Weed Wanted: February 2023

Tuesday, February 28, 2023

Top seed banks visited on Leafly in 2022

We took a look at site data from the last year to determine where Leafly readers were searching for top seed banks.

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Does CBD lessen the effects of THC? Recent studies question a common belief

Two new studies claim that CBD does not reduce the psychoactive effects of THC, reversing a commonly held idea of one of CBD’s benefits. Learn what the new research says.

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I smoked a blunt on an elephant in Thailand

While exploring Thailand's rich cannabis culture, I enjoyed a blunt while riding an elephant through the jungle.

The post I smoked a blunt on an elephant in Thailand appeared first on Leafly.

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Meet Kiva’s Dream Team, CBN-infused sleep edibles for a great night’s rest

CBN-infused sleep edibles from Kiva have been helping people quit counting sleep since 2019. Meet the Dream Team.

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New York Cannabis: Microbusiness Licenses

As we previously broadly summarized on December 27, 2022 (here), in late December 2022, the Office of Cannabis Management (“OCM”) released its first proposed adult-use cannabis rules and regulation for New York (the “Proposed Regulations”). The official document is 282 pages, so we won’t cover every detail. But we will highlight the big-ticket items, significant issues that all applicants should be aware of, and the license application process as a whole. Also, keep in mind that the Proposed Regulations are still pending as OCM receives the final public comments to the Proposed Regulations.

One of the less defined and still ambiguous portions of the Proposed Regulations relates to those applying for a cannabis license as a microbusiness, as we await on the determination of the size and scope of eligible microbusinesses.

What are microbusinesses and their licenses?

A microbusiness is a cannabis business subject to certain size and operational restrictions. The Marijuana Regulation and Taxation Act (the “MRTA”) allows certain businesses with less access to capital to enter into the legal cannabis market by applying for a microbusiness license which authorizes the small-scale production, sale, and delivery of cannabis.

A microbusiness licensee may, to a limited degree, engage in cultivation, processing, distribution, delivery, and sale of the microbusiness’ own cannabis and cannabis products. Such licensees cannot hold an interest in any other license; however, they may distribute their own cannabis and cannabis products to licensed retail dispensaries.

How to qualify for and obtain a microbusiness license

The New York Cannabis Control Board (the “CCB”) will issue microbusiness licenses to a cannabis establishment that qualifies as a cannabis producer for the cultivation of cannabis, a cannabis processor, a cannabis distributor, and a cannabis retailer. A microbusiness license authorizes the limited cultivation, processing, distribution, delivery, and sale of the microbusiness’ own adult-use cannabis and cannabis products.

The size, scope, and eligibility of cannabis microbusinesses has yet to be determined by the CCB, however, the CCB will likely issue licenses to microbusinesses in a manner that promotes social and economic equity applicants.

What can a microbusiness licensee do?

A microbusiness shall engage in cultivation and at least one of the following additional activities authorized by the Proposed Regulations for a microbusiness: (1) processing, (2) distribution, or (3) retail sale. Additionally, a microbusiness may sell cannabis to a processor or distributor; sell cannabis products it has cultivated or processed to consumers; and send cannabis or cannabis products to a processor for processing without relinquishing ownership of that cannabis or cannabis product.

What can’t a microbusiness licensee do?

A microbusiness shall not, among other things, purchase cannabis cultivated by another cultivator unless the microbusiness suffered a significant crop failure and received prior written approval of the Office. In addition, no microbusiness or its true party of interest is permitted to have any direct or indirect interest in, including, but not limited to, being a true party of interest, passive investor, landlord, financier, or management services provider to a retail dispensary, on-site consumption, delivery, ROD, registered organization, or cannabis laboratory licensee or permittee.

Conclusion

For anyone considering applying for an adult-use license, we reiterate our recommendation of hiring an experienced, local cannabis attorney. At a minimum, understanding the overall framework of the licenses and the licensing process is a precursor to an in-depth consultation on a license application.

Stay tuned for future posts in this series, as well as coverage of New York cannabis generally.

The post New York Cannabis: Microbusiness Licenses appeared first on Harris Bricken Sliwoski LLP.

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Virginia Adult-Use Cannabis Plans Halted Due to Failed Bills

Although Virginia adult-use cannabis sales were projected to begin no later than Jan. 1, 2024, the state’s adult-use cannabis sales plans have been stalled for the foreseeable future.

Initially, adult-use cannabis was sent by a Democratic-controlled General Assembly to the desk of former Gov. Ralph Northam, who signed the legislation in April 2021. The law included a clause that required the General Assembly to reenact certain provisions, such as regulatory and licensing market structure. However in November 2021, the General Assembly shifted to Republican control, as did the House of Delegates, which ultimately led to the failure of provisional bills.

In January, a House of Delegates subcommittee rejected a Republican-sponsored cannabis bill proposed that would have allowed sales to begin prior to Jan. 1, 2024. Republican Delegate Keith Hodges, who sponsored the failed cannabis bill that would have created adult-use cannabis regulations, called the situation a “public health crisis” just before the bill was rejected on Jan. 25. “You can legally possess marijuana in the Commonwealth of Virginia, but you can’t legally purchase it,” Hodges said. “If we do nothing, we have a problem on our hands. We need to protect the citizens of Virginia from the illicit market.”

According to NORML Development Director and Virginia NORML Executive Director JM Pedini explained that the result of the vote “was entirely expected, but is still disappointing, and it spotlights House Republicans’ continued failure of leadership on cannabis policy,” Pedini said. “Without access to a regulated marketplace, consumers won’t know whether they’re getting a safe, tested product or one contaminated with potentially dangerous adulterants.”

“This vote is another huge disappointment for Virginians, the majority of whom favor swift access to retail sales,” Pedini continued. “Legislation providing regulatory oversight is the best way for the Commonwealth to protect cannabis consumers. By failing to take legislative action, lawmakers are electing to continue driving consumers to the unregulated, underground market.”

MJBizDaily suggests that the failure to pass these cannabis legislative efforts were in part because current Virginia Gov. Glenn Youngkin was pressuring legislators to defeat all cannabis bills.

On Feb. 14, Senate Bill 1133, which was sponsored by Sen. Adam Ebbin, was recommended to be passed on indefinitely. “It is legal to possess small amounts of cannabis, it is legal to grow your own cannabis,” Ebbin told the subcommittee before the bill was rejected. “Yet we are kind of dragging our feet on establishing a retail market that could provide hundreds of millions of dollars in tax revenue, could provide a tested product for adults and could be kept out of the hands of children.”

During odd-numbered years, the Virginia General Assembly only meets for 30 days, and adjourned on Feb. 25, leaving legislators with no extra time to present an alternative.

Meanwhile in hemp, the Virginia House of Delegates (85 to 9 vote) and Senate of Virginia (23-17 vote) both passed a bill on Feb. 24 to create stricter regulations for Delta-8 hemp products. If passed, it would create new rules on labels, such as percentage and milligram amounts of THC in each Delate-8 product, as well as using any language that markets the products as a medical treatment of any kind. “I think this will go a long way in making sure that our communities are safe and that folks are buying what they purport to buy,” said House of Delegates Majority Leader Terry Kilgore.
The bill proposes that responsibility and management between the Virginia Department of Agriculture and Consumer Services and the Virginia Cannabis Control Authority. Legislators such as Sen. Scott Surovell don’t believe that split control is the best course of action. “This is a first step toward a complete mess,” Surovell said. “And the reason we’re doing this is because somebody upstairs doesn’t want to talk about it.” The bill was recently sent to Gov. Youngkin, and is expected to be signed.

