Maine's Governor Paul LePage, an outspoken prohibitionist and cannabis critic.

Maine Gov. Releases ‘Reefer Madness’ Facebook Video

10/15/2016

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Editors note: Bombarded by negative comments, Gov. LePage has deleted the video from his Facebook page. We found another version, however, through Newsmax.com.

Maine Gov. Paul LePage has stepped up his prohibitionist rhetoric against legalizing cannabis in the state, posting a video to Facebook in which he doubles down on egregious anti-marijuana lies.

“THC levels in marijuana snacks are so high they could kill children and pets,” LePage, a Republican, says in the video. “…People will smoke marijuana in pot stores right next to schools, daycare centers and churches. They will smoke weed and sell pot at state fairs.”

LePage also claims that traffic fatalities have increased “dramatically” in Colorado, which according to a recent study by the Drug Policy Alliance is patently false: in both Colorado and Washington, traffic fatalities have decreased in the last decade and have remained stable in the years during which cannabis has been legal.

The governor closes out the video, which has more than 100,000 views, by urging the audience to educate themselves “on this dangerous issue.”

Comments on the video have reached more than 1,000, with most comments disparaging LePage’s message, pointing out that not a single death has ever been linked to cannabis ingestion – unlike alcohol, which, according to the National Institute of Health contributes to 88,000 deaths annually, and is already sold at state fairs.

Mainers are voting on legalizing cannabis for adult use in next month’s general election.

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Cannabis on display under LED grow lights at the 2014 Denver Cannabis Cup.

Study: Cannabis Legalization is So Far ‘Positive’ or ‘Negligible’ in Legal States

10/15/2016

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In states that have legalized adult cannabis use, arrests for possession have plummeted, traffic fatality rates have remained stable, there have not been significant increases in youth marijuana use, and the tax revenues from the industry have exceeded expectations in three of the four states — that according to a report from the Drug Policy Alliance.

The report, titled “So Far, So Good,” crunches relevant numbers pre and post-legalization, focusing primarily on Colorado and Washington because those programs have been active for at least two years.

Youth use is down or unchanged

In Washington, cannabis use rates among students in grades six through 12 have remained mostly stable since marijuana was legalized, according to an analysis of the biannual Washington Healthy Youth Survey outlined in the report; however in 2014, 18.1 percent of 10th-grade students admitted to using marijuana in the last 30 days, down from 19.3 percent in 2012.

In 2009, one in four (25 percent) Colorado middle and high school students reported to have used cannabis within the last 30 days — in 2015, more than two years after legalization, that number was reduced to 21.2 percent. The Department of Public Health and the Environment study found an overall 5 percent decrease in the number of youth who reported using cannabis at least once in their lives — from 43 percent in 2009 to 38 percent in 2015.

“Despite the belief that marijuana is widely available, preliminary data show that the legalization of marijuana has had little to no impact on the overall rate of youth use of marijuana,” the authors concluded in the study.

Cannabis arrests have seen a massive decline

As for marijuana arrests, the total number of marijuana arrests in Colorado decreased 46 percent from 2012 to 2014, from 12,894 to 7,004. In Oregon, cannabis arrests declined 50 percent from 4,223 in 2011 to 2,109 in 2014. Arrests in Washington State were almost eliminated — decreasing from 6,879 in 2011 to just 120 in 2013. Both charges and arrests decreased a total of 59 percent in Alaska, even though the retail program has not yet taken full effect.

However, the most eye-popping decline belongs to Washington, D.C. where arrests fell 98 percent from 1,840 in 2014 to a mere 32 in 2015.

The decline in arrests have translated to “hundreds of millions of dollars” in savings for law enforcement spending, the report states.

No major changes in road safety reported

In Colorado and Washington, the traffic fatality rate is lower in each state compared to a decade prior.

“According to a recent report analyzing available post-legalization data, no obvious increases in traffic fatalities occurred after legalization or after the opening of retail stores in Colorado and Washington,” the report says.

It should, however, be noted that in Washington more drivers involved in fatal crashes tested positive for THC, whether alone or in combination with other drugs or alcohol – from 44 drivers in 2010 to 72 in 2014. However, arrests for DWI – the third leading cause of traffic deaths – have declined in both states. In Colorado, the number of DWI-related citations issued by the Colorado State Patrol dropped 18 percent from 5,546 in 2014 to 4,546 in 2015. In Washington, DUI arrests by the Washington State Patrol dropped 8 percent.

“Legalization has not led to more dangerous road conditions,” the report says.

Taxes paying off better than expected

Tax revenues in Colorado and Washington both exceeded their projections — and it wasn’t even close. Colorado anticipated $70 million annually in cannabis tax revenues; in 2014 the state saw $78 million and in 2015 that number jumped to $129 million. Washington expected $162 million over the first two years after the program’s implementation – the state topped that total in 2015 alone with revenues of $220 million after a first year total of $78 million.

Revenues in both states are used for education, drug abuse prevention and treatment programs, community health services and research on cannabis use.

It is no coincidence that the report comes less than one month before five more states will decide whether to legalize cannabis for adult use.

“It is too early to draw any line-in-the-sand conclusion about the effects of marijuana legalization. However, preliminary reports suggest that the effects of legalization have been either positive or negligible,” the authors conclude.

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An indoor plant, glazed with trichomes and kief.

Colorado’s August Cannabis Sales Break Previous Sales Record

10/15/2016

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Colorado has done it again.

