Business
Cannabis Expungement Law Takes Effect in D.C.
Residents of Washington, D.C. can now take steps to have marijuana-related convictions expunged from their record, thanks to a new law that took effect last week.
The measure that was approved by the Council of the District of Columbia late last year mandates an “automatic sealing for non-dangerous, non-convictions as well as shorten the waiting periods before a person is eligible to seal their record,” and “would also expand the eligibility of who can seal their record.” The bill was signed by Washington, D.C. Mayor Muriel Bowser in January, but its enactment was delayed due to an arcane part of lawmaking in our nation’s capital.
Laws in D.C. are subject to congressional oversight and approval––a stipulation that has prevented the district from implementing legal marijuana sales, despite the fact that voters there legalized cannabis back in 2014.
After Bowser signed the cannabis expungement measure in January, the bill was transmitted to Congress. As NORML explained, all “legislation must undergo a 30-day Congressional review prior to becoming law,” and absent a Congressional intervention, the bill will then become law.
That moment is now––or rather, on March 10, when the law officially took effect.
NORML has more on the new law:
“The Act provides for the automatic review and expungement of any convictions or citations specific to marijuana-related offenses that have subsequently been decriminalized or legalized in the District of Columbia, as well as any ‘records related only to simple possession for any quantity of marijuana in violation of D.C. Code § 48-904.01(d)(1) before February 15, 2015.’ It requires all cannabis-specific expungements to be processed by the courts by January 1, 2025.”
Paul Armentano, the deputy director of NORML, hailed the new law.
“Thousands of DC residents unduly carry the burden and stigma of a past conviction for behavior that District lawmakers, most Americans, and a growing number of states, no longer consider to be a crime,” Armenato said. “Our sense of justice and our principles of fairness demand that the courts move swiftly to right the past wrongs of cannabis prohibition and criminalization.”
In 2021, it appeared that legal cannabis sales might finally be coming to Washington, D.C.
That’s because Senate Democrats at the time introduced a draft of an appropriations bill that did not include the so-called “Harris Rider,” a budget rider named for Republican Congressman Andy Harris of Maryland that had appeared in every such bill since 2014.
The Harris Rider has precluded Washington, D.C. from engaging in legal commercial marijuana sales.
At the time, Bowser celebrated the rider’s apparent exclusion from the proposed bill.
“The Senate appropriations bill is a critical step in recognizing that in a democracy, D.C. residents should be governed by D.C. values,” Bowser’s office said at the time. “As we continue on the path to D.C. statehood, I want to thank Senate Appropriations Committee Chair, Senator Patrick Leahy, our good friend and Subcommittee Chair, Senator Chris Van Hollen, and, of course, our champion on the Hill, Congresswoman Eleanor Holmes Norton, for recognizing and advancing the will of D.C. voters. We urge Congress to pass a final spending bill that similarly removes all anti-Home Rule riders, allowing D.C. to spend our local funds as we see fit.”
Activist groups pressured Democrats in Congress to hold firm and ditch the Harris Rider.
“In one hand, Congress continues to make strides in advancing federal marijuana reform grounded in racial justice, while simultaneously being responsible for prohibiting the very jurisdiction that led the country in legalizing marijuana through this lens from being able to regulate it. This conflict and contradiction must end now,” Queen Adesuyi, Senior National Policy Manager for the Drug Policy Alliance, said in a statement last year.
But it was not to be.
The appropriations bill that ultimately emerged last year included the Harris Rider.
Source: https://hightimes.com/news/cannabis-expungement-law-takes-effect-in-d-c/
Business
New Mexico cannabis operator fined, loses license for alleged BioTrack fraud
New Mexico regulators fined a cannabis operator nearly $300,000 and revoked its license after the company allegedly created fake reports in the state’s traceability software.
The New Mexico Cannabis Control Division (CCD) accused marijuana manufacturer and retailer Golden Roots of 11 violations, according to Albuquerque Business First.
Golden Roots operates the The Cannabis Revolution Dispensary.
The majority of the violations are related to the Albuquerque company’s improper use of BioTrack, which has been New Mexico’s track-and-trace vendor since 2015.
The CCD alleges Golden Roots reported marijuana production only two months after it had received its vertically integrated license, according to Albuquerque Business First.
Because cannabis takes longer than two months to be cultivated, the CCD was suspicious of the report.
After inspecting the company’s premises, the CCD alleged Golden Roots reported cultivation, transportation and sales in BioTrack but wasn’t able to provide officers who inspected the site evidence that the operator was cultivating cannabis.
In April, the CCD revoked Golden Roots’ license and issued a $10,000 fine, according to the news outlet.
The company requested a hearing, which the regulator scheduled for Sept. 1.
At the hearing, the CCD testified that the company’s dried-cannabis weights in BioTrack were suspicious because they didn’t seem to accurately reflect how much weight marijuana loses as it dries.
