federal government to continue to define cannabis as a prohibited Schedule I controlled substance.  

US Supreme Court Gambling Decision Works In Favor Of Marijuana Reform
Photo by MarkThomas via Pixabay

“This intellectually dishonest position is in conflict with the available science and the current cultural landscape, and it complicates the ability of states to successfully regulate and oversee state-legal marijuana businesses,” he continued. “It is time Congress to end this untenable situation by removing cannabis from Controlled Substances Act so that states can make their own decisions with regard to marijuana and marijuana commerce free from undue federal interference.”

RELATED: A Right-Leaning Supreme Court Won’t Impede Cannabis Reform, Legal Experts Say

It might be time for Congress to get serious about ending federal marijuana prohibition but again, that’s not likely to happen. There still too much division in the Senate to see that a cannabis reform bill gets a fair shot. Furthermore, plenty of Democrats and Republicans representing states where weed is legal aren’t yet convinced that federal legalization is the right way to go. And President Joe Biden, well, he’s not willing to support full-blown legalization until after the research tells him it’s safe to do so. Still, perhaps the Hill will heed Thomas’ words.

How To Spot A Fake Vape Cartridge

You might not be able to tell by taste, smell, or sight. You might just feel like something is wrong. That’s okay. Trust that instinct.

Fake vape cartridges are a serious problem. They’re often made to mimic well-known brands, and they can reduce consumer confidence in the industry. Worse still, they can make you very sick, or even kill you if you don’t know how to spot them.

Unfortunately, the packaging for these vape cartridges can be incredibly professional. In this article, we’ll give you some tips on how you can spot the fakes. But first, a piece of advice:

How Important The Temperature Control On You Vape Is
Photo by Flickr user Lindsay Fox

Only buy from legal vendors and trusted brands

The easiest way to avoid fake vape cartridges is to only purchase from trusted sources. You can get lab test results from legal vendors, as cannabis producers have to provide them. In those test results, you can see exactly how much THC and other chemicals are present in the cartridge you’re purchasing.

Getting your products from trusted producers like PAX Era will significantly reduce your risk of ending up with a fake vape cartridge.

RELATED: Fake Cannabis Vapes Are Everywhere And Poisoning Folks

Of course, this advice is only so good when you’re purchasing your cartridges online, or if you’re living in a state where cannabis is still a black market product. In light of that, here are a few tips for spotting fake products.

Know your brands

Websites like Leafly are incredibly good at listing reliable brands and reviews for those brands. Before you purchase or vape a cartridge, look up the brand and name on Leafly or a similar resource site. There are so many different vaporizer cartridges cataloged on these sites that if yours is legitimate, you’re almost sure to find it.

RELATED: Is Vaping Cannabis Really Worse For Teen Lungs Than Vaping Tobacco? 

Once you find the product in question, check reviews. You should also visit the website of the brand you’ve purchased. Then, compare the packaging you find with the packaging on your vape cartridge.

Young Adults Who Vape Are More Likely To Have Coughs And Bronchitis
Photo by Itay Kabalo via Unsplash

This is not a foolproof method – some of the nefarious actors creating these fake cartridges go out of their way to make their packaging match the real thing. Some of them create very high-quality websites. But doing your research can seriously help reduce your risk.

Check for regulatory compliance

This technique isn’t flawless, but it can help when you otherwise can’t tell whether or not the cartridge is legitimate.

RELATED: How To Make Sure Your Vape Is Safe

Check the regulatory requirements for vape cartridge packaging in your area. In California, for example, you’re required to have:

  • Manufacturer name and contact information
  • Date of manufacture/packaging
  • Government warning statement for cannabis products
  • UID number
  • Batch or lot number
  • Instructions for use and any preparation needed
  • List of all ingredients
  • Allergens
  • Artificial food colorings
  • Expiration, use-by or best-by date
Young Adults Who Vape Are More Likely To Have This Infection
Photo by Sharon McCutcheon via Unsplash

Check state laws or federal laws (in Canada) to see what information is required on the package, then check your package to see if it complies with those regulations. A weed store in Winnipeg is going to have different packaging requirements for its products than a weed store in Denver.

Be suspicious of overly good deals

See a cartridge that promises 99.9% THC for $10? Be very suspicious.

Check online or at your local licensed vendor to see how much cartridges go for, what ingredients they have, and the amount of THC in the cartridge. Compare those values to the values of the cartridge you’ve purchased, and if things are drastically different, you probably have a fake cartridge.

Trust your gut

If something feels like it’s too good to be true, it probably is. You might not be able to tell by taste, smell, or sight. You might just feel like something is wrong. That’s okay. Trust that instinct. It’s better you waste a few bucks throwing out a real vape cartridge than it is to take a gamble on a fake one and lose.

We hope this brief article helps you avoid fake vapes. Stay safe out there!

This article originally appeared on Green Market Report and has been reposted with permission.

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