Sunday, January 30, 2022

"The Oxymoron of Ethical Cannabis Lawyering: Advising Clients on Breaking the Law Without Violating Ethical Rules"

The title of this post is the title of this new paper recently posted to SSRN and authored by Courtney Pratt, a recent graduate of The Ohio State University Moritz College of Law.  (This paper is yet another in the on-going series of student papers supported by the Drug Enforcement and Policy Center.)   Here is this latest paper's abstract: 

Cannabis companies in the United States operate in a shadowed area of the law where state and federal laws frequently change and often conflict.  Cannabis attorneys, who advise cannabis companies in ways similar to other corporate attorneys, must also traverse this grey space.  For cannabis attorneys, it is critical to discern whether an action taken by the attorney in furtherance of the cannabis company’s business runs afoul of the rules of professional conduct, which govern attorneys in the United States. 

Until cannabis is reclassified under the Controlled Substances Act or Congress passes legislation immunizing cannabis attorneys, there will always be some level of risk inherent in an attorney’s representation of cannabis clients.  Until this time comes, attorneys should protect themselves by adopting procedures to define the scope of representation, monitoring clients’ business affairs, reevaluating the nature of representation as laws change, and informing clients about conflicts, risks, and implications of operating a cannabis company, and carefully documenting these warnings.

January 30, 2022 in Business laws and regulatory issues | Permalink | Comments (0)

Saturday, January 29, 2022

Initiative effort to legalize marijuana in Ohio advances to legislative consideration, on track for Nov 2022 vote if Ohio General Assembly does not act

Ohio-marijuana-1280x720As reported in this local article, headlined "Recreational marijuana proposal clears another hurdle, heads to Ohio legislature before November ballot," an interesting reform effort in the Buckeye State is now one step closer to getting recreational marijuana on Ohio ballot this year.  Here are the details:

Ohio Secretary of State Frank LaRose told state legislative leaders in a Friday letter that a proposed initiated statute that would legalize recreational marijuana obtained enough signatures to get on the November ballot, and now the General Assembly has four months to consider passing the measure. State law requires at least 132,887 valid signatures to get on the ballot, which the Coalition to Regulate Marijuana Like Alcohol obtained. County boards of election recently finished verifying the signatures, and LaRose sent the letter to lawmakers.

But before the proposal makes the Nov. 8 ballot, the General Assembly gets to take a stab at passing the measure or passing it in an amended form. According to the Ohio Constitution, if lawmakers fail to pass a proposal, the coalition can circulate more petitions, demanding it appears on the ballot in the next general election.

The coalition, made up of businesses in Ohio’s medical marijuana industry, prefers the legislature to pass a law expanding the program to Ohioans age 21 and older. However, it also said that it has polling showing that marijuana is no longer a partisan issue in Ohio, and it believes the initiated statute would pass at the polls. “We are ready and eager to work with Ohio legislators over the next four months to legalize the adult use of marijuana in Ohio,” coalition spokesman Tom Haren said in a statement. “We are also fully prepared to collect additional signatures and take this issue directly to voters on November 8, 2022, if legislators fail to act.”

Under the proposal, adults would be allowed to purchase, possess and grow marijuana at home. Existing Ohio medical marijuana dispensaries could expand their businesses to sell to adults 21 and older, and new marijuana businesses could be added to accommodate recreational demand. Marijuana purchasers would be taxed 10% at the point of sale for each transaction. The coalition estimates recreational marijuana revenues could generate $400 million a year in new revenue.

Sensing the pressure from the Just Like Alcohol proposal, the legislature has advanced several marijuana bills lately. But none of them have moved across the finish line. On Tuesday, the Ohio House Health Committee advanced a bill to legalize marijuana for people on the autism spectrum. On Dec. 16, the Ohio Senate sent to the House a bill that would legalize marijuana to any patient whose symptoms ‘may reasonably be expected to be relieved by the drug. Democratic and Republican lawmakers also introduced bills that would legalize recreational marijuana.