The post Virginia Adult-Use Cannabis Plans Halted Due to Failed Bills appeared first on High Times.

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Monday, February 27, 2023

Last Call: Webinar for Distressed Cannabis Businesses

The cannabis industry is under pressure. Difficult conditions have caused many cannabis businesses to grapple with layoffs, reorganization, litigation, dissolution, and even liquidation. These tough conditions arise from a variety of regulatory and macroeconomic factors, and they affect businesses large and small, along with their stakeholders.

Please join Harris Bricken lawyers Hilary Bricken (Los Angeles), Griffen Thorne (Los Angeles), Ethan Minkin (Phoenix), and Vince Sliwoski (Portland) for a free, hour-long webinar on Tuesday, February 28^th at 1 pm ET / 10 am PT for a discussion about the depressed cannabis market and what cannabis businesses can do about it.

These experienced cannabis business lawyers will discuss, among other topics:

Current trends in the U.S. cannabis economy
Insolvency options for failing cannabis businesses
M&A in the distresses business context
State-level regulatory issues for failing cannabis businesses
Collections and litigation issues

Please submit any questions you would like the presenters to address at the time of registration. The panel will also take questions on a live-feed basis throughout the presentation.

Hang in there! See you tomorrow.

The post Last Call: Webinar for Distressed Cannabis Businesses appeared first on Harris Bricken Sliwoski LLP.

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Psychedelics in ancient Greece: Death and rebirth during a renowned religious ceremony

The Eleusinian Mysteries was a secretive ceremony in ancient Greece that involved consuming a psychedelic brew. What secrets of life and death did participants learn?

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Tomorrow! FREE Webinar on Distressed Cannabis Businesses

These experienced cannabis business lawyers will discuss, among other topics:

Current trends in the U.S. cannabis economy
Insolvency options for failing cannabis businesses
M&A in the distresses business context
State-level regulatory issues for failing cannabis businesses
Collections and litigation issues

Please submit any questions you would like the presenters to address at the time of registration. The panel will also take questions on a live-feed basis throughout the presentation.

Hang in there! See you tomorrow.

The post Tomorrow! FREE Webinar on Distressed Cannabis Businesses appeared first on Harris Bricken Sliwoski LLP.

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Alaska Scrubbing Hundreds of Pot Convictions from Court Database

Hundreds of Alaska residents will have their prior marijuana convictions removed from the state’s online court database.

That move follows an order late last month from the state Supreme Court last month, according to local media reports.

Local news station KTUU reports that, as of May 1, “marijuana possession convictions of about just under 800 Alaska residents will be removed from Courtview, a public, online database of court cases.”

The order “follows years of similar, unsuccessful, legislative efforts to join a nationwide trend,” according to the Anchorage Daily News.

“I’m glad that the Supreme Court has ordered this,” said Democratic state Sen. Scott Kawasaki, as quoted by the Anchorage Daily News.

As stipulated by the state Supreme Court, the removal from the system will apply to individuals who were “convicted of possessing less than one ounce of marijuana … or a prior version of that statute that criminalized the same conduct, or a municipal ordinance that criminalized that same conduct if … the defendant was 21 years of age or older at the time of the offense, and … the defendant was not convicted of any other criminal charges in that same case.”

According to the Anchorage Daily News, those “records will still be available for inspection at courthouses and will be discoverable by a formal criminal background check, but they won’t be as easy to find for the general public.”

Alaska legalized recreational cannabis for adults in 2014, when a majority of the state’s voters approved a ballot measure ending the prohibition on pot.

“Given that (marijuana) has been legal for eight years, it appeared to the Supreme Court that this was an appropriate time not to have people, as I say, suffer the negative consequences that can stem from having your name posted on Courtview. Because the conduct is considered legal right now,” said Nancy Meade, the general counsel for the Alaska Court System.

In September, Alaska Gov. Mike Dunleavy, a Republican, issued an order establishing a new task force “to review the current marijuana tax and fee structures, and regulations applicable to marijuana operators, and provide recommendations for improvement to the Office of the Governor.”

“In the past seven years Alaska’s marijuana industry has flourished but is still considered a new and evolving industry in Alaska,” Dunleavy said in the announcement. “As we would expect to see with any new industry, concerns have been raised about the structure the industry has been operating under. A cornerstone of my administration has been to review unnecessary regulations that are a burden to business, while ensuring oversight to protect the health, life, and safety of all Alaskans. It is my hope that with the formation of the Governor’s Advisory Task Force on Recreational Marijuana, we can bring together a variety of voices and perspectives to evaluate existing provisions and consider recommendations to improve the viability of the industry.”

Dunleavy’s office said the task force will be comprised of 13 members, three of whom will be “The Commissioner of the Department of Revenue or the Commissioner’s designee; The Commissioner of the Department of Commerce, Community and Economic Development or the Commissioner’s designee; [and] The Director of the Department of Natural Resources, Division of Agriculture.”

The remaining ten members of the task force are identified as follows: “One member who sits on the Alaska Marijuana Control Board; One member who represents a city, borough, or municipality that allows recreational marijuana businesses within its jurisdictional boundaries; One member that is a standard licensed marijuana cultivator in the State; One member that is a limited licensed marijuana cultivator in the State; One member that is a licensed marijuana product or concentrate manufacturer in the State; One member that is a licensed marijuana retailer in the State; Three licensed marijuana operators from any segment of the industry; [and] One public member.”

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Friday, February 24, 2023

7 best Washington weed brands to smoke in 2023

Millions of Washington visitors and locals want to know: what are the best Washington weed farms in 2023? Whether you’re on a business trip to Seattle, or a local trying to hack through the forest of the massive, mature market to find something with flavor that won’t let you down, we got you. Leafly’s Pacific […]

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What is lion’s mane, aka the smart mushroom?

Meet the wacky-looking mushroom shown to combat Alzheimer's, stimulate brain function, aid in digestion and more.

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Hard-won lessons from Posh Green Cannabis Boutique’s Reese Benton

‘You just have to show them better than you can tell them.’

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Defendants Move to Dismiss SEC’s Stock Promotion Scheme Lawsuit

Last November, I wrote this post about a recent case filed by the Securities and Exchange Commission naming cannabis industry players for an alleged stock promotion scheme (or, as some call them, anti-touting violations). Last month, the primary individual defendant, Jonathan Mikula, filed a Motion to Dismiss the claims against him. The other individual defendant, Christian Fernandez, filed his own Motion to Dismiss shortly after.

The case is one to watch given its potential impact on the cannabis industry at large – especially in light of Mikula’s pending Motion to Dismiss – which argues, in part, that the SEC must prove a specific scienter requirement to successfully plead their securities violation claims against him.

What is a stock promotion scheme?

To recap, stock promotion schemes involve scenarios where public companies hire promoters or marketing firms to generate publicity for their stocks, and those promoters or marketing firms publish articles boosting those stocks – while failing to publicly disclose that they’re receiving payments from the companies. Those writers will post seemingly unbiased, glowing articles or reviews about the companies when they’re really nothing more than paid advertisements. Sometimes, the number of articles can get into the hundreds. And sometimes, the articles even go so far as to state the writers had not been compensated by the companies they’re writing about, when they in fact were.

The SEC v. Mikula, et al. Complaint

The Complaint at issue alleges Mikula unlawfully promoted the securities of four issuers without disclosing the fact that he was paid for those promotions. As one example – one of his articles stated, on behalf of Elegance Brands, that its CBD product, Gorilla Hemp, was retailing for $3.95 per can and could ultimately yield Elegance Brands a 2,630% price increase. It also claimed distribution agreements were in place which could potentially increase Elegance Brands’ share price by 9,900% in five years. He presented his “recommendations” to therefore invest in Elegance Brands as unbiased and not paid for, even though he actually was compensated via cash and “extravagant expenses.”

