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WeedMD Consolidates Medical Distribution Activities and Closes Facility to Maximize Production Efficiencies

January 7, 2021 by CBD OIL

TORONTO and PORT WASHINGTON, N.Y., Jan. 05, 2021 (GLOBE NEWSWIRE) — PRESS RELEASE — North America’s first research and development facility dedicated to advancing cannabis cultivation techniques and systems has been completed by The Flowr Corporation and Hawthorne Canada Limited. Hawthorne is a subsidiary of the Hawthorne Gardening Company division of The Scotts Miracle-Gro Company. Scotts Miracle-Gro is a marketer of branded consumer lawn and garden products and indoor growing solutions. Flowr cultivates and sells premium cannabis to medical and adult-use markets in Canada, Europe and Australia.

Located on Flowr’s cultivation campus in Kelowna, British Columbia, Canada, the R&D Center includes laboratories, indoor grow suites and training areas in a single building. Flowr will test cultivation systems and techniques using Hawthorne’s lighting, fertilization and irrigation systems, growing mediums, and research protocols. In addition, Flowr intends to focus its own research on cannabis genetics and integrated growing systems in line with its goal of delivering premium quality cannabis products through highly efficient cultivation.

“We built Hawthorne to help cultivators of all sizes grow quality plants with high levels of efficiency and consistency. Completing the industry’s only dedicated R&D facility gives us a distinct advantage. We will leverage Flowr’s cultivation expertise and our technical capabilities into real world testing and results that will make a difference to growers,” said Chris Hagedorn, SVP & General Manager of Hawthorne Gardening. “We are proud of this collaboration with Flowr, a leading international cannabis company, with extensive growing experience indoors, in greenhouses and at-scale outdoors. Flowr is also one of a few companies that have had experience growing diverse genetics in different countries. We believe this experience will benefit our companies and the growers we serve.”

“The completion of the R&D Center brings our work with Hawthorne fully to life and will help keep both companies on the leading edge of cannabis cultivation for years to come,” commented Lance Emanuel, President and Interim Chief Executive Officer of Flowr. “Operationalizing the R&D Center is a major accomplishment for our organization and strengthens our competitive advantage in cultivation. We believe the long-term success of Flowr will be rooted in our ability to maximize the cannabinoid and terpene expression of genetics without sacrificing yield. The work we will do at the R&D Center will help us build upon the success we’ve had producing high quality, premium cannabis like our award-winning, flagship-strain BC Pink Kush beloved by budtenders and consumers throughout Canada. Leveraging our work at the R&D Center will be imperative to our eventual entry into the United States once federally permissible by law.”

The R&D Center is the centerpiece of a strategic R&D partnership formed by Flowr and Hawthorne in March 2018. It brings two of the world’s leading experts together to be at the forefront of cannabis cultivation. The operations will be led by Dr. Deron Caplan, the first person in North America to earn a PhD focused on cannabis cultivation and production. Caplan was awarded his doctorate by the University of Guelph in August 2018 and is Flowr’s Director of Research and Development. The R&D Center will be staffed by Flowr’s scientists, five of whom have PhDs in various plant biology, plant genetics and plant biochemistry disciplines. Hawthorne R&D will lead the research design and methodology.

All requisite licensing from Health Canada has been obtained by Flowr and the expectation is that the R&D Center will be operating at full capacity in Spring 2021. Research has already begun conducting growing trials at scale using Hawthorne products.

Filed Under: Cannabis News

Heat-Not-Burn: A Q&A with Mike Simpson, CEO and Co-Founder of Omura

January 7, 2021 by CBD OIL

Heat-not-burn is a non-combustion technology consisting of a heating source and either an oven that the user packs cannabis into or a stick pre-filled with cannabis. The cannabis is heated to a lower temperature than a combusted joint or bowl to create an aerosol that the user inhales. Heat-not-burn in this way is distinct from traditional vaping where a liquid or oil is heated to become a vapor and inhaled.

Omura is a design company that has developed a platform product for the heat-not-burn market.

We spoke with Mike Simpson, CEO and co-founder of Omura. Mike co-founded Omura in 2018 after an international design career where he spent much of his time in Japan working with consumer products.

Aaron Green: Mike, what trends are you following in the market?