Those of us working at the Drug Enforcement and Policy Center, which is based at The Ohio State University Moritz College of Law, have been closely following this initiative and all the other marijuana reform proposals being actively discussed in the Buckeye State.  DEPC has created a set of materials to aid in understanding the Ohio initiative process as well as the substantive particulars of different legislative reform proposals.  These Ohio materials are collected here under the heading "A Comparison of Marijuana Reform Proposals in Ohio." 

A few prior recent related posts:

January 29, 2022 in Initiative reforms in states, Recreational Marijuana State Laws and Reforms, Who decides | Permalink | Comments (0)

Thursday, January 27, 2022

"Societal Costs and Outcomes of Medical and Recreational Marijuana Policies in the United States: A Systematic Review"

The title of this post is the title of this notable new research in the journal Medical Care Research and Review authored by Michael French, Julia Zukerberg, Tara Lewandowski, Katrina Piccolo and Karoline Mortensen.  Here is its abstract:

Significant support exists in the United States for legalization of marijuana/cannabis.  As of 2021, 36 states and four territories approved the legalization of medical cannabis via medical marijuana laws (MMLs), and 15 states and District of Columbia (DC) have adopted recreational marijuana laws (RMLs).  We performed structured and systematic searches of articles published from 2010 through September 2021.  We assess the literature pertaining to adolescent marijuana use; opioid use and opioid-related outcomes; alcohol use; tobacco use; illicit and other drug use; marijuana growing and cultivation; employment, earnings, and other workplace outcomes; academic achievement and performance; criminal activity; perceived harmfulness; traffic and road safety; and suicide and sexual activity.  Overall, 113 articles satisfied our inclusion criteria.  Except for opioids, studies on use of other substances (illicit drugs, tobacco, and alcohol) were inconclusive. MMLs and RMLs do not generate negative outcomes in the labor market, lead to greater criminal activity, or reduce traffic and road safety.

January 27, 2022 in Medical Marijuana Data and Research, Recreational Marijuana Data and Research | Permalink | Comments (0)

Wednesday, January 26, 2022

Jeff Bezos can go to space, but can Amazon help get federal marijuana reform enacted?

Amazon_tweetThe question in the title of this post is prompted by all the press buzz about the decision by Amazon to formally endorse Rep Nancy Mace's States Reform Act.  This New York Post piece, headlined "Amazon endorses GOP bill that would legalize marijuana on federal level," provides some context:

Amazon has endorsed a Republican-backed bill in Congress on Tuesday that would legalize marijuana on a federal level, leaving states to decide whether to prohibit or regulate it.  Rep. Nancy Mace’s (R-SC) States Reform Act would remove cannabis as a federal Schedule I substance and introduce a new 3% federal tax on the substance....  “Every state is different and every state should be able to dictate their cannabis laws,” Mace told The Post in an interview. “This bill would get the federal government out of the way.”...

Mace, a freshman Congresswoman who previously worked for Donald Trump’s 2016 presidential campaign, told The Post that she was approached by Amazon representatives after she introduced the bill.  She said the company was motivated to endorse her bill because legal issues around marijuana can make hiring difficult.  “They’re looking at it from a workers perspective,” Mace said in an interview. “The prohibitions at the federal level really do affect their workforce.” 

Amazon told Mace that it is not interested in selling marijuana on its website, according to the Congresswoman.  “That is not their goal, not their intention,” Mace said of the prospect of Amazon pushing pot. “They said that right off the bat.”  In June, Amazon stopped testing many job applicants for marijuana and said that it would support efforts to legalize the drug.... 

Mace expects Democrats, many of whom have supported weed legalization for years, to come out in support of her bill. She argued that Republicans are also likely to support her bill because it gives more power to states — and because weed legalization is extremely popular nationwide.  “Even in my very red state of South Carolina, statewide, medical cannabis is at an approval rating of 70%,” she said. “If we’re going to do cannabis reform at the federal level, Republicans need to have a seat at the table.” 

