The New Jersey Cannabis Regulatory Commission (CRC) announced it will begin enforcing strict regulations on the sale of intoxicating hemp products, following a recent federal court decision that limited the full implementation of the law.
Originally passed in September, the law prohibits unlicensed sales of hemp-derived intoxicants containing “high”-inducing synthetic cannabinoids or THC not derived from naturally occurring compounds.
The rules, which officially took effect on Oct. 12, faced immediate legal challenges that temporarily stalled the enforcement of several key provisions. However, as of Friday, Nov. 8 the CRC confirmed it would proceed with enforcement.
21 and older
The new regulations in New Jersey place hemp-derived intoxicants under the same guidelines as state-licensed marijuana products. That means they must meet safety, testing, and packaging standards, and may be sold only to those 21 and older.
The new law imposes strict penalties on businesses that violate its provisions: sellers of prohibited products may incur fines starting at $100 for a first offense, escalating to $10,000 for repeated violations. Under the current framework, anyone selling these products without a license faces penalties, though the CRC has five months to finalize its licensing procedures for qualifying businesses.
“They’re sending a message, which will obviously have an intended chilling effect on bad actors. It also says they’re still paying attention,” Beau Huch, a cannabis and hemp attorney with Porzio Governmental Affairs, told New Jersey Monitor.
Unregulated competition
Signed by Gov. Phil Murphy on Sept. 12, the legislation responds to growing concerns about the accessibility of intoxicating hemp products to minors and the lack of oversight of the products, widely available in many U.S. states in convenience stores, hemp shops and other retail outlets.
By treating hemp products with high THC content similarly to marijuana, the CRC aims to curb unregulated competition and ensure that all intoxicating substances are held to stringent safety and labeling standards. CRC is initially expected to target synthetic cannabinoids such as delta-8 THC, delta-10 THC and THC-O, which have raised safety concerns and are considered potentially harmful to consumers.
The law’s enforcement was delayed by a lawsuit brought by hemp businesses, who argued that the restrictions impose an undue burden on interstate commerce. In Loki Brands LLC et al. v. Platkin et al., a federal judge upheld some parts of the law but ruled that certain provisions could not be enforced, citing constitutional concerns. However, the ruling left intact several key enforcement aspects of the law.
Lawmakers are drafting amendments to address the judge’s concerns, and the CRC is moving forward with enforcement of the law’s core provisions while awaiting a final resolution.
Read the rest of this story at Hemp Today