Mike Simpson: I’m always tracking trends in the heat-not-burn space. Because of my background, I know that the tobacco industry inspires a lot of the technology in the cannabis space. If you look at all the vape pens, that technology was initially developed for big tobacco, which then later was adopted by cannabis. I’m always looking to stay educated on what’s happening in the tobacco industry, as I know it’s directly tied to my work in cannabis.

I’m also looking at what’s happening all over the world with legislation. I’ve been studying it for years, but this past year has been phenomenal. Seeing five new states go to some level of legalization, the federal law and new states legalizing cannabis in the 2020 Election. I believe the Biden/Harris victory will have a major impact on the industry, however we still have to see what happens with the Senate. These next couple of years are going to be very interesting to see how things shape out for cannabis.

Aaron: What are you personally interested in learning more about?

Mike Simpson, CEO and co-founder of Omura

Mike: I am interested in learning how the world is going to behave next year with this new life that’s been thrusted upon us. How effective is the new vaccine going to be? How are people going to retrospectively look at this year, and the lifestyle that they used to have before going into COVID? How much of it’s going to become permanent? How much of this Zoom life will we continue to enjoy? In the future, will office spaces become obsolete? How much will we still be using home deliveries? Do we actually want to go to restaurants again? That’s what I’m very interested in learning about is how human behavior and the world will change because of what’s happening right now.

Aaron Green: How did you get started at Omura?

Mike Simpson: Great question. I moved to Japan as a designer working for Lego and set up their design office for Lego toys. After Lego, I started working instead with Nike and Adidas designing performance sneakers and apparel for a couple of years until I found Big Tobacco — which is where my Omura story begins. I rapidly found myself in a position where I was creating new technologies, for the consumption of nicotine and tobacco. While working on an early project, I was asked if I knew any science fiction writers. Thanks to Lego, I just so happened to know Syd Mead, the designer for popular sci-fi films including BladeRunner, Tron and Aliens. So, I called him and we worked on a project which was aimed at setting the future of the smoking industry. Obviously, this was a brilliant project for someone like myself to get involved in. We came up with several scenarios that depicted the future of what tobacco consumption would look like, and each of them essentially included vaporization. This was before the vaporization days which made it kind of a difficult sell. I spent many years working on where we could use existing technologies in order to execute some of these scenarios. Ten years later, I moved to California, and I started studying the cannabis space for Big Tobacco which ultimately led me to Omura.

Aaron: Can you give me a reference point on the date when you were back in California?

Mike: I came here eight years ago, and I was in Japan pretty much 10 years prior to that.

Essentially what I realized when I got to California was that cannabis was perfect for heat-not-burn because of all the cannabinoids and the terpenes. You heat it up, and you get all of the good properties out of it without the need for combustion. There were already hundreds of products in the market, which validated that people love doing it.

However, there was a ritual: you needed to buy the flower, grind it, pack the device, select the temperature and then use the same mouthpiece repeatedly. And it doesn’t stop there. When the session is finished, you dig out the used flower with a metal spatula or brush. After every 10 or 15 times you have to clean it with rubbing alcohol to get rid of any existing residue from those sessions. This is just a big messy job with a massive amount of inconsistency and variability. For me, it was mind blowing that people would even go through this procedure. With Omura, I knew we needed to simplify that process. Our product comes with a pre-filled flower stick with an exact dose, that you place in the device very simply. You then use the stick as the mouthpiece and when you’re finished, throw the flower stick in the trash. It’s compostable and biodegradable. So we eliminated all of those pain points.

Aaron: Great! Where are you guys based out of?

Mike: Venice, California.

Aaron: So, what makes the Omura vaporizer different from other heat-not-burn products? You mentioned you have the disposable cartridge. Is there a design philosophy around it that you can talk more about?

Mike: Omura comes with 12 flower sticks in child-proof packaging. What makes us different is that we have our proprietary flower stick and device that work together. With our heat-not-burn technology, you get all the terpenes, but when you set fire to it, as you would with other products, you mask that with smoke. Our product is different from anything else in the market, because it has simplified the user experience through efficiency, user interaction and also through design as well.