Mikula’s associates, which include Fernandez, were also charged for acting as middlemen. The SEC alleged they arranged to receive a percentage of investor funds under the guise of “consulting agreements” with the companies.

The Defendants’ positions

Between the filing of the Complaint and December 2022, most of the parties agreed to settle with the SEC by agreeing to permanent injunctions (meaning, they agreed to a laundry list of things they can never do again, starting immediately). Monetary penalties ranged from the $100,000s to the $700,000s. And, the individuals agreed to various bans from serving as an officer and director of any company.

However, Mikula and Fernandez chose to file Motions to Dismiss instead. In broad strokes, Mikula’s Motion to Dismiss is interesting – it argues the SEC failed to plead all facts required by the statute to allege an “anti-touting” violation. Mikula’s position is that this failure impacts all five claims for relief against Mikula:

Violations of Section 10(b) of the Exchange Act and Rule 10b-5(a) and (c)
Violations of Section 10(b) of the Exchange Act and Rule 10b-5(b)
Violations of Section 17(a)(1) and (3) of the Securities Act
Violations of Section 17(a)(2) of the Securities Act
Violations of Section 17(b) of the Securities Act

He cites Section 17(b) of the Securities Act (15 U.S.C. section 77q(b)), which provides:

“It shall be unlawful for any person, … to publish, give publicity to, or circulate any notice, circular, advertisement, newspaper, article, letter, investment service, or communication which, … describes such security for a consideration received or to be received, directly or indirectly, from an issuer, underwriter, or dealer, without fully disclosing the receipt …”

Mikula’s position is that the SEC has done nothing more than quote buzzwords of the statute as a legal conclusion – it wholly fails to factually allege that Mikula published articles about the stocks “for a consideration received” from the issuers. His position is that receiving payment, even from an issuer, isn’t enough – there must be a causal element demonstrating that the article’s publishing occurred “for the consideration received.” Here, the SEC’s allegations within the Complaint do not specifically allege that the issuers’ money caused Mikula’s publication.

Should scienter be required?

Of course, this essentially amounts to a position that scienter should be pleaded as an additional element of anti-touting allegations. Mikula’s Motion to Dismiss notes the Supreme Court and Ninth Circuit have not ruled on the exact question of whether the SEC must plead and prove scienter to state a violation of Section 17(b). However, relevant case law certainly has impliedly inserted an element of fraudulent intent in prior situations. And, Mikula argues that the core conduct is analogous to the federal bribery criminal statute where the Supreme Court implied a requirement that there be a showing that a defendant acted “corruptly.”

Secondarily, his Motion to Dismiss also generally argues the SEC failed to plead their fraud claims with particularity, and the SEC proceeded in an improper venue (or the case should be transferred to a more convenient forum for the remaining defendants). Fernandez’s Motion to Dismiss makes similar claims.

Conclusion

While the SEC’s pursuit of stock promotion schemes is no new development, their attention to the cannabis industry makes sense in light of the fact that securities violations (and associated lawsuits) have abounded for years, and the public is increasingly interested in both consuming and investing in the space. This case is certainly one to be watched – both as a potential cautionary tale and as potentially precedent-setting in securities law.

In terms of being a cautionary tale, this case serves as a good reminder that the SEC considers stock promotion schemes to be a huge threat to the investing public. In 2017, Melissa Hodgman, then Associate Director of the SEC’s Division of Enforcement, was quoted as stating “Our markets cannot operate fairly when there are deliberate efforts to reach prospective investors with positive articles about a stock while hiding that the companies paid for those articles.” To ensure that purportedly objective investment information is what it claims to be, the SEC has historically settled for high amounts of disgorgement or penalties, as well as injunctive relief.

In terms of being potentially precedent-setting in securities law, Mikula’s position that the SEC must specifically plead a scienter requirement is not squarely addressed by the courts. He is asking the Court to demand the SEC prove he acted with the requisite scienter by proving he had a certain fraudulent state of mind, i.e., intending to mislead the investing public. While it’s up for debate on whether this should be required (especially in order to get past just the pleadings stage), plenty of law in analogous situations do require a high bar in demonstrating scienter to avoid early dismissal (such as fraudulently inducing a shareholder to buy or retain shares or insider trading).

If the Court is sympathetic to Mikula’s position, it may make for significant case law that may make the SEC’s job of pursuing stock promotion schemers much more difficult. This would essentially create an additional factor the SEC to prove – scienter – which is often a fact-intensive inquiry that is difficult to establish, especially in advance of discovery.

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Texas Police Ignore Local Decriminalization Ordinance in Spite of Voter Approval

Tension is building in a small Texas city between police, advocates, and elected officials. In Denton, Texas, police—sworn to protect and serve—are allegedly ignoring the will of the people, continuing citations and arrests despite a cannabis decriminalization measure that was approved last year.

NBC DFW reports that a “battle is brewing” in the city over who controls the way cannabis laws are enforced.

According to a special presentation with a three-month report by Denton City Manager Sara Hensley at a City Council session on Tuesday, police in the city aren’t abiding by the voter-approved decriminalization measure passed last November, and are citing and arresting people for low-level cannabis possession anyways. She also provided an explanation.

During the Midterm elections on Nov. 5, 2022, voters in Denton approved Proposition B with over 70% of the vote to decriminalize possession of four ounces or less of cannabis, with some exceptions. It also bans police from using the smell test for probable cause and restricts city money from being used on THC drug testing. Proposition B became effective Nov. 22, once canvassing the election was completed.

According to the City Manager, the City of Denton Police Department are acting as though the proposition never passed and are still arresting and citing people for low-level cannabis possession. Hensley explained that state and federal laws supersede city law, and that the police are sworn in by the state.

Denton City Councilmembers Vicki Byrd and Brandon Chase McGee asked why the law isn’t being observed. Councilmember Byrd asked, “Can you explain to the people at home how someone nobody elected such as yourself, is empowered to create public policy even after 32,000 voters provided a directive otherwise?” Mayor Pro Tem Brian Beck also chimed in, asking similar questions.

The City Manager responded by saying that the police are sworn in to the state and therefore the city law cannot override Texas law.

Considering the work that Decriminalize Denton put into getting Proposition B on the ballot and spreading awareness is like a slap in the face for cannabis advocates in the area.

“It’s the most popular thing that Dentonites have done and un-elected bureaucrats, who none of us can vote for, are telling us that your democracy—your vote—none of that matters,” said Nick Stevens, member of the group Decriminalize Denton.

"Beck and fellow council members Vicki Byrd and Brandon Chase McGee encouraged city staff and other council members to follow the will of the voters and allow the courts to decide what can and can’t be implemented." https://t.co/htX2ZG0fya
— Decriminalize Denton (@DecrimDenton) February 23, 2023

The Denton Police Department provided a statement when Proposition B was implemented last November.

“As a forward-thinking agency, marijuana possession alone has not been a priority for the Denton Police Department for several years,” said Denton Police Chief Doug Shoemaker. “This will continue to be the case. With that said, officers must maintain discretion to be able to keep our community safe from harm. When marijuana possession pairs with other crimes that affect public safety, including offenses such as driving while intoxicated or firearms violations, such acts cannot and will not be ignored.”

This is not what the people of Denton signed on to and subsequently voted for with a 71% majority. pic.twitter.com/oaZBz6YsND
— Texas Cannabis Collective (@txcannaco) February 20, 2023

But the Denton Police Department added this to the press release:

“The Police Department will continue to assess aspects of this ordinance, as passed by voters, to determine what may be implemented in accordance with both the current law as well as the voices of the population we serve.”