Cannabis sales in August topped $126 million, surpassing the state sales record of $122.67 million just a month prior, according to a report from the Denver Post.

The spike could be attributed to the implementation of a law that increased the daily purchase limit for non-residents from a quarter-ounce to 1 ounce; however last year July, August and September represented the biggest sales months for the industry, save for the holiday season in December.

August saw $84.7 million in recreational sales and slightly less than half of that — $41.4 million — in medical cannabis sales. Medical sales remained exactly the same from the same period last year, when recreational sales totaled $59.2 million.

The state’s cannabis industry has raked in nearly $846.5 million through August, after reaching $639 million in the first eight months of 2015. In 2014, the first year of recreational sales, the industry grossed $699.2 million.

So far the state has earned $124.9 million in tax revenues from the industry this year, after netting $86 million last year and $76.2 million in 2014.

In Colorado, tax revenues from the cannabis industry are used to fund education, capital construction grants, and health programs.

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Freshly cut indoor cannabis plant. waiting to be picked apart for harvest.

Pew: Strong Majority of Americans Say ‘Yes’ to Legalization

10/13/2016

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According to a Pew Research poll, 57 percent of adults living in the US believe cannabis should be legalized, with 37 percent opposed. Just 10 years ago, polling by the group found the support virtually flipped — 60 percent said it should remain illegal, while 32 percent supported legalization.

The survey was released Oct. 12.

Millennials were the strongest supporters — 71 percent indicated they back legalization with 25 percent opposed. The majority of Generation Xers (57 percent) and Baby Boomers (56 percent) also said cannabis should be legalized. Pollsters referred to individuals aged 71 to 88 as the “Silent” generation, and that group was against legalization 59 percent to 33 percent.

As usual, the majority of Republicans still back keeping the drug outlawed — 41 percent supported legalization compared to 55 percent opposed. While Democrat respondents supported legalization 66 percent to 30 percent.

The poll backs those conducted in the five states with adult-use measures on next month’s general election ballot. According to our poll aggregates, polls in each state voting on legalization have found that the public backs those measures. In California, which many advocates and experts point to as the game changer state in the legalization fight, the polls mirror the Pew results – 61 percent say they will vote for Proposition 64, with 36 percent opposed.

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Afternoon at Capitol Reef, Utah.

Spouse of Utah Gubernatorial Candidate Facing Misdemeanor Drug Charges

10/13/2016

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A prosecutor in Utah plans to file misdemeanor drug charges against Donna Weinholtz, wife of Democratic candidate for governor Mike Weinholtz, following an investigation that uncovered nearly 2 pounds of cannabis at the couple’s home, the Associated Press reports. Mike Weinholtz said that his wife uses cannabis to treat pain caused by degenerative spinal conditions and arthritis and that he was unaware of the stash.

The investigation was sparked when U.S. Postal Service inspectors discovered a package containing a small amount of marijuana that Donna Weinholtz attempted to mail to another home owned by the couple in California. Federal investigators were called in and searched the couple’s Utah home, finding the larger supply — but the U.S. attorney’s office declined to file federal charges, instead sending the case to Salt Lake County prosecutors.

Citing a potential conflict of interest due to the candidate’s political ties to Salt Lake County District Attorney Sam Gill, the case was moved to Tooele County prosecutors who indicated they would levy charges.

If convicted, Donna Weinholtz could spend six months in jail and face a $1,000 fine.

“She refuses to use addictive opiates, and used cannabis after suffering when other medicinal options were either invasive, ineffective or addictive,” Weinholtz said in the report. “We have complied at every step of the judicial process and now that we know where the case is landing, we look forward to having the issue resolved and moving on.”

Tooele County Chief Deputy Attorney Gary Searle said he was not sure if Mrs. Weinholtz holds a medical marijuana card in California, but he has “no intent to turn this into some political sideshow.”

However, even if she is registered under California’s medical marijuana program, cannabis possession is still illegal in Utah — whose own program is very limited, allowing only for individuals with severe epilepsy to use CBD oil.

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Cupola on top of the Delaware Statehouse.

Delaware Legalization Bill Expected Next Session

10/13/2016

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A bill legalizing the adult use of cannabis in Delaware is lined up to be introduced when the General Assembly reconvenes in January, the News Journal reports. The bill’s sponsor, Sen. Margaret Rose Henry, who also penned the state’s medical marijuana legislation, indicated that the legalization legislation has been sent to lawyers for review and she has already started courting sponsors.

“It’s certainly being considered. It’s going to be an uphill battle,” she said in the report. “But it’s time, quite frankly. It’s time to certainly look at it.”

A regulated cannabis market in the state could generate about $21 million, according to a Marijuana Policy Project analysis. Henry, the Senate majority whip, said that figure fails to take sales into account and that the revenues could be used to fund public programs for seniors and education. Henry said that her sponsorship of the bill could reduce her reelection chances and that the measure will be a legislative fight, but she is still going to push for its approval.

Republican State Sen. Colin Bonini, who is running against Democratic State Rep. John Carney for governor, said he would support a legalization bill; while Carney has said the state should see how the recently passed decriminalization law plays out before considering legalization.

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Queensland, Australia Passes ‘Groundbreaking’ MMJ Legislation

10/13/2016

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A “groundbreaking” medical cannabis bill has been passed in Queensland, Australia providing regulatory framework allowing access to the drug by the Therapeutic Goods Administration, the Australian Associated Press reports. The measure will allow specialist doctors, or medical practitioners who apply with the department, to prescribe the drug to patients with severe chronic medical conditions.