The other founders come from deep design and technology backgrounds, designing technologies for Apple and Philips Electronics, so it was an important focus for us with Omura. Our newest device, the Series X was designed by Michael Young, a world-renowned industrial designer who has built an impressive portfolio of innovative products.

The Omura Series X

With Omura, we’re bringing sophistication of the design world into the cannabis world. It’s not just about simplifying the experience and making a great kind of efficient method of consumption, it’s also about creating something for everyday use that is beautifully designed and easy to use.  

Aaron: The Series X is Omura’s latest device. Can you tell me what changes you’ve implemented to make it better than the first version?

There are a few differences between the Series 1 and Series X: First, the new design fits in the palm of your hands so it’s discreet. It comes with a USB-C charging base that automatically connects with magnets. We’ve also improved the efficiency of the oven. The first device boiled 94% of the cannabinoids, this one now boils 99%. We’ve increased user-efficiency, by removing the button from the Series 1 making it so all you have to do is put the flower stick in and the device starts automatically. Additionally, we wanted to give users an option between a hotter or cooler experience so we added an extra heat curve, as we recognize that some of our CBD users prefer more of a terpene experience.  

Aaron: Can the user modify that with an app?

Mike: It is a very simple switch on the bottom of the device that allows you to toggle between the higher and lower temperature curves

Aaron: Okay, cool. Can we talk about your supply chain a little bit here? Do you manufacture everything in Los Angeles? Or do you have partners? 

Mike: Everything is designed in the US and manufactured in China. Which is fairly common throughout the industry. Shenzhen is well known for making products for the vaping industry. We create empty tubes filled in a batch production process. All the flower is grown here in the US. To clarify, we aren’t a plant-touching company. We don’t have a cannabis license. When it comes to THC, we have partnership deals. We work with select cannabis brands which is how we are able to sell in dispensaries. On the other hand, our CBD model is split. We have two brands of our own. Libertine, which is more of a male-focused Gen Z brand. Then we have Oriel, which is more of a wellness brand, catered to women.

Aaron: So how would an aspiring brand get on your platform?

Mike: Good question. Any brand or company who is interested in partnering with Omura can contact us through our website, www.omura.com, on Instagram @Omura or via email: hello@omura.com. We would then assess them to see if they’re a good fit. Currently we’re looking to span quite a large kind of demographic as far as appeal. So, if these prospective partners are in a territory, whether it be California or another state, have good market share and high-quality flower, then we would be very open to having a conversation.

Aaron: That’s the end of the interview — thanks Mike!

Filed Under: Cannabis News

Minnesota Lawmaker to Reintroduce Cannabis Legalization Bill

January 6, 2021 by CBD OIL

A years-long dispute over a cannabis cultivation license is headed to the Illinois Supreme Court as Curative Health Cultivation LLC and Medponics Illinois LLC battle over a license to grow cannabis for the state’s medical and adult-use markets, according to an NBC Chicago report.

Curative, which is based in Aurora, Ill., and owned by multistate cannabis operator Columbia Care, won the cultivation license in 2015, lost it following a dispute in a lower court and ultimately won it back on appeal, NBC Chicago reported.

Medponics wants to establish operations in Zion, Ill., and has been backed by the city in its bid for the license, according to the news outlet.

The license could potentially be worth $100 million, NBC Chicago reported, and the arguments in the case focus on the vetting process used to issue the initial cultivation licenses in 2015.

Medponics has argued that although Curative received the highest score on its application, it should have been disqualified because its operations would be too close to a residential area, according to NBC Chicago.

In lower court, Judge Michael Fusz sided with Medponics in a 2017 lawsuit, ruling that the state did not properly apply state law when awarding the license to Curative, the news outlet reported. However, Fusz also said in his ruling that the license should not necessarily go to Medponics, which received the fifth highest score on its application.

Fusz’s ruling was partially overturned when an appeals court later ruled that the zoning issue was more complicated than the lower court found, and the license was reinstated with Curative, NBC Chicago reported.

The Illinois Supreme Court is now expected to take up the case in early 2021.

Filed Under: Cannabis News

New York Governor Again Calls for Cannabis Legalization

January 6, 2021 by CBD OIL

A years-long dispute over a cannabis cultivation license is headed to the Illinois Supreme Court as Curative Health Cultivation LLC and Medponics Illinois LLC battle over a license to grow cannabis for the state’s medical and adult-use markets, according to an NBC Chicago report.