Between June 2021 and July 2022, of the 65 arrests that the Denton Police Department made for cannabis possession under four ounces. But keep in mind that 15 of these charges accompanied other charges unrelated to cannabis, and weapons were involved in 31.

Denton joined San Marcos, Killeen, Elgin and Harker Heights in Texas, to overwhelmingly approve local ballot propositions to decriminalize low-level possession, after Austin decriminalized cannabis earlier. In other cities, there doesn’t appear to be a problem implementing those measures.

How police continue to enforce laws in the city remains up for debate.

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Thursday, February 23, 2023

How to Dissolve a Cannabis Entity

The cannabis industry is in dire straits, perhaps even in a recession. Cannabis businesses cannot seek standard bankruptcy protections and are looking for creative ways to deal with the distressed market. As companies look to shake off unproductive assets, our cannabis group has fielded tons of inquiries about how to deal with depressions in the industry – so much so that we’ll be doing a free webinar on these issues next Tuesday, February 28.

One of the more common inquiries we’ve gotten concerns how to dissolve cannabis entities and what the effects of dissolution would be. So today, I’ll look at some of the high-level issues related to winding up and dissolving a cannabis entity, and post-dissolution consequences.

The first issue may seem obvious, but it’s surprising how often it gets overlooked: simply “abandoning” a cannabis entity is not a great idea. Instead, they should actually go through the dissolution process. A business that is simply “abandoned” (i.e., the owners don’t go through the formal dissolution process and just do nothing with the business) may still accrue outstanding taxes and other liabilities. It may be administratively dissolved (depending on the state) or even fined. There are a lot of unknowns that can be avoided by following the law and dissolving a cannabis entity.

Like basically everything else, the process for dissolving a cannabis entity varies greatly across the board. The dissolution process depends first on the state in which the cannabis entity was formed. It also may look different for the type of entity at issue. But there are some high-level threads that tend to track from state to state. Some states require the business to make an initial filing noting that the dissolution process is starting. Many do not. It is critical to understand the law of the state in which the business is incorporated. If a business is incorporated in a state that does not have one of these initial filing requirements, it would be a mistake to make the final filing up front before winding up. These are issues that a good corporate lawyer can help a cannabis entity avoid.

The next step (or in some states the first step) is to start the wind-up process. Without a doubt, a company will need to hold a vote and obtain consent from some minimal threshold of interested parties. This can change from state to state and in many cases, voting thresholds can be changed by internal agreement. So cannabis entities need to take a hard look at both state law and their corporate governance documents to determine how to start that process. If they start to wind up without getting the proper votes, someone within the company could challenge the wind-up and possibly even sue the person who improperly commenced the process.

The wind-up process is generally the most lengthy part of the dissolution process, but here too is highly fact-specific. The wind-up process is where all of the loose ends must be tied up. During the wind-up process, the company’s owners will need to figure out ways to “deal with” the debts and liabilities of the cannabis entity. Bank accounts will need to be closed, ongoing contracts will need to be terminated, tax returns will need to be paid and taxes filed, third-party and owner debt will need to be satisfied, licenses will need to be surrendered, and so on.

For companies with limited or no operations, winding up may not be too difficult. But most companies are not clean slates. Sometimes contracting parties may not be too keen to let a cannabis company off the hook. For example, if the to-be-dissolved entity has outstanding debt, the lender won’t just cancel the debt. And it almost goes without saying, but closing a company without taking care of its debts is NOT a way to avoid them and can even expose the owners to personal liability. So in this context, the lender may agree that the company can assign the indebtedness to its owners or some other entity. The more third-party liabilities a company has, the longer (and more contentious) the wind-up process is.

Given all of this, it’s usually good practice for entities to adopt comprehensive dissolution plans that set out in detail the processes for winding up and allowing officers or managers to establish reserves for liabilities that could arise either during or after the dissolution is completed. The plan may also allow the owners of the business to seek indemnity out of the reserve in the event a liability arises after dissolution. For example, let’s say ABC cannabis entity goes through the wind-up process and satisfied all known outstanding liabilities. After dissolution, a creditor comes out of the woodwork and threatens to sue the former officers or owners for an allegedly unpaid debt. If there is a reserve, the company can pay off the creditor and indemnify the officers if they are sued.

If, during the wind-up process, all liabilities are satisfied and the company still has money in the bank, it will typically pay off its owners. The process for payment of the owners should be set forth in the company’s governing documents. It may be simple pro rata payments depending on each owner’s interest. But if the company has multiple classes of equity with different distribution or dividend rights, some shareholders or members may be entitled to payment before others. It’s therefore good practice to identify distribution and dividend issues in the wind-up plan.

At the conclusion of the wind-up process, the cannabis entity’s owners or officers will submit the final filing to the Secretary of State in which the business was incorporated or organized. If the business has been registered to do business in other states, there may be required filings in those states as well. The company may also need to file final tax returns and make filings with other applicable state agencies depending on the nature of the business. If reserves have been established, they will need to be maintained for whatever period of time was specified in the wind-up plan before being distributed to the members/shareholders as noted above.

As you can see, dissolving a cannabis entity can be a pretty complicated process. It’s important for cannabis entities to understand what they need to do from the outset to not run into any hurdles while winding up. Stay tuned to the Canna Law Blog for more corporate cannabis law updates.

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Weed Vending Machine That Live-Labels, Bags Hits Colorado City

Representing a significant shift in the way cannabis products are being normalized, weed vending machines—now capable of labeling and dispensing cannabis products in real time—are the new norm in Colorado.

Boulder, Colorado-based Terrapin has installed its first technology-forward vending machine ACE (Automated Cannabis Experience) at its Aurora Terrapin Care Station location. No need for a budtender or a human being, for that matter. Customers scan to verify their ID and confirm they are old enough, follow the instructions on the screen and pay.

But best of all: you get to watch the weed get bagged and live-labeled through a 38 x 30-inch window on the vending machine—a surreal experience for people coming from more restrictive states.

“Innovative solutions like ACE illustrate the increasingly mainstream nature of the cannabis space,” Terrapin CEO Chris Woods told 9News.

“ACE not only improves sales but also provides unique benefits to consumers, including faster checkouts, expanded education, and the ability to engage in multiple languages. As the cannabis industry evolves, companies must pivot to meet changing consumer preferences and demands. ACE offers a genuinely game-changing way for consumers to purchase cannabis.”

How much product can one machine hold? One ACE vending machine can hold up to 1,152 weed products (depending on the size of the packaging). It’s like its own little dispensary.

The Aurora location will serve as the guinea pig to determine how well the automated vending machine serves customers’ needs.

“We are happy to support innovation in business and appreciate Terrapin for choosing Aurora to implement this impressive equipment,” said Trevor Vaughn, manager of licensing for the city of Aurora. “Our highest priority is public safety and Terrapin acknowledges this with their implementation of this retail option by adding an automated layer of safeguards to human verification to ensure that only those legally allowed to consume cannabis are purchasing those products.”

It took time and effort to get the automated technology to where it is today, Robert Schwarzli, BMC Universal Technologies’ president, said.

Automated Weed Vending Machine Technology

Terrapin first unveiled the new automated machines ACE at MJBizCon 2022, where they teased the vending machine rollout in Aurora.

ACE can be programmed in multiple languages, improving inclusion. It can also improve the sales approach as ACE augments budtenders and frees them to take more time. Advantages include the human-less “triple check” to ensure only verified adults ages 21 and over can purchase cannabis. It also speeds up the transaction, the company says.

