{"id":8255,"date":"2018-05-02T16:49:24","date_gmt":"2018-05-02T16:49:24","guid":{"rendered":"https:\/\/www.denverpost.com\/?p=3038879"},"modified":"2018-05-02T16:49:24","modified_gmt":"2018-05-02T16:49:24","slug":"deas-rule-on-cannabis-extracts-will-stand-federal-judges-say","status":"publish","type":"post","link":"https:\/\/cannitrol.com\/blog\/deas-rule-on-cannabis-extracts-will-stand-federal-judges-say\/","title":{"rendered":"DEA\u2019s rule on cannabis extracts will stand, federal judges say"},"content":{"rendered":"<div id=\"wp_fb_like_button\" style=\"margin:5px 0 5px 5px;float:right;height:100px;\"><script src=\"http:\/\/connect.facebook.net\/en_US\/all.js#xfbml=1\"><\/script><fb:like href=\"https:\/\/cannitrol.com\/blog\/deas-rule-on-cannabis-extracts-will-stand-federal-judges-say\/\" send=\"true\" layout=\"standard\" width=\"450\" show_faces=\"false\" font=\"arial\" action=\"like\" colorscheme=\"light\"><\/fb:like><\/div><div class=\"media_block\"><\/div>\n<p>A federal appeals court this week dealt a blow to makers of CBD-rich cannabis extracts who were trying to stop the Drug Enforcement Administration from considering their products as dangerous drugs.<\/p>\n<p>A panel of judges for the 9th U.S. Circuit Court of Appeals shot down the hemp industry\u2019s challenge of a DEA rule that <a href=\"https:\/\/www.thecannabist.co\/2016\/12\/15\/dea-cbd-new-rule-marijuana-extracts\/69550\/\">established a drug code for marijuana extracts.<\/a><\/p>\n<p>DEA officials had said the code was intended to track cannabis derivatives used in research and to meet treaty obligations, adding that these extracts and byproducts <a href=\"https:\/\/www.thecannabist.co\/2017\/07\/05\/dea-statement-cbd-hemp-farm-bill-controlled-substances-act\/83100\/\">remain Schedule I substances<\/a>\u00a0that the government says have no accepted medical use, such as heroin, LSD, peyote and ecstasy.<\/p>\n<p>Hemp industry leaders pushed back on that Schedule I assertion and the rule itself.<\/p>\n<p>Represented by Denver-based cannabis law firm Hoban Law Group, <a href=\"https:\/\/www.thecannabist.co\/2017\/04\/05\/hemp-lawsuit-federal-court-dea-rule-marijuana-extracts\/76635\/\"> the Hemp Industries Association and other hemp businesses challenged the DEA\u2019s rule<\/a> and alleged the agency overstepped its bounds by essentially scheduling\u00a0<a href=\"https:\/\/www.thecannabist.co\/tag\/special-report-cbd-tbd\/\">substances<\/a>\u00a0\u2014 notably cannabinoids \u2014 that were not classified as illicit in the Controlled Substances Act. Additionally, they argued, the hemp-derived extracts rich in CBD, or cannabinol, are protected under state laws and Farm Bill provisions.<\/p>\n<p>The rule could be misinterpreted by other federal and local agencies, lead to unlawful product seizures and chill a booming multibillion-dollar hemp products industry, <a href=\"https:\/\/www.thecannabist.co\/2018\/02\/15\/cbd-hemp-dea-marijuana-extracts-lawsuit-federal-appeals-court\/99168\/\">Hoban attorneys had said<\/a>.<\/p>\n<p>In the opinion, issued Monday, the 9th Circuit judges said Hoban Law Group\u2019s clients had an opportunity to comment during the DEA\u2019s rule-making process but failed to do so. As a result, the bulk of their challenge was moot.<\/p>\n<p>Separately, the judges said the DEA\u2019s final rule did not violate the Agricultural Act of 2014 (Farm Bill), which contained provisions allowing for industrial hemp, defined as cannabis sativa L. plants with less than\u00a00.3 percent concentration of psychoactive tetrahydrocannabinols.<\/p>\n<p>\u201cThe Agricultural Act contemplates potential conflict between the Controlled Substances Act and pre-empts it,\u201d the judges wrote.