During an appearance in front of the Parliament supporting the bill, Health Minister Cameron Dick explained that the measure enables access to both synthetic and “botanically derived” cannabis products, but does not allow for patients to home grow due to “significant safety risks.”

“This bill will change the paradigm for seriously ill patients who often feel compelled to seek out illicit cannabis treatment options,” he said in the report.

The legislation adds extra provisions to laws passed in the nation earlier this month, and comes two months after the Australian Capital Territory government announced plans to set up a medicinal cannabis program in the country’s capital of Canberra. New South Wales launched their own medical marijuana program in August. Under the national plan, medical cannabis was available in Queensland, however just one person in the region had been granted approval.

Michael Cope, president of the Queensland Council for Civil Liberties, welcomed the new regime but said that steps need to be taken to secure a supply or else citizens would be forced back into the informal market.

The rules will take effect in March.

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Flag of the United Kingdom, a.k.a. the Union Jack, flying in the wind.

UK Healthcare Agency Admits CBD is Medicinal, Approves Use and Sales

10/12/2016

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The UK government’s Medicines and Healthcare products Regulatory Agency now says that CBD — a non-psychoactive cannabis compound — has medicinal value, according to a report by the Independent. The agency admits that CBD has a “restoring, correcting or modifying” effect on “physiological functions” after the testing of the Medipen by the National Health Service.

“The MHRA has now completed its review and has considered all information available to it relating to cannabidiol and having taken into account all the scientific advice and evidence, it has come to an opinion that products containing cannabidiol will satisfy the second limb of the definition of a ‘medicinal product’…,” the MHRA assessment states.

The decision allows CBD-only products to be sold in the UK — a major victory for medical cannabis activists and patients across the pond.

“Since our inception we’ve worked hard to obtain our goal of breaking down the negative connotations surrounding cannabis to lead to a reform in the law for medicinal use,” Jordan Owen, Managing Director of MediPen, said in the report. “Now this is finally becoming a reality, which will provide ground-breaking results.”

Vendors interested in selling CBD products will need to obtain licenses from the NHS or face a fine and prison sentence up to two years. According to an MHRA spokesperson, the agency has already informed CBD product manufacturers and potential retailers of their decision and offered their guidance to any company interested in applying for a license.

“If you use CBD and if you have any questions, speak to your [general practitioner] or other healthcare professional,” the spokesperson said.   

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Views from a commercial indoor cannabis grow in Washington state.

Second Israeli Study Shows Cannabis Improves Parkinson’s Symptoms

10/12/2016

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According to a study by Israeli researchers, smoking cannabis improves Parkinson’s disease symptoms, including the reduction of pain and increase of patients’ motor functions. The study was published online ahead of print in the European Journal of Pain.

The team, comprised of researchers from Beilinson Hospital and Tel Aviv University, investigated the effects of cannabis use 30 minutes after consumption and again after long-term use on 20 patients diagnosed with the disease. Motor function was assessed using the Unified PD Rating scale by two raters, with one blinded. Pain was evaluated using the Pain Rating Index and the Visual Analogue Scale of the McGill Pain Questionnaire and thermal quantitative sensory testing, which determines sensation thresholds for warm and cold temperatures, was performed on 18 patients.

Cannabis inhalation showed to reduce both pain and decreased motor symptoms after both the 30-minute trial and in the long-term (a median of 14 weeks) in all patients, although two patients were excluded from the long-term results because they consumed the drug via vaporizer rather than combustion.

“Cannabis improved motor scores and pain symptoms in PD patients, together with a dissociate effect on heat and cold pain thresholds,” the authors concluded. “Peripheral and central pathways are probably modulated by cannabis.”

This is the second such study in Israel using cannabis as a therapy for Parkinson’s. A 2014 study published in the journal Clinical Neuropharmacology had similar findings using the same clinical assessment methods and the 30-minute threshold. In addition to decreased tremors, rigidity, slowness of movement and pain, patients reported a significant improvement in sleep.

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Canadian dollar bills stacked on top of each other.

Canada’s Aurora Appoints Independent Director and Enhances Cash Position

10/12/2016

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Canadian medical marijuana producer Aurora has made two major announcements this week, appointing Barry Fishman to its board of directors and revealing $25 million of convertible debentures.

Fishman, the CEO of international pharmaceutical company Merus Labs, will act as an independent director on the board and has previously served on the board of canna-businesses Canopy Growth Corporation and Bedrocan Cannabis Corp.

Terry Booth, CEO of Aurora, lauded Fishman’s marketing, finance and capital markets experience.

“His network and reputation, along with his wise judgment, will serve the company and our shareholders well as we continue on our rapid growth trajectory, which includes expanding our production capacity, transitioning to profitable operations, and further establishing our leadership position in the Canadian cannabis industry,” Booth said in a press release announcing Fishman’s appointment.

The deal grants Fishman options to acquire 350,000 common stock shares.

According to Booth, the financing deal places Aurora in “an extremely powerful financial position” with a current cash balance exceeding $45 million.

“We are now one of the best capitalized companies, with one of the strongest balance sheets in the cannabis sector,” he said in a release.

A convertible debenture is a loan which can be converted into stock. Along with the new offering, Aurora converted $10 million of pre-existing convertible debentures, which bear 10 percent interest per year, into approximately 8,695,652 common stock shares. The offer is expected to close on Oct. 25.

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A large cannabis leaf, seen inside of an indoor commercial grow operation in Washington.