This lengthy new Forbes article, headlined "Republican Congresswoman Nancy Mace Is On A Mission To Legalize Cannabis — And Amazon Just Got Behind Her," discusses further Rep Mace, the States Reform Act, and some of the current political realities as of early 2022. I recommend the full piece, and here are some excerpts:

The cannabis industry also adores Mace and her bill, which is pro-business. (She proposes a 3% federal excise tax—compared to Schumer’s 10% tax—which would generate an estimated $3 billion in annual tax revenue by 2030.) Still, her bill is unlikely to become law, and Mace is under no pot-addled delusion that its passage is a sure thing. Her broader goal is to get as many Republicans as possible on board with cannabis reform and show the GOP that legalization is a good campaign issue in 2022 and beyond....

Mace’s bill also attempts to heal some of the inequities of America’s war on drugs, which disproportionately affects people of color. She estimates that if her bill were to pass, and some 2,800 federal prisoners incarcerated for non-violent cannabis crimes were released and another 1,100 or so people who get put in prison for similar crimes each year are not incarcerated, the government would save nearly $600 million over five years....

Cannabis legalization has historically been a progressive issue, but Mace wants to make it a Republican talking point. Kim Rivers, the CEO of Florida-based Trulieve, which has 160 dispensaries across eight states, welcomes Mace’s approach. “Cannabis is not a red or blue issue,” says Rivers. “And cannabis reform has done well consistently in conservative states. It sends a significant message that cannabis is not partisan.”...

Despite all of this momentum, Mace knows the States Reform Act is unlikely to go forward before the midterm elections, but her goal is to show a “proof of concept” that there are enough votes on the Republican side to get meaningful reform across the finish line in Congress.

When asked what it means that cannabis is now more popular than President Trump in red states—74% of Mississippians, for example, voted for the state’s medical marijuana ballot initiative while nearly 58% of Mississippians voted for Trump—she says it’s a signal to Republicans that they need to get on board with legalization.

“It means that if you don't do it, you're full of shit,” Mace says. “There's no reason not to do this. And if you are anti-marijuana, this is not forcing you to do it. It's not forcing your state to legalize it. But if it is legal in your state, then we're going to tax it and regulate it.”

January 26, 2022 in Business laws and regulatory issues, Campaigns, elections and public officials concerning reforms, Federal Marijuana Laws, Policies and Practices, History of Marijuana Laws in the United States, Recreational Marijuana Commentary and Debate, Who decides | Permalink | Comments (0)

Monday, January 24, 2022

Notable accounts of current politics and practicalities surrounding marijuana reform

I have recently seen two good new press reviews of the essential politics of federal marijuana reform as of January 2022 and of a key practical issue that has been a concern since the start of modern state marijuana reforms.  Here are full headlines, links and excerpts from these pieces:

From Politico, "Big Weed is on the brink of scoring big political wins. So where are they?: Competing agendas have stifled the effectiveness of the burgeoning industry on Capitol Hill."

Marijuana advocates are stuck in the weeds. Cannabis policy has never had a rosier outlook on Capitol Hill: Democrats control both Congress and the White House, seven new states just legalized recreational marijuana, and the cannabis industry has gained powerful new allies in companies like Amazon and conservative groups like Americans for Prosperity that are backing federal reform. The industry has even lured powerful advocates like former GOP House Speaker John Boehner and former Democratic Senate Majority Leader Tom Daschle to help push its agenda.

But nearly one year into this Congress, not one piece of cannabis legislation has been sent to the president's desk. There is growing fear among advocates that the window to act is closing. Industry lobbyists and legalization advocates say the movement has been stymied by a lack of consensus on the legislative strategy. Liberal advocacy groups are pushing for a comprehensive overhaul of federal cannabis policies with the aim of helping people harmed by criminal enforcement, while industry groups are seeking any piecemeal policy victory that could provide momentum toward more sweeping changes.