Company employees also poorly accounted for why they were making adjustments in the system of up to 24 pounds of cannabis, making comments such as “bad” or “mistake” in the software, Albuquerque Business First reported.
Golden Roots was fined $298,972.05 – the amount regulators allege the company made selling products that weren’t properly accounted for in BioTrack.
The CCD has been cracking down on cannabis operators accused of selling products procured from out-of-state or not grown legally:
- Regulators alleged in August that Albuquerque dispensary Sawmill Sweet Leaf sold out-of-state products and didn’t have a license for extraction.
- Paradise Exotics Distro lost its license in July after regulators alleged the company sold products made in California.
Golden Roots was the first alleged rulebreaker in New Mexico to be asked to pay a large fine.
Source: https://mjbizdaily.com/new-mexico-cannabis-operator-fined-loses-license-for-alleged-biotrack-fraud/
Business
Marijuana companies suing US attorney general in federal prohibition challenge
Four marijuana companies, including a multistate operator, have filed a lawsuit against U.S. Attorney General Merrick Garland in which they allege the federal MJ prohibition under the Controlled Substances Act is no longer constitutional.
According to the complaint, filed Thursday in U.S. District Court in Massachusetts, retailer Canna Provisions, Treevit delivery service CEO Gyasi Sellers, cultivator Wiseacre Farm and MSO Verano Holdings Corp. are all harmed by “the federal government’s unconstitutional ban on cultivating, manufacturing, distributing, or possessing intrastate marijuana.”
Verano is headquartered in Chicago but has operations in Massachusetts; the other three operators are based in Massachusetts.
The lawsuit seeks a ruling that the “Controlled Substances Act is unconstitutional as applied to the intrastate cultivation, manufacture, possession, and distribution of marijuana pursuant to state law.”
The companies want the case to go before the U.S. Supreme Court.
They hired prominent law firm Boies Schiller Flexner to represent them.
The New York-based firm’s principal is David Boies, whose former clients include Microsoft, former presidential candidate Al Gore and Elizabeth Holmes’ disgraced startup Theranos.
Similar challenges to the federal Controlled Substances Act (CSA) have failed.
One such challenge led to a landmark Supreme Court decision in 2005.
In Gonzalez vs. Raich, the highest court in the United States ruled in a 6-3 decision that the commerce clause of the U.S. Constitution gave Congress the power to outlaw marijuana federally, even though state laws allow the cultivation and sale of cannabis.
In the 18 years since that ruling, 23 states and the District of Columbia have legalized adult-use marijuana and the federal government has allowed a multibillion-dollar cannabis industry to thrive.
Since both Congress and the U.S. Department of Justice, currently headed by Garland, have declined to intervene in state-licensed marijuana markets, the key facts that led to the Supreme Court’s 2005 ruling “no longer apply,” Boies said in a statement Thursday.
“The Supreme Court has since made clear that the federal government lacks the authority to regulate purely intrastate commerce,” Boies said.
“Moreover, the facts on which those precedents are based are no longer true.”
Verano President Darren Weiss said in a statement the company is “prepared to bring this case all the way to the Supreme Court in order to align federal law with how Congress has acted for years.”
While the Biden administration’s push to reschedule marijuana would help solve marijuana operators’ federal tax woes, neither rescheduling nor modest Congressional reforms such as the SAFER Banking Act “solve the fundamental issue,” Weiss added.
“The application of the CSA to lawful state-run cannabis business is an unconstitutional overreach on state sovereignty that has led to decades of harm, failed businesses, lost jobs, and unsafe working conditions.”
Business
Alabama to make another attempt Dec. 1 to award medical cannabis licenses
Alabama regulators are targeting Dec. 1 to award the first batch of medical cannabis business licenses after the agency’s first two attempts were scrapped because of scoring errors and litigation.
The first licenses will be awarded to individual cultivators, delivery providers, processors, dispensaries and state testing labs, according to the Alabama Medical Cannabis Commission (AMCC).
Then, on Dec. 12, the AMCC will award licenses for vertically integrated operations, a designation set primarily for multistate operators.
Licenses are expected to be handed out 28 days after they have been awarded, so MMJ production could begin in early January, according to the Alabama Daily News.
That means MMJ products could be available for patients around early March, an AMCC spokesperson told the media outlet.
Regulators initially awarded 21 business licenses in June, only to void them after applicants alleged inconsistencies with how the applications were scored.
Then, in August, the state awarded 24 different licenses – 19 went to June recipients – only to reverse themselves again and scratch those licenses after spurned applicants filed lawsuits.
A state judge dismissed a lawsuit filed by Chicago-based MSO Verano Holdings Corp., but another lawsuit is pending.
Source: https://mjbizdaily.com/alabama-plans-to-award-medical-cannabis-licenses-dec-1/
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