Prison Food Services Company Makes Donation to Anti-205 Campaign

10/12/2016

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Another player in an industry that would be negatively impacted by the legalization of cannabis is pouring money against a state ballot initiative as Services Group of America donated $80,000 to the prohibitionist campaign in Arizona, the International Business Times reports.

Services Group of America counts Food Services of America among its subsidiaries – the company is a meal provider for correctional facilities.

The donation expands the war chest of Arizonans for Responsible Drug Policy, bringing their total fundraising efforts to $2.7 million — $900,000 of which was generated in the last three weeks. The pro-legalization campaign has raised more than $3 million, largely funded by the Marijuana Policy Project, but were recently buoyed by a $100,000 donation last week from the makers of Dr. Bronner’s Magic Soap.

Insys, makers of the sublingual opioid spray Subsys, donated $500,000 to the anti-Proposition 205 campaign in the state last month. The Chamber of Commerce and the Arizona Wine and Spirits Wholesale Association also donated $498,000 and $10,000, respectively.

According to the report, about 20 percent of Arizona’s incarcerated population are drug offenders. It’s not clear which portion of Services Group of America’s business involves jails and prisons or how many facilities serve as clients in the state. The company also provides food services to schools, cruise ships and hospitals.

Although the pro-campaign has slightly out-fundraised its opponents, they are being outspent 6-1, ABC-15 reported in September. The group is using the funds for TV ad buys, which allege that the state’s medical marijuana system would be disrupted by the proposition, calling it a “20-page special interest goldmine” creating “a Big Tobacco-like empire.”

Politifact ruled the ad’s claims “mostly false.”

Arizona is one of five states voting on legalizing and regulating adult cannabis use in November.   

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Cayman Island Legislators Back MMJ Bill

10/11/2016

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Following yesterday’s debate, the Cayman Island Legislative Assembly has decided to support a bill to allow cannabis oil for medicinal use, according to a report from the Cayman News Service. Although there are concerns about where the oil will be sourced, it is the first step for medical marijuana access on the island nation.

Dennie Warren, who advocated for the legislation on behalf of his wife, who has a stage 4 lung cancer diagnoses, said that the lawmakers’ decision to back medical cannabis access “took courage.”

“[It’s a] very important step for the world as it will be of great benefit for many people and I look forward to the final approval of the bill,” Warren said in the report.

Warren also supplied legislative members with information that could help them import the oil from Canada. Currently, none of the islands’ neighboring countries permit medical cannabis use; however governments in Jamaica, Colombia and Germany have been actively discussing plans to make the plant accessible in their respective nations and might be willing to export the oil to the islands.

During the debate, legislators were not convinced that the drug would be as miraculous as some advocates believe; however, many seemed hopeful that it will provide relief for chronically ill individuals. Some lawmakers also seemed ready to decriminalize possession of small amounts of cannabis for personal use.

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Cannabis and Hemp Association Opens Upstate NY Chapter

10/11/2016

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The Cannabis and Hemp Association has opened a chapter in Albany, New York, according to a report from NPR-affiliate WAMC. During the first meeting, members reviewed the first year of the state’s medical marijuana program and discussed the impact of the Compassionate Care Act’s new regulations.

Pamela Johnston, Electrum Partners’ senior vice president for strategy and special projects, said that New York’s very limited medical cannabis program is causing the industry to suffer because it prevents businesses from entering the state’s market. She said canna-businesses are interested in states with “thriving infrastructure” and that New York is not among them.

“A good example would be Nevada, for a 20,000 patient medical market, because Nevada’s ‘medical only’ right now,” she said in the report. “They do have reciprocity for tourists, but Nevada had $400 million spent on infrastructure just for that 20,000 patient market.”

The patient counts in New York’s medical cannabis program are nowhere close to Nevada’s — with just about 7,600 enrolled patients as of September. And, although that figure represents a huge step forward from patient counts in May — which were about 4,800 — there are still many shut out of the program due to its limited scope.

Eileen Konieczny, president of the American Cannabis Nurses Association, suggested that if more physicians understood the endocannabinoid system, they would be more open to writing patient recommendations for medical marijuana use.

Just five companies are licensed to grow, cultivate and sell medical cannabis in the state — which does not include chronic pain as a qualifying condition.

Fred Polsinelli, spokesman for PharmaCannis LLC, one of the state’s licensed producers, indicated that the company is using just 5 percent of its 135,000-square foot Orange County greenhouse — but “more greenhouses” is not what the program needs to thrive.

“We need more patient access and that’s what this department is working on, we’re all working together on it, and at the end of the day it really is all about the patients,” he said. “But it’s also an industry. And if the industry is not supported by positive economics, there will be no industry.”

In August, three of the state’s five licensed operators, including PharmaCann, indicated that they were not yet profitable. At that time, Polsinelli estimated it would be at least another 18 months until the companies were in a profitable position.       

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Night sky over The Rio in Las Vegas, Nevada.

Cannabis Conference Attendees Warned Against Possession, Use at Site

10/11/2016

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The 5th Annual Marijuana Business Conference & Expo will be hosted at The Rio in Las Vegas, Nevada next month; however, according to a memo sent to Caesar employees (Caesar’s owns The Rio), individuals caught possessing cannabis will be turned over to Metro Las Vegas Police.