“There are certain people who are willing to forgo any of it if they don’t get all of it,” said one marijuana lobbyist, speaking on condition of anonymity in order to candidly discuss the industry’s struggles. The lobbyist noted that such a viewpoint is not universally shared, causing a disagreement “that’s stunting the legalization effort.”

From Bloomberg, "U.S. Grapples With How to Gauge Just How High Cannabis Users Are"

“Everybody wants a cannabis breathalyzer — something like what we have for alcohol where you breathe into a device and it tells a THC level and whether that means you’re impaired or not,” said Jodi Gilman, an associate professor in psychiatry at Harvard Medical School and lead author of the imaging study.  “But that’s not how it works for cannabis, we need a new paradigm.”

Companies have been trying to crack the stoned-test for a while.  Hound Labs, which makes a marijuana breathalyzer, said in September it had raised $20 million to scale its product.  Cannabix Technologies Inc. recently reported it had made headway creating a more portable device, while Lifeloc Technologies Inc. said it was finalizing the platform for a rapid marijuana breathalyzer that could be used for roadside testing.

There are concerns, however, that tests based on THC levels may be unfair to those who have it in their system but aren’t actually impaired.  This can be the case for some who consumed cannabis days ago, or with frequent users who’ve built up a tolerance — who may use it for medical reasons.  “You wouldn't want to penalize that person,” Gilman told me. “What this technology will do is differentiate impaired from not-impaired, which is different than distinguishing cannabis from no-cannabis.”

January 24, 2022 in Business laws and regulatory issues, Campaigns, elections and public officials concerning reforms, Federal Marijuana Laws, Policies and Practices, History of Marijuana Laws in the United States, Medical community perspectives | Permalink | Comments (0)

Tuesday, January 18, 2022

Modern day Fiorello La Guardia?: US Senate candidate Gary Chambers smokes marijuana in new campaign ad protesting criminalization

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As detailed in this piece, headlined "Fiorello La Guardia Protested Prohibition By Drinking a Beer…In Congress," some notable politicians have taken notable steps to protest foolhardy prohibitions.  Here are the details from a century ago:

Fiorello La Guardia, best known as the mayor of New York City in the 1930s and ’40s, flaunted his illegal drinking by sipping homemade beer in his congressional office in Washington, D.C.

In 1926, La Guardia summoned 20 newspaper reporters and photographers into Room 150 of the House Office Building. With a straight face, he took “near beer” (the low-alcohol beer allowed under the Volstead Act) and mixed it with two-thirds of a bottle of malt tonic. Then he took a sip. He declared the alcoholic beverage legal, according to La Guardia’s New York Times obituary in 1947, and headlines the next day heralded his publicity stunt.

Notably, La Guardia was also not a fan of marijuana prohibition either:

He went on to become one of the most popular mayors in New York City history. As mayor, his activism against congressional policing of substances continued. La Guardia commissioned the La Guardia Committee Report on Marihuana in response to the start of the war on drugs in the late 1930s. In 1944, after five years of study, his report declared several groundbreaking statements:

“The use of marihuana does not lead to morphine or heroin or cocaine addiction and no effort is made to create a market for these narcotics by stimulating the practice of marihuana (sic) smoking. The publicity concerning the catastrophic effects of marihuana smoking in New York City is unfounded. Marihuana is not the determining factor in the commission of major crimes.”

The study was enough to make Harry Anslinger, the first commissioner of the federal Bureau of Narcotics, denounce La Guardia, his study, and his stance on drugs.

La Guardia’s anti-regulatory stance on cannabis wasn’t embraced by the public as much as his stance against Prohibition was. But one day, perhaps the U.S. will look back fondly on La Guardia’s prescience, just like people today look back on his homemade “beer” he drank while in the House of Representatives.