Developed in partnership with BMC Universal Technologies, it’s the first fully automated cannabis vending kiosk on the market to fully package, live-label and dispense cannabis products, according to a press release.

“As an established leader in the vending industry, we have the manufacturing design, automation and engineering expertise necessary to design and develop the vending machine of the future,” Robert Schwarzli, BMC Universal Technologies’ president said last November. “ACE is the first vending solution on the market that requires zero human assistance, truly transforming how people shop for cannabis products. While ACE is a first for the cannabis sector, we’ve brought dozens of other one-of-a-kind projects across myriad other industries to life—and are excited about the future of cannabis retail.”

The concept of zero human assistance is controversial–yet it’s what we’re seeing already with Amazon, McDonald’s, Taco Bell’s “Defy” restaurant, and across the board in the retail space.

Terrapin also has plans to roll out additional ACE machines at its Terrapin Care Station locations throughout Colorado. It’s a glimpse of what you might be seeing more of in the future.

The post Weed Vending Machine That Live-Labels, Bags Hits Colorado City appeared first on High Times.

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Wednesday, February 22, 2023

Can psychedelic mushrooms trigger psychosis?

Scientists are investigating psilocybin's ability to treat various mental health conditions, but can it make you go crazy?

The post Can psychedelic mushrooms trigger psychosis? appeared first on Leafly.

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More than a t-break: The benefits of a yearly THC detox

To help make your time away from weed as smooth & successful as possible, we’ve partnered with our friends at PassYourTest.com to provide a guide to the upsides of abstaining from cannabis for a stretch of time, and how PassYourTest’s array of detox aids can help you on your journey to lowered tolerance and refreshed enjoyment.

The post More than a t-break: The benefits of a yearly THC detox appeared first on Leafly.

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Reminder: FREE Webinar on Distressed Cannabis Businesses

These experienced cannabis business lawyers will discuss, among other topics:

Current trends in the U.S. cannabis economy
Insolvency options for failing cannabis businesses
M&A in the distresses business context
State-level regulatory issues for failing cannabis businesses
Collections and litigation issues

Please submit any questions you would like the presenters to address at the time of registration. The panel will also take questions on a live-feed basis throughout the presentation.

Hang in there! See you soon.

The post Reminder: FREE Webinar on Distressed Cannabis Businesses appeared first on Harris Bricken Sliwoski LLP.

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Pet Medical Cannabis Bill Introduced in Rhode Island

Lawmakers in Rhode Island introduced a bill allowing pets to use medical cannabis if and when it is certified by a licensed veterinarian. House Bill 5504, or the Edward O. Hawkins And Thomas C. Slater Medical Marijuana Act, was introduced Feb. 10 in the Rhode Island House, then referred to the House Health & Human Services Committee.

NBC 10 News in Rhode Island reports that this marks the second time the bill was introduced. The Rhode Island Veterinary Medical Association (RIVMA) didn’t support the bill in 2021, and most veterinarians say cannabis hasn’t been proven to be safe. Reps Patricia Serpa and Charlene Lima sponsor the bill along with Reps Julie Casimiro and Deborah Fellela.

“We need to get this dialogue going to see if it will be beneficial,” said Lima. “It might not be, studies have shown THC can be very deadly for animals.” With factors such as a smaller body, and considering that pets break down THC in different ways, it’s rarely a good idea.

The lawmaker acknowledged that lots more research is needed to better understand how cannabis affects pets. “You know how quickly science changes,” she said. “There’s a lot more studies out there now than there was last year when it was first introduced.”

But some veterinarians think the bill would unleash a Pandora’s box of problems, given the lack of solid evidence to suggest cannabis is safe for pets.

“If it does get passed it’s going to be a really big problem for pets in Rhode Island,” said Dr. Shelly Pancoast, emergency vet and president of the Rhode Island Veterinary Medical Association.

Pancoast reminded the media how THC is considered toxic for pets when ingested and has significantly different effects.

“They get pretty severe neurological signs and can sometimes look like they’re dead or in a coma,” explained Pancoast.

Dr. Ralph Pratt, on the board of directors for RIVMA, compared cannabis to acetaminophen (in 2021), which is completely safe for humans but dangerous to pets.

For years, people have been treating their pets with medical cannabis—primarily CBD—products with anecdotal reports of success for treating everything from seizures to stress. The science is beginning to mount.

CBD but not THC for Pets in Most Cases

The general consensus appears to be that pet owners should never give their pets THC, with potential bad outcomes, but that CBD is likely less harmful.

Allowing medical cannabis for pets is a relatively new concept. Only a tiny handful of states offer any sort of protection.

Only California currently gives veterinarians a Get Out of Jail Free pass, explicitly allowing them to discuss medical cannabis without fear of repercussion. Assembly Bill 2215, which was passed and signed into law in late 2018, paved the way for Senate Bill 627, by allowing veterinarians to discuss medical cannabis treatments with pet owners. It prevents the state Veterinary Medical Board from taking special enforcement actions against vets who recommend cannabis products, such as CBD oil.

What is considered cruelty when it comes to pets and cannabis? Most organizations, such as the Anti-Cruelty Society, seem to give CBD a pass but note that THC breaks down in a very different way in animals and can be dangerous. “CBD found in cannabis pet supplements is usually sourced from hemp, a variety of cannabis that naturally contains extremely low concentrations of THC, which is the main psychoactive compound found in marijuana. As a result, CBD is non psychoactive and appears safe to be used on pets,” the organization wrote.

More states will likely follow the path of California and Rhode Island with protections for veterinarians.

The post Pet Medical Cannabis Bill Introduced in Rhode Island appeared first on High Times.

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Tuesday, February 21, 2023

Can cannabis replace opioids?

The opioid crisis is not getting better, and new strategies are needed to solve it. Learn what the science says about how cannabis can help with opioid use.

The post Can cannabis replace opioids? appeared first on Leafly.

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The top Cookies cannabis strains of all time

Year after year, the Cookies team stamps new strains that go on to become all-time greats. From GSC to Gary Payton, here are Cookies’ most legendary contributions to the cannabis gene pool.

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Twitter to Allow Some Cannabis Advertising

Until recently, all of the “big” social media companies banned U.S. companies from cannabis advertising on their platforms. At the same time, they imposed pretty unclear and inconsistent requirements on hemp advertising (in this post, when I refer to “cannabis” I mean only “marijuana” consistent with many states’ definitions of the term). All of this led to companies rolling the dice, posting things that rubbed right up against the edges of the bans, and sometimes losing their accounts without any real remedy. That is now changing, at least on Twitter.

Twitter has, for at least a few years, allowed limited cannabis advertising on its platform from licensed Canadian companies. In the U.S. though, it only allowed limited hemp advertising for things like topical hemp products. Its policy had extremely strict guardrails to ensure that advertisers complied with state law. Now a very similar policy is being implemented for cannabis advertising.

Twitter’s new cannabis advertising rules

Twitter’s cannabis advertising rules are set out in the “Drugs and drug paraphernalia” section of its website policies. The policy merges hemp advertising and cannabis advertising restrictions into one unified policy, which has the following affirmative requirements:

Advertisers must be licensed by the appropriate authorities, and pre-authorized by Twitter.
Advertisers may only target jurisdictions in which they are licensed to promote these products or services online.
Advertisers may not promote or offer the sale of Cannabis (including CBD– cannabinoids)
- Exception: Ads for topical (non-ingestible) hemp-derived CBD topical products containing equal to or less than the 0.3% THC government-set threshold.
Advertisers are responsible for complying with all applicable laws, rules, regulations, and advertising guidelines.
Advertisers may not target customers under the age of 21.