The memo, which was shared by Denver, Colorado-based Hoban Law Group, reads in part:

“If a Club Venue employee observes an individual (guest or co-worker) with Narcotics, that observation is required to result in the detaining of that individual for either trespass or investigation of illegal controlled substance. The Club Venue does NOT have the discretion to only trespass an individual when the quantity of narcotics exceeds personal one time use.  That individual is to be detained, evidence properly seized and held in custody and the individual is to be turned over to Metro or GCB for prosecution. The Club does NOT have the authority or discretion to trespass and walk out a guest who has more narcotics on him than he can use personally one time.”

If the amount of cannabis found on an individual is in excess of “personal one time use” police will be called. If the amount is considered less than personal one time use the individual will be issued a lifetime ban from all Caesar’s properties, according to the memo.

“This procedure has no exceptions,” the memo reads. “We need to understand this is the intent of the Club Venue Regulations to clean up drugs in the Clubs, not push the problem to the street.”

According to the conference policies, cannabis product use is forbidden during any of the conference events.

Medical marijuana use is permitted in Nevada and the law allows for reciprocity with out-of-state cardholders, but neither the Expo policies nor the Caesar’s directive give any instructions for medical marijuana cardholders.  

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Hillary Rodham Clinton smiling at a campaign rally in March, 2016.

Hillary Clinton Strongly Opposed to Legalization in Wikileaks Speech Excerpt

10/11/2016

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According to the recently released “Podesta Emails” by Wikileaks, Democratic presidential candidate Hillary Clinton said she does not support the legalization of cannabis. The emails, published after a hack of the Democratic National Committee, contain excerpts from some of her paid speeches for high-profile corporate clients. The emails were taken from Clinton campaign Chairman John Podesta.

During her remarks at a March 18, 2014 Xerox event, the company’s CEO Ursula Burns asks the former Secretary of State about her cannabis stance. Specifically, she asks Clinton to indicate her support or opposition for policies by indicating “long” or “short.”

From the email:

“URSULA BURNS: So long means thumbs up, short means thumbs down; or long means I support, short means I don’t. I’m going to start with — I’m going to give you about ten long-shorts.

SECRETARY CLINTON:  Even if you could make money on a short, you can’t answer short.

URSULA BURNS:  You can answer short, but you got to be careful about letting anybody else know that. They will bet against you. So legalization of pot?

SECRETARY CLINTON:  Short in all senses of the word.”

Her response is in line with her public statements on potential legalization, and she has indicated that she supports allowing states determine their own cannabis policies free from federal intervention. Additionally, Clinton has said, if elected, she would reschedule cannabis from its Schedule I federal status under the Controlled Substances Act.

However, her response also indicates a hardline position against legalization — especially compared to third-party candidates Jill Stein (Green Party) and Gary Johnson (Libertarian Party), who have thrown their support behind ending the federal war on drugs, including legalizing cannabis for adult-use on a federal level.

Republican nominee Donald Trump has historically supported ending the war on drugs but has since dramatically toned back his stance. He now says that he does not support legalization, but does support states’ rights to choose their own marijuana laws — a significant step back from calling for the legalization of all drugs.

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Large indoor cannabis plant's cola bud.

MassRoots Settles Debt, Announces $3.2 Million in Equity Financing

10/10/2016

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Cannabis-themed social networking platform MassRoots officially settled its debt of nearly $1 million last week, according to the Cannabist, after having defaulted last month on $966,000 worth of promissory notes to its creditors.

In its effort to settle the debt, the cannabis tech company reduced its workforce by more than 40 percent, terminated relationships with several vendors, and — according to documents filed last Friday with the U.S. Securities and Exchange Commission — dramatically reduced the annual salaries of its chief executive officer, chief operating officer, and chief technology officer.

In a press release issued this morning, MassRoots officials announced the company had closed $3.2 million in equity financing under its Registered Offering, originally declared effective on August 11, 2016. The company received $1.1 million in proceeds on Friday, October 7.

“We are confident that the current political climate coupled with increasing demand in regulated cannabis markets presents a tremendous growth opportunity for MassRoots,” MassRoots CEO Isaac Dietrich said in this morning’s press release. “We’re focused on introducing new monetization channels within our mobile applications while exploring strategic partnerships to expand our platform’s capabilities.”

There will be nine states voting on marijuana legalization measures this November. “MassRoots expects that the passage of any combination of these initiatives has the potential to significantly accelerate its user and revenue growth,” company officials disclosed in the release.

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Several stacks of $100 bills USD.

Report Predicts 37 Percent Growth for Cannabis Industry Through 2020

10/10/2016

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According to new research by the Market Reports Center, the worldwide legal cannabis market is expected to grow at a compound annual growth rate of 37.38 percent from 2016 to 2020, the company said in a press release. The analysts point to the “digitization trend in business processes” and “rising social acceptance” of marijuana as key drivers for the market’s growth.

“Many vendors are using the internet to reach a large number of targeted audience through online and mobile advertisements. In addition, several new start-ups are launching their mobile apps to reach remotely located customers,” an analyst from the company said in the release. “The introduction of such technologies has increased the vendor’s reach, impacting the market positively.”

From 2013 through 2014 the cannabis market posted a 70 percent growth rate.

In their report, the analysts recognized seven companies as “key players” in the global market, identifying another 17 as “prominent vendors.”

The report also outlines potential challenges to the industry; including protecting farm workers, and exposing some populations to “passive consumption.” Additionally, the researchers were concerned that legalizing cannabis for recreational use would open up the population near commercial markets to adverse health risks such as substance abuse and misuse.

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Anne van Leynseele, Founder of NWMJ Law.