<\/p>\n<p>That\u2019s the silver lining for hemp businesses, said Garrett O. Graff, an attorney with Hoban.<\/p>\n<p>\u201cThe sky is not falling, based upon this decision,\u201d he said.<\/p>\n<p>The court\u2019s view of the Farm Bill, coupled with DEA statements last year indicating there was no intent to regulate cannabinoids, should give the hemp industry some solace, Graff said.<\/p>\n<p>\u201cThese are all positives that the industry can take as yet another arrow in the quiver of legitimacy,\u201d he said.<\/p>\n<p>But there remain broader concerns about the safety and security of those who make and sell hemp extracts, he said.<\/p>\n<p>In a statement issued Wednesday, attorney Bob Hoban said his clients are weighing whether to request a rehearing.<\/p>\n<aside class=\"related right\" \/>\n<p>\u201cThough we\u00a0appreciate the court\u2019s finding in favor of the legitimacy of the Farm Bill\u2019s hemp amendment, we are still disappointed with the court\u2019s findings that the final rule does not interfere with lawful, hemp-related business activities,\u00a0as even <a href=\"https:\/\/www.thecannabist.co\/2018\/01\/12\/cbd-hemp-extracts-dea-congress\/96683\/\">29 members of Congress confirmed in their Amicus Brief<\/a> to the Court,\u201d Hoban wrote.\u00a0\u201cGiven\u00a0the pervasive confusion and irreconcilable conflicts\u00a0of the law that have led to product seizures, arrests and criminal charges against those involved in the lawful hemp industry, the petitioners believe that the final rule must be invalidated, absent the court clarifying and further resolving these conflicts and their severe consequences.\u201d.<\/p>\n<p>More robust hemp protections have been floated at the federal and state levels.<\/p>\n<p>Federally, Senate Majority Leader Mitch McConnell <a href=\"https:\/\/www.thecannabist.co\/2018\/04\/12\/mcconnell-hemp-farming-act-of-2018\/103438\/\">introduced the Hemp Farming Act of 2018<\/a>,\u00a0which would remove hemp from regulation as a controlled substance, treat the crop as an agricultural commodity, protect state regimes and bolster research. McConnell has indicated the provisions may be included in the coming 2018 Farm Bill.<\/p>\n<p>In Colorado, legislators have approved a bill that would regulate hemp products \u2014 including CBD extracts \u2014 <a href=\"https:\/\/www.thecannabist.co\/2018\/04\/25\/colorado-hemp-food-ingredient-bill\/104230\/\">like any other food ingredient<\/a>. That bill is awaiting the signature of Gov. John Hickenlooper.<\/p>\n","protected":false},"excerpt":{"rendered":"<div class=\"media_block\"><\/div>\n<p>A panel of judges for the 9th U.S. Circuit Court of Appeals shot down the hemp industry&#8217;s challenge of a U.S. Drug Enforcement Administration rule that established coding for marijuana extracts. <\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5062,531,52,330,6811,6897,233,6892,55,7618,6813,77,5577,5667,9,6855,5019,441,1,3,61,1736],"tags":[5063,3105,2632,2908,6816,6898,2811,6893,2635,7619,6818,2655,5580,5673,6856,5022,3015],"_links":{"self":[{"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/posts\/8255"}],"collection":[{"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/comments?post=8255"}],"version-history":[{"count":0,"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/posts\/8255\/revisions"}],"wp:attachment":[{"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/media?parent=8255"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/categories?post=8255"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cannitrol.com\/blog\/wp-json\/wp\/v2\/tags?post=8255"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}