MJBizMag August 2022 - 30

INDUSTRY DEVELOPMENTS State by State
New Jersey
Regulators fined five marijuana multistate operators a total of $360,000 for allegedly making nearly
3,200 adult-use sales in April during hours that were set aside for medical cannabis patients.
The action shows that New Jersey regulators were serious when they said they intended to fine
marijuana companies $10,000 per day if they didn't prioritize MMJ patients. The operators were
allowed to fast-track adult-use sales based on their pledge that they had enough medical marijuana
supply and would put MMJ patients first.
The companies fined included New York-based Acreage Holdings and Ascend Wellness, Illinoisheadquartered
Green Thumb Industries and Verano Holdings as well as Massachusetts-based
Curaleaf Holdings.
New Mexico
A medical cannabis company filed a lawsuit attempting to force seven major insurance companies to
reimburse about 74,000 MMJ patients for their dispensary purchases.
Ultra Health of Bernalillo filed the suit against Blue Cross and Blue Shield of New Mexico, Cigna
Health and Life Insurance Co., Molina Healthcare of New Mexico, Presbyterian Insurance Co.,
Presbyterian Health Plan, True Health New Mexico and Western Sky Community Care.
The lawsuit is based on a state law passed in 2021 that requires insurers to reimburse patients 100%
for the cost of any care related to mental or behavioral health.
Oregon
Law enforcement officers in southern Oregon seized more than 12,000 marijuana plants in mid-June
from a single illegal grow site with 32 greenhouses in Jackson County.
Earlier in the month, Jackson County law enforcement busted three unlicensed marijuana operations,
seizing nearly 4,000 plants and more than 1,300 pounds of processed illicit-market marijuana.
And Douglas Interagency Narcotics said it has " eradicated " illegal marijuana from five sites in
Douglas County, Oregon, that had more than 8,000 plants total.
Pennsylvania
A state judge ruled that medical marijuana operators can resume selling vape products that were
recalled four months ago, a major win for the state's MMJ businesses.
In February, Pennsylvania marijuana regulators recalled more than 500 vape products, claiming they
contained ingredients not approved by the U.S. Food and Drug Administration for inhalation.
Producers, processors and retailers feared that the ruling could have devastating financial losses.
The judge's order allows dispensaries to immediately restock MMJ vape products, pending final
resolution of the case. State regulators indicated that they intend to continue the legal fight.
Texas
The state Supreme Court restored a 2019 smokable-hemp ban, throwing out a lower court's rejection
of the prohibition and outlawing any companies in the state that currently manufacture hemp
products for smoking.
The unanimous decision turns down arguments from four Texas hemp companies, arguing that
the ban passed by state lawmakers was unconstitutional because it is " so burdensome as to be
oppressive. "
The Texas justices noted that hemp production was illegal in Texas before 2019, so the manufacturers
had little basis for arguing that the smokable-hemp ban took away a previously allowed business activity.
Note: Entries sourced from MJBizDaily, Hemp Industry Daily and other international, national and local news outlets.
These developments occurred before this magazine's publication deadline, so some situations might have changed.
30 August 2022 | MJBizMagazine

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