Anne van Leynseele: Cannabis Law in the Northwest

10/10/2016

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Anne van Leynseele is Founder of Northwest Marijuana Law (NWMJ Law), a firm that specializes in state cannabis laws up and down the U.S. West Coast.

We recently interviewed Anne to learn about her experiences serving cannabis entrepreneurs in the Northwest. In the following interview, Anne shares her legal background and talks about making the transition to cannabis law from a more mainstream industry. She talks about the most common cannabis-specific issues that she and her firm face, discusses the importance of compromise in legal battles between industry participants, and much more.

Keep scrolling down to read the full interview!

Ganjapreneur: What were your reasons for going from a mainstream industry to the cannabis space, and when did you make that shift?

Anne van Leynseele: Prior to launching my practice in marijuana law, I was a federal attorney advisor in Washington DC and worked on the Affordable Care Act. When I returned to Seattle, I was inspired by a two sentence bit in Newsweek magazine that stated the Federal Bureau of Reclamation was denying water rights to legal marijuana growers in Colorado and Washington.  This peeked my curiosity. I found many DUI and criminal lawyers were advertising as marijuana lawyers, but I realized that this new industry in a highly regulated environment needed me. My background in the Los Angeles entertainment industry, Seattle’s corporate communications market, and as a business management consultant in Sydney, Australia gave me the business acumen to support the legal work in a holistic and strategic way that would sustain my clients’ success.

Would you say that specializing in cannabis law is more demanding than other industries?

Yes, my experiences are creating a new body of law and cannabis law changes so rapidly that absorbing and interpreting the daily dose of new information is challenging. Fortunately, in our firm we have a remarkable team; each have specific areas of expertise. By “playing zones” we are able to share knowledge with each other and provide our clients with integrated information. One example of this working well happened prior to the Washington State Liquor and Cannabis Board changing a policy last summer. Because I encourage our team and our clients to communicate regularly by not charging for non-substantive exchanges; we all benefit from discussing small changes that foreshadow shifts in the industry. I am then able to proactively send analyzed or triangulated information that often saves our clients from potential financial hardships.

Are there any drawbacks to focusing on cannabis law?

I am affected by some of the same stigma that all cannabis businesses face; difficulty with banking; being subjected to everyone’s political or moral rants about the issue whether they are for or against legalization; and what I call “green gouging” or over priced services because based on news reports, everyone thinks that we are all marijuana millionaires. And I am committing multiple felonies every time I come to work.

How many people are employed at your law firm?

We have a core team of five lawyers, two paralegals and an additional team of specialist lawyer that integrate into our comprehensive strategic planning as needed.

What are some of the most common issues brought to you by clients?

Generally, clients reach out to us when they have an immediate problem: a rogue employee, partner dispute, or negotiating with a potential investor. My intake process is more intense than most firms. I have a twenty-three-point checklist that prompts discussion of many business law issues that the potential new client has not thought of. In this way, I have a picture of the risk factors and each client’s goals. Using this information, we create a scope of work that details their immediate needs and then documents the secondary and tertiary priorities. From this essential document our clients learn what they need to do, what the associated cost will be for legal services, and the importance of preparing now to save their company problems that can be costly to fix later.

How have you had to adapt your strategy throughout the firm’s existence?

Initially, seventy percent of my clients were women owned businesses and I did everything. It was easy to share and understand the struggles of my client start-up companies because I was just like them; doing all the work, putting in long hours, attending several events a week to meet others in the field, and studying all the regulations. My practice was always about looking deeper than just the immediate need. I designed the growth of the firm around my business experience; I observed the evolution of what legal services were needed and identified how to best use my abilities. A critical step was partnering with noted cannabis trial lawyer, Aaron Pelley. Our complimentary practices brought together the power of both litigation and transactional law experience and diversified what NWMJ Law now provides.  I am able to share the responsibility with a great team of lawyers, each of them skilled in their own practice area.

Does your firm focus on cannabis laws outside of Washington state?

Our firm is serving cannabis entrepreneurs in Washington, Oregon, Alaska, and California. We will be in Hawaii soon. Our goal is to share what no attorneys have in other states, day-to-day experience with the myriad of problems cannabis companies face.

What is most rewarding about being an attorney that specializes in cannabis?

My deep respect for the grit of the entrepreneurs that we represent.

What is the most difficult part of your job?

Not letting the urgent crowd out the important. I make efforts weekly to pull myself out of the everyday problems we solve for client to keep an eye on economic, legal, and regulatory trends so we can continue to define how marijuana law is done well. I watched so many of the medical marijuana lawyers fail to evolve the old methods of practice. I push myself and my team to look for innovative ways to secure interests, solidify contractual relationships, and even re-envision how these companies operate to maximize their ability to grow with the demands of the industry.

What is the biggest obstacle you have had to overcome on your journey through cannabis law?

The stigma that my method of brokering solutions is weak rather than a valid strategy when contrasted with threatening to sue everyone and their brother. Litigation is a failure of every alternative resource a lawyer has at their disposal. I start with finding solutions that involve the exchange of only rights, then money, then ownership, or separation. You see the progress goes from the least to the most disruptive to a business. Filing a lawsuit is expensive, time consuming, and rarely leaves either side feeling that they got what they wanted. Negotiating creative solutions requires a set of skills that are rare in an industry that was born out of outlaws. It is gratifying that as my list of successes grows, business owners are able to better understand that the collaborative resolutions are faster, less expensive, and can lead to mending rifts rather than ending business partnerships. It is a sign that the industry is maturing.