Curative, which is based in Aurora, Ill., and owned by multistate cannabis operator Columbia Care, won the cultivation license in 2015, lost it following a dispute in a lower court and ultimately won it back on appeal, NBC Chicago reported.

Medponics wants to establish operations in Zion, Ill., and has been backed by the city in its bid for the license, according to the news outlet.

The license could potentially be worth $100 million, NBC Chicago reported, and the arguments in the case focus on the vetting process used to issue the initial cultivation licenses in 2015.

Medponics has argued that although Curative received the highest score on its application, it should have been disqualified because its operations would be too close to a residential area, according to NBC Chicago.

In lower court, Judge Michael Fusz sided with Medponics in a 2017 lawsuit, ruling that the state did not properly apply state law when awarding the license to Curative, the news outlet reported. However, Fusz also said in his ruling that the license should not necessarily go to Medponics, which received the fifth highest score on its application.

Fusz’s ruling was partially overturned when an appeals court later ruled that the zoning issue was more complicated than the lower court found, and the license was reinstated with Curative, NBC Chicago reported.

The Illinois Supreme Court is now expected to take up the case in early 2021.

Filed Under: Cannabis News

Flowr and Hawthorne Canada Jointly Announce the Completion of Cannabis Research and Development Facility

January 6, 2021 by CBD OIL

TORONTO and PORT WASHINGTON, N.Y., Jan. 05, 2021 (GLOBE NEWSWIRE) — PRESS RELEASE — North America’s first research and development facility dedicated to advancing cannabis cultivation techniques and systems has been completed by The Flowr Corporation and Hawthorne Canada Limited. Hawthorne is a subsidiary of the Hawthorne Gardening Company division of The Scotts Miracle-Gro Company. Scotts Miracle-Gro is a marketer of branded consumer lawn and garden products and indoor growing solutions. Flowr cultivates and sells premium cannabis to medical and adult-use markets in Canada, Europe and Australia.

Located on Flowr’s cultivation campus in Kelowna, British Columbia, Canada, the R&D Center includes laboratories, indoor grow suites and training areas in a single building. Flowr will test cultivation systems and techniques using Hawthorne’s lighting, fertilization and irrigation systems, growing mediums, and research protocols. In addition, Flowr intends to focus its own research on cannabis genetics and integrated growing systems in line with its goal of delivering premium quality cannabis products through highly efficient cultivation.

“We built Hawthorne to help cultivators of all sizes grow quality plants with high levels of efficiency and consistency. Completing the industry’s only dedicated R&D facility gives us a distinct advantage. We will leverage Flowr’s cultivation expertise and our technical capabilities into real world testing and results that will make a difference to growers,” said Chris Hagedorn, SVP & General Manager of Hawthorne Gardening. “We are proud of this collaboration with Flowr, a leading international cannabis company, with extensive growing experience indoors, in greenhouses and at-scale outdoors. Flowr is also one of a few companies that have had experience growing diverse genetics in different countries. We believe this experience will benefit our companies and the growers we serve.”

“The completion of the R&D Center brings our work with Hawthorne fully to life and will help keep both companies on the leading edge of cannabis cultivation for years to come,” commented Lance Emanuel, President and Interim Chief Executive Officer of Flowr. “Operationalizing the R&D Center is a major accomplishment for our organization and strengthens our competitive advantage in cultivation. We believe the long-term success of Flowr will be rooted in our ability to maximize the cannabinoid and terpene expression of genetics without sacrificing yield. The work we will do at the R&D Center will help us build upon the success we’ve had producing high quality, premium cannabis like our award-winning, flagship-strain BC Pink Kush beloved by budtenders and consumers throughout Canada. Leveraging our work at the R&D Center will be imperative to our eventual entry into the United States once federally permissible by law.”

The R&D Center is the centerpiece of a strategic R&D partnership formed by Flowr and Hawthorne in March 2018. It brings two of the world’s leading experts together to be at the forefront of cannabis cultivation. The operations will be led by Dr. Deron Caplan, the first person in North America to earn a PhD focused on cannabis cultivation and production. Caplan was awarded his doctorate by the University of Guelph in August 2018 and is Flowr’s Director of Research and Development. The R&D Center will be staffed by Flowr’s scientists, five of whom have PhDs in various plant biology, plant genetics and plant biochemistry disciplines. Hawthorne R&D will lead the research design and methodology.