This notable bit of history came to mind when I saw this new ABC News story headlined "Democratic Senate candidate smokes marijuana in new ad highlighting disparity and reform." The ad is very much worth watching in full (so I have it embedded below), and here are the basics from the press piece:

Progressive activist and Democratic U.S. Senate candidate Gary Chambers Jr. smokes marijuana in a field in New Orleans while talking about marijuana reform in his first campaign ad. On Jan. 1, smokeable medical marijuana became legal in Louisiana under certain conditions....

Chambers, who is Black, opens the new ad titled "37 Seconds" by lighting and smoking a joint as a stopwatch clicks in the background.

He says someone is arrested for possession of marijuana every 37 seconds. “Black people are four times more likely to be arrested for marijuana laws than white people. States waste $3.7 billion enforcing marijuana laws every year,” he goes on....

Chambers, who has never been arrested, ended the ad saying, “Most of the people police are arrested aren't dealers, but rather people with small amounts of pot, just like me.”

January 18, 2022 in Campaigns, elections and public officials concerning reforms, Criminal justice developments and reforms, Race, Gender and Class Issues, Who decides | Permalink | Comments (0)

Friday, January 14, 2022

Detailing how state marijuana reforms may increase (at least the visibility of) illegal operators

Natalie Fertig has this great new (and lengthy) article in Politico Magazine about the persistent challenges posed by illegal marijuana market in a country that for now has only half-legalized the cannabis plant.  The full title of this piece highlights its themes: "‘Talk About Clusterf---’: Why Legal Weed Didn’t Kill Oregon’s Black Market. Legalization was supposed to take care of the black market. It hasn’t worked out that way."  I recommend the piece in full, and here are excerpts:

People have grown marijuana illegally in southern Oregon for at least half a century.  It was easy to conceal illicit activity in private woods and national forests when the nearest human could easily be a few miles away.  But there’s nothing hidden about what’s going on now.

The Red Mountain Golf Course, a 24-acre plot of land just outside Grants Pass, the county seat, sold for just over half a million dollars in June 2021.  Three months later, Josephine County Sheriffs and Oregon State Troopers raided the former golf course and seized more than 4,000 marijuana plants and arrested two people on charges of felony marijuana manufacture.  It wasn’t an isolated incident.  Around the same time, law enforcement seized 380 pounds of processed marijuana stuffed in a car abandoned at the scene of a crash.  Cops also seized 7,600 marijuana and hemp plants, 5,000 pounds of processed marijuana and $210,000 in cash from two grow operations just outside Cave Junction.  Two men were arrested and held for unlawful manufacture of a marijuana item and other charges.

While these eye-popping figures draw headlines, the raids are just a cost of doing business for the cartels, according to law enforcement officials.  Many buy or lease six or seven properties, knowing that some might get shut down by the police.  Like any smart entrepreneurs, the cartels budget for those losses....

The proliferation of unlicensed cannabis farms is scaring local residents and scarring the landscape.  Personal wells have run dry and rivers have been illegally diverted.  Piles of trash litter abandoned grow sites.  Locals report having knives pulled on them, and growers showing up on their porches with guns to make demands about local water use. Multiple women say they’ve been followed long distances by strange vehicles. Locals regularly end conversations with an ominous warning: “Be careful.”...

Earlier in the year, the legislature passed a bill, sponsored by Republican state Rep. Lily Morgan, that increased penalties for growing cannabis illegally and gave state regulators the authority to investigate hemp growers.

Jackson County Sheriff Nate Sickler says the tougher rules for hemp cultivation and the money lawmakers funneled to local enforcement efforts are an excellent start.  “If we’re able to get our positions funded, I really think we can make a significant impact [on] illegal marijuana,” said Sickler. “Are they going to go away? It’s probably never going to happen.”...

