The EU’s highest court has ruled that CBD is not a narcotic because “it does not appear to have any psychotropic effect or any harmful effect on human health.”

The ruling comes as the result of a lawsuit in France against a company that makes CBD oil from whole hemp plants. In France, only the fiber and seeds of hemp plants containing less than 0.2% THC can be used commercially.

The EU court ruled that France’s law banning the use of whole plant hemp-derived CBD went against the EU’s law on the free movement of goods.

“The national court must assess available scientific data in order to make sure that the real risk to public health alleged does not appear to be based on purely hypothetical considerations,” the court ruled.

“A decision to prohibit the marketing of CBD, which indeed constitutes the most restrictive obstacle to trade in products lawfully manufactured and marketed in other [EU] member states, can be adopted only if that risk appears sufficiently established,” the court wrote.

While individual countries can ban the free movement of goods for things like narcotic drugs, the court’s ruling means that those rules don’t apply to CBD.

Plus, as the court cited in their ruling, France has not banned synthetic CBD, which has the same properties as plant-derived CBD—making the prohibition of plant-derived CBD inconsistent.

The court’s decision could potentially open up the legal CBD market in Europe. Many CBD products currently exist in the grey market under rules that allow cannabis to be sold for agricultural purposes. Regulations about cannabis edibles and CBD have been stalled and in limbo, but the court’s decision could reopen a pathway to selling CBD edibles as food in Europe.

“With today’s ruling, CBD companies can expect a clearer route to achieving compliance across the EU. The harmonization of cannabinoid regulations could finally become a reality,” wrote the UK-based Association for the Cannabinoid Industry.

 

It was a historic night for marijuana legalization in the U.S. four states voted to legalize recreational marijuana, and two states legalized medical marijuana.

Arizona

Arizonans overwhelmingly voted to pass Proposition 207, legalizing adult-use marijuana. Adults 21 years and older can possess and consume up to one ounce of marijuana. Adults can grow six cannabis plants at home or no more than 12 plants in a house with more than one adult.

Arizona’s Department of Health Services will begin accepting applications for recreational dispensaries in January. It will begin issuing licenses within 60 days–so expect the first recreational sales to kick off in March.

Arizonans with a prior marijuana conviction can petition to have the record expunged as of July 12, 2021. Finally, a 16% excise tax will be added to recreational marijuana sales to fund public programs.

New Jersey

The Garden State will be cultivating a new crop thanks to voters who approved Question 1 on the ballot, legalizing recreational cannabis. Adults 21 and older will be able to purchase and possess legal cannabis, subject to rules and regulations that will be overseen by the state’s Cannabis Regulatory Commission, which already oversees New Jersey’s medical marijuana program. Recreational marijuana sales will be subject to a 6.625% sales tax.

In 2019, legislation that would have legalized adult-use cannabis in New Jersey was pulled from a vote in the state legislature after failing to secure enough support from lawmakers.

Montana

Montana had not one but two ballot measures to legalize recreational marijuana, both of which were approved by voters.

Initiative 190 legalized the sale and possession of up to an ounce of cannabis and the cultivation of up to four cannabis plants and four cannabis seedlings at home. Recreational marijuana sales will be subject to a 20% tax.

Constitutional Initiative 118 amended the state constitution to allow the Legislature to set the age for adults permitted to possess and consume marijuana to 21 years and older.

New Approach Montana, the group who backed both ballot measures, estimates that legal adult-use marijuana sales will generate $48 million in tax revenue for the state by 2025.

“Our research has always shown that a majority of Montanans support legalization, and now voters will have the opportunity to enact that policy, which will create jobs and generate new revenue for our state,” said Pepper Petersen, campaign spokesman for the group.

South Dakota

South Dakota is the first state where voters simultaneously approved legalizing both medical and recreational marijuana.

Voters passed Measure 26 legalizing medical marijuana for people with qualifying conditions with 69% of the vote.

Amendment A passed with the approval of 52% of voters, allowing adults 21 and older to possess up to an ounce of cannabis and allowing the cultivation of up to three marijuana plants. The South Dakota Department of Revenue will issue licenses for manufacturers, testing facilities, and retailers. Sales tax on recreational sales will be 15%.

Marijuana possession will remain illegal in South Dakota until July 1, 2021.

Mississippi

Mississippians have said ‘yes’ to medical marijuana by approving Ballot Initiative 65.

The Mississippi Department of Health is required to hammer out the rules and regulations for a medical marijuana program by July 1, 2021. Mississippians will be able to apply for a medical marijuana card for 22 qualifying conditions, including cancer, chronic pain, and post-traumatic stress disorder (PTSD).

Each medical marijuana patient will be allowed to possess up to 2.5 ounces of cannabis per 14-day period. Home cultivation of marijuana is prohibited.