CBD and Hemp Legal and Regulatory Roundup – October 2022 #2

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Welcome to our weekly roundup of CBD and hemp-related legal and regulatory news:

CBD

MLB enters sponsorship deal with Charlotte’s Web

The deal marks the first time one of the four major U.S. professional sports leagues formed a sponsorship agreement with a CBD company. Charlotte’s Web will feature the MLB logo on products that received a special certification for use by athletes. It follows an agreement in June, when MLB officially allowed clubs to enter sponsorships with CBD companies certified for sport by NSF.

CNBC

Hemp

Texas official educates Honduran lawmakers on hemp industry

According to Texas Agriculture Commissioner Sid Miller, the state is a leader in the industrial hemp market, and he informed elected officials from Honduras that the crop would be beneficial to their country’s economy. The meeting was initiated as a means to decrease the number of migrants entering Texas by promoting an industry to keep workers in Honduras.

News4

Marketing agency sponsors college educational tour of cannabis farm

Aeterna Media took Macalester College students on a field trip to NorthStar Hemp to get them thinking about the economic impacts of the industry, like job creation. The creative marketing firm focused on industries from graphic design to NFTs to the crypto market.

Kare11

Utah hemp company wants TM suit dismissed, says Colo. court lacks jurisdiction

The Global Hemp Association (GHA) of Utah, which is being sued for infringing a trademark when it allegedly took the name of Global Hemp, asked a federal judge to dismiss the case from Colo. court, arguing it lacks jurisdiction as neither business is located there. GHA said it would be prejudiced if forced to defend itself in Colo. as none of its employees live or work in the state. The suit seeks $2.1 million in damages.

Law 360 (sub. req.)

Seventh Circuit won’t allow hemp grower to revive claims it was sold faulty seeds

The court ruled in favor of Adam Dunn, Ryan Davies and Shawn Kolodny, who sold 6,000 seeds to Rock Hemp. The hemp company alleged the defendants misrepresented the quality of the seeds and breached the contract. The men removed the case to federal court, which granted summary judgment, finding that the dispute fell under the contract’s arbitration clause.

Law 360 (sub. req.)

Cannabis

Calif. court finds sale of cannabis not protected as religious activity

The Jah Healing Kemetic Temple of the Divine Church can’t claim a San Bernardino County ordinance prohibiting commercial cannabis operations violates its religious protections, the Calif. Fourth District Court of Appeals ruled. Because church members may still use and possess blessed cannabis under the county ordinance, the ordinance doesn’t affect their religious behavior, the court found, adding all that would be affected was the selling, dispensing and delivering of blessed cannabis, which the appellants concede isn’t a religious activity. The church is preparing a petition for review with the Calif. Supreme Court.

Law 360 (sub. req.)

Mont. judge rules city prohibition on cannabis business invalid

A Mont. district court judge ruled Great Falls’ ordinance to refuse a safety inspection certificate application from Dale and Janelle Yatsko for a marijuana business on the basis of an ordinance that prohibits such businesses within city limits is invalid. The prohibition is in the city land use code and doesn’t address the use or possession of marijuana by individuals, which is covered under state law. City officials haven’t said if they will appeal the decision.

The Electric

Walmart urges N.J. federal court to dismiss marijuana screening suit

Walmart argues lead plaintiff Erick Zanetich’s claims under N.J.’s Cannabis Regulatory Enforcement Assistance and Marketplace Modernization Act fail as a matter of law, because the act doesn’t explicitly create a private right of action for citizens to file a civil suit to enforce the statute. Only the Cannabis Regulatory Commission may enforce the law, the retailer notes.

Law 360 (sub. req.)

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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