There are as many suggested solutions to southern Oregon’s weed problem as there are factors creating it. Some say tweaks to federal and state hemp regulations — and more money for law enforcement — will get the illicit grows under control. Others argue that only federal decriminalization will solve the problem, because it would reduce the market for illicit weed. Anti-legalization advocates, meanwhile, point to Oregon’s woes as proof that legalization doesn’t live up to its promise of eliminating the illicit market.

January 14, 2022 in Business laws and regulatory issues, Recreational Marijuana Commentary and Debate, Recreational Marijuana State Laws and Reforms | Permalink | Comments (1)

Wednesday, January 12, 2022

"Solving the Cannabis Tax Puzzle: Approaches for an Emergent Industry"

50cc0d18-1205-438e-bb42-b08f8e390214The title of this post is the title of this exciting event taking place online two weeks from today put on by the Drug Enforcement and Policy Center and The Center for New Revenue.  As detailed at this registration page, the event will take place on Wednesday, Jan. 26, 2022 from Noon - 1:30pm. Here are the basics with the list of confirmed speakers:

States that legalize adult-use cannabis face many decisions as they set up a regulatory structure for the new industry.  As all states impose excise taxes on recreational cannabis, the questions of how much to tax and how to tax come into focus.

Join the Drug Enforcement and Policy Center and the Center for New Revenue for a panel that will explore the evolving theory and practice of cannabis tax policy.  Panelists will delve into a range of issues including the choice of an effective tax base (weight of flower and trim, THC amount, percentage of price) and the appropriate tax burden.

Panelists

Ulrik Boesen, senior policy analyst, Tax Foundation

Hilary Bricken, attorney, Harris & Bricken

Benjamin Leff, professor, American University Law School

Pat Oglesby, founder, The Center for New Revenue

Moderator

Shaleen Title, distinguished cannabis policy practitioner in residence, Drug Enforcement and Policy Center

January 12, 2022 in Business laws and regulatory issues, Taxation information and issues | Permalink | Comments (1)

Tuesday, January 11, 2022

Take a break, Delta 8, Delta 8, take a break ... we can check the laws, but we're still a ways away from legal clarity

Delta8THC_FB.cc7717d0828e659b2bbd6967bfb682e3I am gearing up to teach my marijuana seminar for the first time in two years, and that necessarily means having to prepare for new discussions about new issues in an arena where legal and marketplace reforms are always fast-moving.  One brand new issue, for example, is the emergence of a wide array of Delta-8 THC products and all the legal uncertainty that they engender.  (As my post title reveals, at least for hard-core REM fans, I cannot help but hum the great REM song Driver 8 whenever I think about Delta 8 issues.)

Usefully for me (and perhaps for others), I just saw this recent piece providing an overview of state laws and other matters related to Delta 8 THC products.   Though industry-delta-friendly, this article still provides a helpful review of various basics under this full headline: "Delta-8 is Available in 28 States While Others Try to Ban It: Several U.S. states preemptively restrict or outright ban delta-8 THC as federal regulators swoop in to clarify its legality."  Here are some excerpts from the lengthy piece:

Delta-8 THC has been a sensation in the country.  Its popularity soared throughout 2020 and many believed its reign of euphoric bliss would continue into 2021 and beyond.  However, the federal government and the DEA are swooping in to ruin all the fun.

In April, alone, several U.S. states either restricted or banned delta-8 THC, sparking outcry from users, companies, manufacturers, and vendors within the cannabis industry. So, why are U.S. states banning delta-8 THC? Which ones have already banned it? What have the federal government and the DEA got to do with this?....

Delta-8 is one of 113 cannabinoids found in varieties of cannabis (hemp or marijuana) and a variant of delta-9-tetrahydrocannabinol (THC). It’s psychoactive and intoxicating, causing a “high” when consumed. However, when compared to delta-9 THC, the effects are far milder and better suited to beginners looking to enjoy the euphoric effects without the side effects commonly associated with delta-9. Delta-8 THC can now be found in several product types such as distillates, vape cartridges, oils, and flower....