If you could give one piece of advice to a budding cannabis entrepreneur, what would it be?

Make informed decisions. I see people taking life altering chances on business partners, investors, loans, and key employees that can kill a small business before it has an opportunity to succeed. What we can do is provide licensees or license holders with options. I have what few lawyers in the industry have, a broad experience base. I helped 120 small business through the first two years of legal operation. I see that one third are just not able to grasp the concept of following the rules, the middle third gets some of the lessons, but still operate in a reactive manners. My prize clients learn the harsh lessons and have developed into astute business owners. They ask good questions, seek my strategic counsel, and after gathering a good understanding, choose the best solution for them and their company. Of course, the other part of the success equation is hard work and sacrifice.

Thanks again, Anne, for taking the time to answer our questions. If you have questions for Anne yourself, or would like to read more about NWMJ Law and what they might be able to do for you, visit the firm’s website at NWMJLaw.com.

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A beach-side getaway on the Cayman Islands.

Cayman Islands Legislature to Debate MMJ Bill

10/10/2016

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The legislature in the Cayman Islands will debate on a measure to legalize the medicinal use of cannabis oil today after it was introduced in the Legislative Assembly on Friday, the Cayman Compass reports. The consideration by lawmakers comes after a local resident made a presentation to the Progressive’s government caucus about the therapeutic use of cannabis for cancer patients.

Premier Alden McLaughlin, who also serves as the health minister, said that under the plan, only physicians would be allowed to prescribe cannabis, which would be imported into the country by licensed pharmacists. The source of the oil was not yet determined by lawmakers as the drug is still outlawed by many of the island’s Caribbean neighbors.

“There were and remain some reservations about the use of this oil and its purpose, because there are still questions about its efficacy,” McLaughlin said in the report. “Nowhere in the world have they yet been able to determine definitively that it has the curative effects that many of its advocates believe.”

The bill’s introduction and debate was sparked by a presentation from Dennie Warren Jr., whose wife has been diagnosed with stage 4 lung cancer. McLaughlin said that Warren believes medicinal cannabis “would give his wife some hope.” Warren became an advocate for medical marijuana legalization after his wife’s diagnosis.

Despite his concerns, McLaughlin conceded that cannabis is “very useful in dealing with a range of symptoms” associated with a variety of serious illnesses and that legislators “do not want people to continue to suffer.”

“We believe we must do what we can,” he said.

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Sunset over the skyline of Albuquerque, New Mexico.

Poll: New Mexico Voters Support Recreational Use

10/10/2016

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Voters in New Mexico strongly support legalizing the adult use of cannabis, according to a poll by the Albuquerque Journal, which found 61 percent would support a legalization proposal with 34 percent opposed.

The survey revealed strong generational differences in voters’ opinions on the topic, with 82 percent of respondents aged 18 to 34-years-old indicating they would support such a proposal; while less than half of voters — 45 percent — aged 65 and older said they would back a legalization measure. Eighty-one percent of independent voters supported legalization, compared to 70 percent of Democrats and 40 percent of Republicans.   

Last February, the state legislature voted down a joint resolution that would have put a recreational legalization question on the November ballot.

Brian Sanderoff, president of Research & Polling Inc., who conducted the poll on behalf of the newspaper, suggested that if the question were put to voters in the state today it would pass.

“The new generation that is getting onto the voter rolls are more likely to support, so it’s only logical that support levels have been rising,” he said in the report.   

The results are identical to a poll from the same group in January, with both indicating rising support from 2014, when pollsters found 50 percent opposed to legalization in the state and 44 percent approval.

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Australian MMJ Company Gets State Approval for Cultivation

10/10/2016

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The Australian Cannabis Corporation has taken its next step toward cultivating cannabis in the state for medicinal use as representatives from the South Australian State Government gave the company approval to seek a federal cannabis cultivation license, according to a report from InDaily.

Ben Fitzsimons, ACC co-founder, said now that they have the support of the state government, the company just needs approval from the feds.

“The vision is creating employment opportunities for all South Australians [and] to create a global research hub,” he said in the report, suggesting cannabis will become a “serious…global industry.”

According to the report, state government officials indicated they will help lobby the government on behalf of medical marijuana businesses, hoping to create a medical cannabis industry that includes research and development. A spokesperson indicated that the South Australian government “supports in-principle cannabis research and development” and would like to see the drug investigated clinically and in both public and private research institutions.

“[It] will assist licensed medicinal cannabis businesses operating in this State to lobby the Commonwealth Government to permit the export of any medicinal cannabis products which may be made in South Australia in the future,” the state government spokesperson said.

The South Australian medical marijuana plan would allow patients with serious and chronic illnesses to access the drug, which would be prescribed by medical specialists. The products would be produced in the region or imported under permits issued by the Therapeutic Goods Association.

Both Fitzsimons and state government officials said that plans for recreational cannabis use are “not on the table.”  

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A worker at a cultivation facility in Washington plucks large branches off a cannabis plant.

Economist Speculates California Legalization Won’t Be Immediate Economic Boon  

10/07/2016

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A UCLA economist disputes Yes on 64 predictions that a recreational cannabis market will be worth $1 billion to the state’s economy, forecasting instead that the initial gains would be more likely about half of that figure — roughly $501 million — according to a report from Bond Buyer.