All requisite licensing from Health Canada has been obtained by Flowr and the expectation is that the R&D Center will be operating at full capacity in Spring 2021. Research has already begun conducting growing trials at scale using Hawthorne products.

Filed Under: Cannabis News

New Jersey Lawmakers Propose Fines for Underage Cannabis Use in Adult-Use Legalization Bill

January 6, 2021 by CBD OIL

A years-long dispute over a cannabis cultivation license is headed to the Illinois Supreme Court as Curative Health Cultivation LLC and Medponics Illinois LLC battle over a license to grow cannabis for the state’s medical and adult-use markets, according to an NBC Chicago report.

Curative, which is based in Aurora, Ill., and owned by multistate cannabis operator Columbia Care, won the cultivation license in 2015, lost it following a dispute in a lower court and ultimately won it back on appeal, NBC Chicago reported.

Medponics wants to establish operations in Zion, Ill., and has been backed by the city in its bid for the license, according to the news outlet.

The license could potentially be worth $100 million, NBC Chicago reported, and the arguments in the case focus on the vetting process used to issue the initial cultivation licenses in 2015.

Medponics has argued that although Curative received the highest score on its application, it should have been disqualified because its operations would be too close to a residential area, according to NBC Chicago.

In lower court, Judge Michael Fusz sided with Medponics in a 2017 lawsuit, ruling that the state did not properly apply state law when awarding the license to Curative, the news outlet reported. However, Fusz also said in his ruling that the license should not necessarily go to Medponics, which received the fifth highest score on its application.

Fusz’s ruling was partially overturned when an appeals court later ruled that the zoning issue was more complicated than the lower court found, and the license was reinstated with Curative, NBC Chicago reported.

The Illinois Supreme Court is now expected to take up the case in early 2021.

Filed Under: Cannabis News

A Man’s Brush with the Law: A Journey for Legal Cannabis Therapy

January 6, 2021 by CBD OIL

Earl Carruthers wasn’t always as passionate about cannabis, as he is now. Only after a successful college football career, a debilitating injury, a high-ranking position at JP Morgan, the reading of a new book, and a historic brush with the law, did he become the man, he is today.

Carruthers, now, is putting his time, invaluable knowledge, and resources into fighting the good fight against the stigmas of legal cannabis therapy. One step at a time…

Like most people who turn to the use of medical marijuana, an injury offset Earl’s path into cannabis therapy. While playing high school and college football, he endured a pelvic fracture and turned to natural alternatives versus pain medications and opioids. Hence, where his passion for cannabis arose.

After taking an 8-week crash course on all the in’s and out’s of how cannabis is medically beneficial for a wide range of ailments – Earl knew what he had to do. He took his entrepreneurial spirit that was nurtured with a degree in Finance and set forth into the growing medical marijuana business once legalized in his home state of Michigan in 2008.

It’d be nice if we told you that Carruther’s journey was smooth sailing from there. But, as stigmas still surrounded the use of cannabis it’s the eyes of the law that caused his first bump in the road. After a journey through the courts to prove his innocence and rights, Earl was pivotal in Michigan’s legislation concerning what ‘usable marijuana’ truly meant.

Notoriously termed ‘the brownie case’, Earl saw first hand what can happen when ‘legal-ish’ rights are threatened by those in power. His legitimate business Green Greener Grow was then entrapped in a raid, causing more legal issues to arise and even more stigmas to break. This ongoing fight not only took his first successful cannabis business out from under him, but fueled his fire to preach on legalities every conscious cannabis consumer should know.

Building from the ground up again brings us to the step that turned Earl into the face of an advocate. More than just being your average cannabis business owner, Earl’s history of cannabis is entrenched in the ‘grey areas’ that still remain and that he seemingly thrives in. So Carruthers has taken his lifelong path of building passion, back to his roots of what he does best – helping others.

Now, Earl’s journey is centered on spreading the good word, building a collective of like-minded consumers to more strongly ‘fight the good fight’. That includes educating and empowering those around him, to the truths behind cannabis use, legalities and successfully growing in the emerging industry.