In 2018, the federal government under the Trump administration, signed the Agriculture Improvement Act (2018 Farm Bill), legalizing hemp and all hemp-derived cannabinoids.... However, in 2020, the DEA issued a controversial interim final rule that sought to bring the Farm Bill further in line with the Controlled Substances Act (CSA), spelling trouble for not only delta-8 but also for delta-10 THC.

Within this final rule, the DEA stated all “synthetically-derived tetrahydrocannabinols remain schedule I controlled substances”. Why is this significant and how is it related to delta-8? Well, in order for companies to have enough delta-8 THC in their products, it must be converted from cannabidiol (CBD) via a structural isomerization process conducted under laboratory conditions. This isomerization process takes CBD, alters its molecular structure, and turns it into delta-8. Since it’s produced by chemical or biochemical synthesis and not sourced straight from the hemp plant itself, the DEA believes delta-8 is a synthetic substance.....

Is delta-8’s safety in question? Yes. Delta-8’s safety is in question. Why? Because it’s a psychoactive and intoxicating delta-9 THC variant that’s recently exploded into an unregulated market with very little research verifying its effects.

January 11, 2022 in Business laws and regulatory issues, Federal Marijuana Laws, Policies and Practices, Recreational Marijuana State Laws and Reforms, Who decides | Permalink | Comments (0)

Friday, January 7, 2022

Pleased to see The National Jurist include "cannabis law" on list of "20 hottest law jobs for the next decade"

6a00d8341c4eab53ef0278806273ce200d-800wiThanks to Paul Caron's posting, I just saw that the latest issue of The National Jurist has an extended feature headlined "20 hottest law jobs for the next decade" which makes mention of cannabis lawyering. Here is a bit of the piece's preamble along with its short discussion of "Cannabis Law":

Crystal balls are hazy, but we’re following the trends to predict which practice specialties will be most in demand.... What’s next on the horizon? That’s a tough question, but it’s not impossible to predict.

We turned to top experts, the three authors of “Law Jobs: The Complete Guide,” to get their opinions on which fields show the most promise. They know their stuff. In their book, they identify hundreds of specialties and sub-specialties.

The most pertinent advice from the authors: “While it makes sense to take a close look at hot specialties, the most important thing is to find a job that fits one’s personality, passions and values.  Our book gives readers the information about the pros and cons of each major career type in order for people to find their fit.”

The authors are: Andrew McClurg, professor emeritus of The University of Memphis-Cecil C. Humphreys School of Law; Christine Nero Coughlin, a professor at Wake Forest University School of Law; and Nancy Levit, a professor at University of Missouri-Kansas City School of Law.  They offer personal and professional advice on the 20 hottest practice areas.

Cannabis Law by ANDREW McCLURG

Legal job experts are high on the emerging area of cannabis law.  Yes, pun intended.  Seriously, nearly all lists of hot legal specialty areas include cannabis law.  Makes sense.  A majority of Americans now live in states where marijuana is allowed for recreational and/or medical use.

Legal marijuana is a heavily regulated area, and laws vary considerably from state to state.  Because everything is new, regulators are struggling to interpret the rules as they go.  Throw in the fact that marijuana remains illegal under federal law and you have plenty of potential pitfalls that require lawyers.  A mistake can result in criminal prosecution for your client, and maybe for yourself.

Cannabis law is a blend of areas, including administrative law, banking law, entity formation, intellectual property, tax law and venture capital.  Because it requires knowledge of so many areas, most cannabis lawyers work in small specialty firms or in specialty groups within large firms.  It’s a competitive niche field, not something to dabble in.  Even though the area is expanding, jobs aren’t ever going to be as widely available as in traditional fields.

I think this description is generally sound, as is the full list of job areas on the list of 20 including sound and obvious choices like health law and environmental law and immigration law and M&A. But I did find it notable that just about every other "hot" jobs area of law was one that just about every law school has at least one and often multiple courses in the subject. But, as my Center has highlighted in recent reports (see here and here to download), only a handful of law schools regularly teach classes on cannabis law.