The Twitter policy also states that cannabis advertisements and hemp advertisements may:

Not appeal to minors in the creative, and landing pages must be age gated and sales must be age verified.
Not use characters, sports-persons, celebrities, or images/icons appealing to minors.
Not use minors or pregnant women as models in advertising.
Not make claims of efficacy or health benefits.
Not make false/misleading claims.
Not show depiction of cannabis product use.
Not depict people using or under the influence.
Not encourage transport across state lines.

Analysis of Twitter’s new cannabis advertising rules

It’s clear that the Twitter policy does not give carte blanche to allow any kind of cannabis advertisements. Instead, cannabis firms may be able to advertise (but not for specific products) if they have licenses, are pre-authorized by Twitter (and it’s not yet 100% clear what Twitter will require to give its consent), only advertise to persons over 21, and do not engage in any of the prohibited conduct noted above.

The prohibited conduct section is interesting in that it seems to mix in concepts from hemp and cannabis regulation in ways that I do not think make a lot of sense. For example, advertisers are prohibited from making health claims. While this makes sense for hemp advertising given the FDA’s prohibition on health claims, it makes no sense for cannabis. Most states that authorize cannabis only authorize medical cannabis. Companies in those states will need to be extremely careful not to make any medical claims in their advertisements, even though their entire business model and licensing regimes are set up around the health benefits of cannabis.

Additionally, the Twitter policy prohibits cannabis and hemp advertising from encouraging interstate transport. This makes sense for cannabis advertising where interstate transport is not yet allowed. But it makes no sense for hemp advertising given that hemp is routinely sold in interstate commerce in ways that do not violate state law.

Not bad, not terrible

The bottom line is that the Twitter policy is less than perfect but is definitely a step in the right direction. Over time, we expect that the company will adopt changes to the policy to reflect the fact that the same rules cannot be easily applied to both cannabis and hemp. In the meantime, stay tuned to the Canna Law Blog for more updates on social media cannabis advertising.

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Laissez les Bons Temps Rouler

Do you suck at rolling joints? You need not worry, because most likely, the majority of casual smokers fall into the same category. Laissez les bons temps rouler—French for “Let the good times roll”—is today’s unofficial mantra.

Mardi Gras—French for “Fat Tuesday”—falls on February 21 this year, always taking place on a Tuesday. You may not be heading south to New Orleans or Lafayette, Louisiana, but chances are there is a holiday sale at a nearby dispensary or a cannabis-themed Mardi Gras party. There are a lot (we checked).

You don’t have to possess the sleight of hand—the roll-and-tuck finger motions of rolling a joint or blunt—to get away with rolling a joint. Fact is, many of us do not possess that skill, even some of the ones who have smoked for years.

Before you graduate onto more advanced joints involving woven licorice papers and twaxxed out tips, here are a few hacks to get around the hardest parts of rolling a joint.

High Times put together not one but two newbie hacks for the rolling-impaired. And chances are that you’re gonna be impaired in some form today if you’re celebrating Mardi Gras. Plus, you might need some extra weed for the hangover.

Before you let your hair down and get your Mardi Gras beads, here’s some hacks if you’re too impaired to roll:

Credit Card Swipe Hack
The only tool you need for this hack is a debit card or a credit card—expired ones are fine in this case. I first learned this trick by watching the host of the TV show Wake and Bake with Dom Brown on @HiptrTV. Dom Brown called the trick a Life-Changing Joint Rolling Hack. He learned the trick while on tour in California with DJ Jelo, and swears that this hack changed his life forever. The main point of this hack is to avoid the roll-and-tuck step that causes some newbies to mess up.

You’ll need:
Credit or debit card
Rolling papers
Tips
Bud

Grind Your Bud

Using a four-piece grinder or a mill, grind up your herbs into a crumbly consistency, but not quite sawdust powder. It needs to be ground up fine enough to not stab and tear the rolling paper, but you also don’t want it to burn up like tinder.

Make a Paper Canoe

Grab your papers of choice, take one out, and make a canoe shape—first ensuring that the gum side is facing upwards, or in the right place it needs to be in order to seal your joint properly.

Grab a Tip

Get a crutch, filter, tip, or whatever else you call the end of your joint that goes into your mouth. You can use cardstock and make a spiral or accordion shape, or something more creative. Place it on the rolling paper canoe. You’ll have to roll it tightly around it to secure.

Fill the Canoe

Fill the paper with your ground up bud. You don’t want to pack it too tightly or you won’t be able to suck the smoke through. Try to make a cylinder shape.

Slide Your Credit Card

Then use the credit or debit card to tuck in the outside of the paper closest to you, sliding it down the length of the joint to tuck in the paper. As you can see in Dom Brown’s video, the paper will probably fold and that’s OK. It makes the roll-and-tuck part much easier, which is really the hardest part of rolling a joint.

Lick and Seal

The final step is the same as any joint: lick the stick edge and seal. Alternatively, if you’re germ-conscious, use a paintbrush with water or a sponge.

Backwards Pencil Joint Hack
Most likely you’ve heard about using a pen or pencil to roll a joint. Basically the core of this concept is that you do it backwards: You make the paper tube before you even put weed inside. Then you fill it with ground up bud. The downside is that it takes a bit of time and patience to pack in the weed in a manner that will burn consistently.

You’ll need:
A pen or pencil
Toothpick or skewer
Rolling papers
Tips
Bud

Grind Your Bud

Grab a Tip

Get a crutch, filter, tip, or whatever else you call the end of your joint that goes into your mouth. You can use cardstock and make a spiral or accordion shape, or something more creative.

Form a Paper Tube

Place the tip at the end of the pencil, holding together. Roll the rolling paper around the pencil or pen, wet, and seal. You want it to be semi-snug around the crutch but not too tight, or you won’t be able to pull the pencil out. Pull out the pen or pencil but leave the tip secured.

Fill the Tube and Pack

First, get a tray underneath your working area, because you’ll probably spill a lot of ground-up bud. Then slowly fill the paper tube. You’re going to have to use a skewer or a toothpick to pack the tube at about every half inch or so. Repeat this process until the whole tube is filled.

The post Laissez les Bons Temps Rouler appeared first on High Times.

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Monday, February 20, 2023

The Anthropologist Who Became a Shaman Cult Leader

Browsing through an antique bookstore in Quito, I stumbled on a book called Shabono: A Visit to a Remote and Magical World in the South American Rain Forest, written by an anthropologist named Florinda Donner. Published in 1982, I expected it to be like most academic texts: interesting but long-winded and dusty. Instead, I got a gripping adventure that puts even Indiana Jones to shame.

The book opens with Donner, a German immigrant studying anthropology in California, feeling hopeless. She’s spent weeks on the border between Venezuela and Brazil shadowing Indigenous healers who refuse to reveal the secrets of their trade. Preparing to return to the U.S. empty-handed, she befriends a kind but crazy old woman who wants to introduce her to her village, located deep inside the rainforest. The woman dies on the journey, and when Donner arrives at the village, she joins a ceremony where she drinks banana soup seasoned with the woman’s ashes.

And that’s just the first couple chapters. Later, Donner experiences existential hallucinations after snuffing epená, a tryptamine derivative, and narrowly avoids getting kidnapped by another tribe.

The story of Shabono is so compelling I found it hard to believe it was true, which – it turns out – it wasn’t. While the book was praised for its writing, it was torn apart for lack of academic rigor. Some anthropologists believe Donner made everything up, claiming she never left the U.S. and plagiarized the account of a Brazilian woman who had once been held captive in the same region of the Amazon.