Jerry Nickelsburg, a senior economist for the UCLA Anderson Forecast, bases his estimates on data sets in Colorado, where cannabis sales are taxed 2.9 percent. He suggests that huge budgetary gains would not be seen in the sector for at least two-and-a-half years.

“Using population to gross-up the Colorado numbers and assuming a California 10 percent sales tax, the revenue calculation from marijuana sales would be $501 million or 0.4 percent of the state’s general fund,” Nickelsburg said in the report. “The retail marijuana sales in Colorado are growing, so this number might be a bit on the low side, but it has a long way to go to make a significant impact on the budget.”

According to Nickelsburg, those numbers translate to an industry representing 0.2 percent of the state’s $2.5 trillion dollar economy and 0.13 percent of its employment. His data set does not include other taxes and fees that would be required by canna-businesses.

Fiona Ma, chairwoman of the California Board of Equalization, an elected tax administration panel, said that cannabis sales are hard to track because of the cash nature of the businesses. Because they have no firm financial statements it’s nearly impossible for the BOE to audit companies operating in the industry. Additionally, when a company registers their business with the state there is no ‘cannabis’ check box, so companies usually check either ‘agricultural’ or ‘healthcare,’ which makes it hard to cross reference.

“We estimated that we collected $44 million in 2014 in sales taxes from dispensaries, which probably only represents 25 percent of companies,” she said.

Ma suggests that the full tax revenues will only be realized if there is “some easing of monetary policy” to get “more banks in the mix.”

To that end, members of the California Department of Business Oversight are preparing for the passage of Prop 64 in November, and according to department Commissioner Jan Lynn Owen, the regulatory scheme for recreational cannabis will be stronger than the current system under which the medical program operates.

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A group of professional NFL players lined up and in uniform.

Pro-Cannabis NFL Group Funding and Participating in THC Oil Study

10/07/2016

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A group of former and current players for the National Football League is funding a cannabis oil study to determine its use as an effective alternative to opioid-based therapies, KPIX 5 reports. According to a 2011 study, NFL players are three times more likely to abuse prescription painkillers than the general public.

The study is funded by the Gridiron Cannabis Coalition, a nonprofit comprised primarily of former and current NFL players, and Constance Therapeutics, a California-based cannabis producer.

The 30 former players who participate in the eight-week pilot study must hold a California medical marijuana card, undergo a medical assessment before and after taking the oil, and provide a complete medical history, including their past cannabis use.

Chris Kluwe, a former punter who spent most of his seven-year professional career with the Minnesota Vikings, said the study could help a lot of players long term if the oil proves to be a viable alternative to opioids for pain relief.

“You’re essentially going through multiple car accidents over the course of, like, three-and-a-half hours,” Kluwe said in the report, describing the toll a professional football game has on the body.

According to the report, an estimated 400 NFL players are injured every year. Kyle Turley, who spent a nine-year career with the New Orleans Saints, St. Louis Rams, and Kansas City Chiefs, outlined his football-related injury history and said many of them will cause a lifetime of pain.

“I need a new right hip, I need two right knees. I have got a plate and ten screws in my right ankle,” Turley said. “I am bone-on-bone in every joint.”

The study will start with a rice grain amount of THC oil as a constant and double about every four days, Constance Finley, CEO and founder of Constance Therapeutics said.   

“When we see NFL players able to use a medicine that doesn’t cause harm, that will help their functionality, we will see the stigma fall away very rapidly,” she said.

Medical cannabis use is currently barred under the current collective bargaining agreement between the league and the NFL Players Association.   

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Maryland's State House in Annapolis.

Maryland MMJ Commissioner Who Disapproved of Reshuffling Replaced

10/07/2016

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A Maryland Medical Cannabis Commission member has not been reappointed by Gov. Larry Hogan after her term expired, according to a Baltimore Sun report. Deborah R. Miran cast the one dissenting vote against the commission’s decision to deny grower licenses to two high-rated applicants and give them to lower-ranked companies.

Miran was an appointee of former Gov. Martin O’Malley, and the only person on the panel to vote against the move to reshuffle the licensees, which has sparked lawsuits threatening to derail the licensing process in the state.   

According to Doug Mayer, spokesperson for the Republican governor, her dissenting vote had no bearing on Hogan’s decision to replace her.

“This office wasn’t even remotely aware of how the vote took place,” Mayer said in the report.

The new appointee, Saundra Washington, was chosen after the governor’s meeting with members of the Black Legislative Caucus. The caucus has threatened to introduce emergency legislation to halt the licensing program due to the lack of minority-run businesses approved for the lucrative licenses. Washington is executive director of Lifestyles Foundation of Maryland Inc., a nonprofit that helps people in need with clothing, shelter and food.

The companies initially approved for state licenses were ranked by Townsend University researchers. Miran was a member of the subcommittee that reversed an earlier decision, by a 4-1 vote, to award the licenses to the companies as ranked by the university. The commissioners say that the change was made due to the “geographic diversity” requirements of the law.

However, in their reshuffling the commission approved a license for Holistic Industries – which counts the son-in-law of top Annapolis lobbyist, Gerard Evans, among its equity investors. Holistic paid Evans $90,000 from November 2015 through April 2016, but he maintains his work for the company had nothing to do with their approval.

The appointment of Washington is, perhaps, a sign that the commission plans on moving forward despite the lawsuits and threats to delay the program by the caucus. Commission spokeswoman Vanessa Hold said the body is “wary of any additional delays in making the medicine available to patients” and that if the licensing process was restarted it could add another year or two to getting products to market.  

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