January 7, 2022 in Business laws and regulatory issues, Medical Marijuana Commentary and Debate, Recreational Marijuana Commentary and Debate | Permalink | Comments (0)

Thursday, January 6, 2022

MPP provides new accounting of "Cannabis Tax Revenue in States that Regulate Cannabis for Adult Use"

Taxes051816The Marijuana Policy Project has this notable new online report under the heading "Cannabis Tax Revenue in States that Regulate Cannabis for Adult Use."   The report provides a state-by-state accounting of public tax revenue data, and it sets up the discussion this way:

Legalizing cannabis for adults has been a wise investment.  Since 2014 when sales began in Colorado and Washington, legalization policies have provided states a new revenue stream to bolster budgets and fund important services and programs.  As of December 2021, states reported a combined total of $10.4 billion in tax revenue from legal, adult-use cannabis sales.  In addition to revenue generated for statewide budgets, cities and towns have also generated hundreds of thousands of dollars in new revenue from local adult-use cannabis taxes.

Eighteen states have laws that legalize, tax, and regulate cannabis for adults 21 and older (the 2020 voter-approved adult-use legalization law in South Dakota was overturned by the state’s Supreme Court in November 2021).  Eight of the laws were approved in 2020 or 2021, and in seven of those states, sales and tax collections have not yet begun.  This document reviews each state’s adult-use cannabis tax structure, population, and revenue from legalization.  These figures do not include medical cannabis tax revenue, application and licensing fees paid by cannabis businesses, additional income taxes generated by workers in the cannabis industry, or corporate taxes paid to the federal government.

The last line of this introduction highlights why this review in necessarily an under-reporting of state revenues generated by legalization regimes.

January 6, 2022 in Recreational Marijuana Data and Research, Taxation information and issues | Permalink | Comments (1)

Monday, January 3, 2022

"Cannabis decriminalization and racial disparity in arrests for cannabis possession"

The title of this post is the title of this encouraging new research in the January 2022 issue of the journal Social Science & Medicine.  This piece is authored by Christian Gunadi and Yuyan Shi, and here is its abstract:

Rationale

Minorities often bear the brunt of unequal enforcement of drug laws. In the U.S., Blacks have been disproportionately more likely to be arrested for cannabis possession than Whites despite a similar rate of cannabis use. Decriminalizing cannabis has been argued as a way to reduce racial disparity in cannabis possession arrests. To date, however, the empirical evidence to support this argument is almost non-existent.

Objectives

To examine whether cannabis decriminalization was associated with reduced racial disparity in arrests for cannabis possession between Blacks and Whites in the U.S.

Methods

Using FBI Uniform Crime Report data from 37 U.S. states, cannabis possession arrest rates were calculated separately for Blacks and Whites from 2000 to 2019.  A difference-in-differences framework was used to estimate the association between cannabis decriminalization and racial disparity in cannabis possession arrest rates (Blacks/Whites ratio) among adults and youths.

Results

Cannabis possession arrest rates declined over 70% among adults and over 40% among youths after the implementation of cannabis decriminalization in 11 states. Among adults, decriminalization was associated with a roughly 17% decrease in racial disparity in arrest rates between Blacks and Whites.  Among youths, arrest rates declined among both Blacks and Whites but there was no evidence for a change in racial disparity between Blacks and Whites following decriminalization.

Conclusions

Cannabis decriminalization was associated with substantially lower cannabis possession arrest rates among both adults and youths and among both Blacks and Whites.  It reduced racial disparity between Blacks and Whites among adults but not youths.  These findings suggested that cannabis decriminalization had its intended consequence of reducing arrests and may have potential to reduce racial disparity in arrests at least among adults.

January 3, 2022 in Criminal justice developments and reforms, Initiative reforms in states, Race, Gender and Class Issues, Recreational Marijuana Data and Research | Permalink | Comments (0)