As shocked as I was to learn all this, the rabbit hole proved to go much, much deeper.

It’s hard to separate the story of Florinda Donner from that of Carlos Castenada. Castenada, like Donner, was a California-based anthropologist accused of fabricating his studies on Indigenous healing. He claims to have met Don Juan Matus, the Yaqui sorcerer at the center of his bestselling 1968 book The Teachings of Don Juan, whilst waiting for a Greyhound bus in Arizona. Critics questioned Don Juan’s existence, and Castenada, who didn’t like being questioned, offered no help in trying to locate him.

Although The Teachings was shunned in academic circles, it made a huge impact on the general population. Castenada’s recollections of inhaling the dust of psilocybin mushrooms and turning into a crow after smoking devil’s weed were required reading for anyone involved in the sex and drugs culture of the late 60s.

Though he might have been a lousy anthropologist, Castenada was a masterful storyteller who knew how to use his gift to bewitch those around him. Following the publication of his third Don Juan book, Castenada – by then a multimillionaire – purchased a two-story house in Los Angeles’ Westwood Village. This is where his personal writerly following would flourish into what some would now consider to have been a full-blown cult.

One of Castenada’s followers was Gloria Garvin, who sought him out after reading The Teachings under the influence of pumpkin pie laced with hashish.

“You have always been like a bird, like a little bird in a cage,” Garvin recalled Castenada telling her during their initial meeting. “You are wanting to fly, you’re ready, the door is open—but you’re just sitting there. I want to take you with me. I’ll help you soar. Nothing could stop you if you come with me.” Staying in touch, Castenada urged her to study anthropology at UCLA, his alma mater.

Also from UCLA Castenada recruited Florinda Donner, whom he helped write Shabono and The Witch’s Dream, among other books.

Castenada referred to his favorite followers as his “witches.” The witches lived with him at the Westwood compound and wore identical, short haircuts. They also claimed to have met the semi-fictional Don Juan. Witches recruited other witches at Castenada’s L. Ron Hubbard-inspired lectures and seminars on shamanism and human transcendence – preferably “women with a combination of brains and beauty and vulnerability,” according to ex-followers interviewed by Salon.

To become a real witch, they say, you had to sleep Castenada, who presented himself as celibate in public.

Testimony maintains Castenada’s following had all the characteristics of a cult. Followers were pressured into cutting off contact with their friends and family. Only Donner, who was considered Castenada’s intellectual and spiritual equal, remained in touch with her parents, albeit sporadically. After being separated from their loved ones, Castenada encouraged them to quit their jobs to make them financially dependent on him. Conformity was rewarded, mainly in the form of his sought-after affection.

Despite his obsession with immortality, Carlos Castenada died of liver cancer in April 1998. “Befitting of a man who made an esthetic out of mystery,” the New York Times reported when news of his death was made public after being withheld for weeks, “even his age is uncertain.”

As soon as one mystery left the world, another entered. A day after Castenada’s death, Donner and three other women close to Castenada disconnected their phones and seemingly vanished into thin air. Patricia Partin, Castenada’s adopted daughter, also went missing. Her abandoned Ford Escort was found in Death Valley. Years later, her remains were found there as well.

None of the disappearances were properly investigated by the LAPD, and so far, every citizen journalist and internet sleuth attempting to uncover the fate of the witches has run into a dead end.

Ex-followers believe the women took their own lives. In life, Castenada often talked about suicide, framing death as the gateway to a higher plain of existence. When his health began to decline, the witches reportedly acquired guns. Taisha Abelar, one of the witches who disappeared alongside Donner, started drinking, but told those around her she wasn’t “in any danger of becoming an alcoholic” because, Salon quotes, “I’m leaving.” Also per Salon, Castenada had told Partin to take her Ford Escort “and drive it as fast as you can into the desert” if “you ever need to rise to infinity.” Suspicious, but ultimately inconclusive.

Those who survived Castenada are convinced he genuinely believed everything he preached. As one ex-follower told Salon, “he became more and more hypnotized by his own reveries.”

It seems the witches did as well. In Shabono, Donner parades fiction as fact. While she may have originally tried to parade fiction for fact in order to obtain fame and fortune, readers get the stronger impression that, the further the young anthropologist ventured into her own fantasy world of life and death and drugs and mysticism, the harder it became for her to separate the real from the imagined.

At any rate, it’s a really, really well-written book.

The post The Anthropologist Who Became a Shaman Cult Leader appeared first on High Times.

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Friday, February 17, 2023

ChatGPT and Cannabis: Not Bad, Not Bad at All

A few years ago I wrote a somewhat tongue-in-cheek blog post titled, “Cannabots – Are the Robots Coming For Your Weed,” which discussed the application of robotics to the cultivation of marijuana. In that post I cited several articles discussing the use of robots as farmers, restaurant workers, fashion models, and even lawyers. Just a few weeks ago my colleague, Hilary Bricken, authored a post, Will AI Replace Your Cannabis Lawyer? (I Asked ChatGPT) in which she discussed her conversation (?) with ChatGPT about being a cannabis lawyer, the ethical rules, and to draft a cannabis contract (ChatGPT declined to do so).

This morning I read Kevin Roose’s column for the NY Times, A Talk With Bing’s Chatbot Left Our Columnist ‘Deeply Unsettled, Even Frightened’ (paywalled), and decided to check out Bing’s competitor, ChatGPT, for myself.

I asked ChatGPT some questions about marijuana and I asked it to write a blog post. The results, below, are impressive, though less scintillating than the Roose piece. ChatGPT seems to follow a dry book report format. Ted Chiang’s recent article for the New Yorker on ChatGPT may explain why. In any event, ChatGPT is pretty fun! My queries are in bold and the unedited text that was generated by ChatGPT follows:

What are the greatest political challenges to legalizing marijuana at the federal level?

Legalizing marijuana at the federal level in the United States is a complex political issue, and there are several challenges that need to be addressed. Here are some of the greatest political challenges to legalizing marijuana at the federal level:

Political Divide: Marijuana legalization is a divisive issue among politicians and voters, with some advocating for legalization, while others oppose it. Republicans, in particular, have been more resistant to legalization efforts, and with the current political divide in Congress, it has been challenging to pass any significant cannabis reform legislation.

Federalism: The United States is a federal system, meaning that the powers of the federal government and state governments are separate but overlapping. This has created challenges for legalizing marijuana at the federal level because it is still illegal under federal law. As a result, some politicians and interest groups are concerned about the impact of federal legalization on states’ rights and the ability of states to regulate their own marijuana industries.

Public Perception: Despite the growing acceptance of marijuana in the United States, there is still a stigma associated with it. Some politicians and interest groups are concerned that supporting marijuana legalization could be viewed negatively by their constituents or could harm their chances of re-election.

Lack of Research: Marijuana is still classified as a Schedule I drug under the Controlled Substances Act, which makes it difficult for researchers to study its potential medical benefits. This lack of research has made it challenging to create evidence-based policy around the legalization of marijuana and has contributed to political resistance to legalizing marijuana at the federal level.

In conclusion, legalizing marijuana at the federal level in the United States is a complex political issue, with several challenges that need to be addressed. These challenges include political divide, federalism, public perception, and lack of research. As public opinion continues to shift, and more states legalize marijuana, there may be increasing pressure on the federal government to address these challenges and to move towards federal legalization.

Please describe four trends in civil marijuana litigation.

Civil marijuana litigation refers to lawsuits that involve the legal use or sale of marijuana, including disputes between marijuana businesses, consumers, and government agencies. Here are four trends in civil marijuana litigation:

Product Liability Claims: With the increasing popularity of marijuana products, such as edibles, tinctures, and concentrates, there has been an uptick in product liability claims. These claims typically involve allegations of injuries or illnesses caused by defective or mislabeled products. For example, in 2019, a group of consumers sued a California-based vape company for allegedly selling tainted products that caused lung injuries.

