Los Angeles Cannabis Attorneys Address California CBD Confusion

CBD sales rules in California have left many entrepreneurs with big-picture business ideas feeling dazed and confused. As our Los Angeles CBD attorneys can explain, the primary issue is the patchwork of state and federal laws, as well as the way the substance is defined/classified by some regulatory agencies versus the reality of its chemical makeup and endless potential uses.

While interest in lawful CBD medical treatments and recreational products continues to gain steam, many still don’t have a firm understanding of what is currently legal and what isn’t. The last thing you want is to jeopardize your assets – or worse, your freedom – because of a legal loophole or oversight. Questions on the legal considerations for those interested in CBD business plans in California, our Los Angeles CBD attorneys can help guide you through the process – and keep you informed of regulatory policies and laws as they continue evolving.

It’s an advantageous time for entrepreneurs to get their foot in the door to the California CBD industry. Although it remains in the legal gray for some purpose, U.S. sales of hemp-derived CBD are rapidly approaching $600 million-a-year, according to the Brightfield Group. The CBD industry analysists project U.S. demand for CBD products to soar, ultimately fueling a $22 billion industry that could outpace sales of cannabis products.

Tinctures are the most popular CBD product, though capsules and topicals are gaining. There is also a high demand for CBD food products. Still, the legal status of CBD sales in Los Angeles is still dicey for some purposes Although federal laws on CBD have recently eased, there are still several legal contingencies that could place you in jeopardy. Our longtime Los Angeles cannabis attorneys can help you navigate the system, with all its complex and evolving prohibitions and allowances.

CBD is short for cannabidiol, which one of more than 100 chemical compounds identified in cannabis plants. It’s naturally-occurring and non-psychoactive, meaning unlike another cannabis compound tetrahydrocannabinol, or THC, it doesn’t get you “high.” CBD is often promoted for its calming effect. It’s also been reported to help with anxiety and seizures.

The U.S. Food and Drug Administration in 2018 approved the first CBD-based drug, a seizure medication called Epidiolex prescribed to treat a rare form of epilepsy.

In general, CBD retains maximum healing properties when it is combined with the other cannabinoids, as it’s found naturally. However, the THC concentration in CBD generally dictates whether and how you can sell it.

The risk of running afoul of federal and state CBD prohibitions is significant, with the potential for significant fines, civil asset forfeiture and even prison time.

The Rohrbacher-Blumenauer Amendment (previously the Rohrbacher-Farr Amendment) serves as a shield against federal prosecutions of those in strict compliance with state marijuana laws. At first, it only protected those in medical marijuana states, but has since been extended to recreational production and sales in states that allow it.

CBD sales are still tricky, however. The 2018 Farm Bill effectively removed CBD containing less than 0.03 percent THC from the chemical list in the U.S. Controlled Substances Act. A few months before, the U.S. Drug Enforcement Administration moved CBD products containing less than 0.01 percent THC from the list of Schedule I drugs and moved to the lower Schedule V. Seemingly, this would open the door to all kinds of possibilities.

Then California officials made it clear in a July 2018 memo that anything with less than 0.03 percent THC hasn’t been approved as safe for use in foods by the U.S. Food and Drug Administration. That meant that while stores could sell products like high-THC-concentration gummies, they couldn’t technically sell low-THC CBD-infused desserts or drinks.

The fine line on what’s legal – and what’s not – when it comes to California CBD, and there’s always the possibility it could quickly shift. It’s important for anyone with questions on CBD production and sales to discuss these concerns with a Loss Angeles cannabis lawyer who can help ensure your operations are aligned with the law, your assets are protected and your freedom is secure.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 949-375-4734.