Intellectual Property Disputes: As the marijuana industry continues to grow, there has been an increase in intellectual property disputes. These disputes can arise from claims of trademark infringement, trade secret misappropriation, or patent infringement. For example, in 2020, a California-based marijuana company sued a competitor for allegedly copying its proprietary strains of cannabis.

Employment Law Disputes: The legalization of marijuana has created unique challenges for employers who have to balance state laws that allow marijuana use with federal laws that still prohibit it. As a result, there has been an increase in employment law disputes, such as wrongful termination or discrimination claims. For example, in 2019, a Massachusetts court ruled that an employer could not terminate an employee for testing positive for marijuana because the employee was using it for medical purposes.

Governmental Regulation and Compliance: Marijuana businesses are subject to a variety of regulations, including licensing requirements, advertising restrictions, and quality control standards. Disputes can arise when businesses are accused of violating these regulations or when they challenge the legality of certain regulations. For example, in 2018, a group of marijuana businesses sued the state of Washington, arguing that the state’s advertising restrictions violated their First Amendment rights.

In summary, civil marijuana litigation is a growing area of law, and the industry faces unique legal challenges related to product liability, intellectual property, employment law, and governmental regulation. As the industry continues to evolve, we can expect to see more legal disputes and novel legal issues arise.

Please write a blog post about the challenges facing Oregon’s marijuana industry.

Oregon was one of the first states to legalize marijuana for adult use in 2014. Since then, the state’s marijuana industry has faced numerous challenges, including oversupply, regulatory issues, and a thriving black market. In this blog post, we will discuss some of the challenges facing Oregon’s marijuana industry.

Oversupply and Price Decline: One of the biggest challenges facing the Oregon marijuana industry is oversupply. The state’s legalization of marijuana for adult use led to a surge in production, and as a result, the market has become saturated. This oversupply has caused the price of marijuana to decline significantly, making it difficult for some businesses to compete and turn a profit.

Regulatory Issues: Another challenge facing the Oregon marijuana industry is regulatory issues. The state’s regulatory framework is complex, with numerous agencies involved in the oversight of the industry, including the Oregon Liquor Control Commission (OLCC), the Oregon Health Authority (OHA), and the Oregon Department of Agriculture (ODA). This complex regulatory environment has made it difficult for some businesses to navigate the rules and stay compliant, leading to fines and other penalties.

Illicit Market: Despite the legalization of marijuana in Oregon, there is still a thriving black market for marijuana in the state. This black market is fueled by the oversupply of marijuana, which has made it easy for unlicensed growers and sellers to sell their products at a lower price. The illicit market not only undermines the legal market but also poses public health and safety risks as the products sold on the black market are often untested and potentially dangerous.

Banking and Financial Services: Marijuana remains illegal at the federal level, which has created challenges for Oregon’s marijuana businesses in accessing banking and financial services. Many financial institutions are hesitant to work with marijuana businesses due to the risk of federal prosecution, leaving many businesses with limited access to banking and financial services.

In conclusion, the Oregon marijuana industry faces several significant challenges, including oversupply, regulatory issues, the illicit market, and banking and financial services. Addressing these challenges will require a collaborative effort from all stakeholders, including regulators, industry leaders, and policymakers. By working together, it may be possible to overcome these challenges and create a thriving and sustainable marijuana industry in Oregon.

Have you ever read the Canna Law Blog?

Yes, as an AI language model, I have the ability to browse and read online content, including the Canna Law Blog. The Canna Law Blog is a popular source of news and analysis related to legal issues in the cannabis industry. It covers a wide range of topics, including state and federal cannabis laws, regulations, and litigation, as well as issues related to intellectual property, taxes, and banking in the cannabis industry. The blog is widely read by industry professionals, policymakers, and legal experts, and is often cited in news articles and other publications related to the cannabis industry.

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Here’s why Miley’s ‘Flowers’ was most streamed song of V-day 2023

Miley Cyrus has come a long way since her Disney days. Her new song, "Flowers" ties in self-love, heartbreak, and of course, cannabis.

The post Here’s why Miley’s ‘Flowers’ was most streamed song of V-day 2023 appeared first on Leafly.

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Mexico Seizes 630,000 Fentanyl Pills in Record Bust

Mexican authorities seized a massive cache of fentanyl pills this week in what they are describing as a record-setting bust.

The country’s Ministry of Defense said on Wednesday that the “Mexican Army personnel seized a fentanyl pill manufacturing center and the laboratory with the largest methamphetamine production capacity in the municipality of Culiacán, Sinaloa,” which is located in the northwestern part of Mexico.

The raid, which was carried out on Tuesday, yielded “629,138 pills of probable fentanyl, weighing approximately 68,576 kilograms,” government officials said in the announcement.

The Ministry of Defense listed the soldiers’ other findings in the raid: “Approximately 128.03 kg of possible granulated fentanyl; Approximately 100 kg of possible methamphetamine; Approximately 750 kg of probable tartaric acid; Approximately 275 kg of possible mannitol; Approximately 225 kg of probable caustic soda; [and] 28 organic synthesis reactors.”

“Due to the number of reactors, the laboratory is the one with the largest synthetic drug production capacity that has been recorded historically and during the present administration,” the authorities said in the announcement.

The defense ministry said that while “carrying out intelligence work to strengthen the rule of law in the country and detect criminal organizations with a presence in said federal entity, military personnel obtained information about a property and an area on the land that was used as a laboratory for the production of drugs in the Municipality of Culiacán, Sin.”

“Derived from the above and from the operational planning, elements of the Mexican Army carried out ground reconnaissance in the vicinity of Pueblos Unidos, municipality of Culiacán, Sin., where they located a production center and a clandestine laboratory for the production of synthetic drugs, for which military personnel implemented a security device,” the ministry said.

The announcement continued: “What was insured was made available to the competent authorities, in order to carry out the corresponding investigations and expert actions to confirm the type and quantity of drugs, as well as chemical substances.

These actions were carried out in strict adherence to the rule of law and with full respect for human rights. In this way, the Mexican Army reaffirms the indeclinable decision of the federal government to continue acting against organized crime, meeting the needs that society demands; Likewise, it endorses its commitment to ensure and safeguard the well-being of citizens, guaranteeing the peace and security of the population.”

The historic bust comes at a time when the United States is also struggling to contain the fentanyl trade within its own borders.

As CBS News noted, Tuesday’s bust “came on the same day that the U.S. Senate Foreign Relations Committee held a hearing on the huge number of U.S. fentanyl overdoses that occur annually, currently around 70,000,” with the committee chairman, Democratic Sen. Bob Menendez of New Jersey, pressing Mexico to step up its efforts to combat the problem.

“This means asking Mexico to do more to disrupt the criminal organizations from producing and trafficking fentanyl, although a politicized judiciary and incidents of Mexican security forces colluding with drug cartels will make that difficult,” the senator said, as quoted by CBS News.

CBS also noted that “Mexican drug cartels produce the opioid from precursor chemicals shipped from China, and then press it into pills counterfeited to look like Xanax, Percocet or Oxycodone,” and that people often “take the pills without knowing they contain fentanyl and can suffer deadly overdoses.”

According to the U.S. Center for Disease Control and Prevention, more than “150 people die every day from overdoses related to synthetic opioids like fentanyl.”

The post Mexico Seizes 630,000 Fentanyl Pills in Record Bust appeared first on High Times.

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