To Carruthers, it’s not about competition or ‘giving away’ professional secrets – it’s all about elevating conscious craft cannabis for natural therapy. His hope is that over time, the fight for higher education and advocacy helps to banish stigmas that still remain for the beneficial and peaceful plant.

With the combined passion for helping others and the unique path that Earl’s endured, it’s no surprise the journey is only onward from here. From tackling social injustices to formulating ways his business can elevate cannabis therapy for conscious consumers, the good fight continues for Carruthers.

The Homegrown Weed Summit is just the next step on his path for using his past to improve the future for others. Carruthers developed this one-of-a-kind virtual event designed for the canna-curious, to the fellow canna-advocate who can benefit from cultivating their own craft crops (legally, of course).

Unlike most top executives working for their own personal gain, or those jumping into the cannabis industry for its now soaring growth, for Carruthers, this is personal. More important than Rolling Stone Magazine highlighting Earl’s spirit, it’s his close friends, family, and associates that know him best. And, as his good friends will tell you, “He’s committed to fighting the good fight. He’s definitely a trailblazer doing great things for the cannabis industry and community.”

So join Earl on his blaze of redemption for the legal right to blaze freely. Take part in the upcoming Homegrown Weed Summit, or see how else you can partner with his many consumer-forward cannabis ventures.

Original Article: https://www.cannabistherapynetwork.org/personal-journey-for-legal-cannabis/

Filed Under: CBD Health

MJardin Enters into Supply Agreement for Cannabis Product with the BC Liquor Distribution Branch

January 6, 2021 by CBD OIL

A years-long dispute over a cannabis cultivation license is headed to the Illinois Supreme Court as Curative Health Cultivation LLC and Medponics Illinois LLC battle over a license to grow cannabis for the state’s medical and adult-use markets, according to an NBC Chicago report.

Curative, which is based in Aurora, Ill., and owned by multistate cannabis operator Columbia Care, won the cultivation license in 2015, lost it following a dispute in a lower court and ultimately won it back on appeal, NBC Chicago reported.

Medponics wants to establish operations in Zion, Ill., and has been backed by the city in its bid for the license, according to the news outlet.

The license could potentially be worth $100 million, NBC Chicago reported, and the arguments in the case focus on the vetting process used to issue the initial cultivation licenses in 2015.

Medponics has argued that although Curative received the highest score on its application, it should have been disqualified because its operations would be too close to a residential area, according to NBC Chicago.

In lower court, Judge Michael Fusz sided with Medponics in a 2017 lawsuit, ruling that the state did not properly apply state law when awarding the license to Curative, the news outlet reported. However, Fusz also said in his ruling that the license should not necessarily go to Medponics, which received the fifth highest score on its application.

Fusz’s ruling was partially overturned when an appeals court later ruled that the zoning issue was more complicated than the lower court found, and the license was reinstated with Curative, NBC Chicago reported.

The Illinois Supreme Court is now expected to take up the case in early 2021.

Filed Under: Cannabis News

The Hidden Costs of Non-Compliance for Consumers

January 6, 2021 by CBD OIL

Anyone owning and operating a cannabis business should know the value of proactive compliance management to operate successfully. For consumers, the view into the world “behind the budtending counter” is limited to the cool looking packaging, test results and the overall “vibe” of products they may want to try.

In our experience, as the oldest cannabis compliance firm, we’ve audited and visited hundreds of facilities and have seen the proverbial “Wizard behind the curtain”. We know “how the sausage is made.” And, as one can expect, it’s not always as glamorous in the back of the house as it appears on the shelf.

As markets expand and people buy into existing or new cannabis businesses, amid a world of thousands of competing companies and products, consumers need to ask themselves: “What do I know about the companies and products I consume?”

More and more, the question of consistent quality keeps coming up in the cannabis industry. Recalls are still ongoing in the news as products continually fail testing for potency and contamination.

Colorado, for example, is considered the shining jewel of the US industry in terms of experience, quality and integrity. However, consumers may be shocked to learn that a majority of dispensaries in the state do not operate by stringent SOPs, nor do they verify packaging and labeling for compliance, or review test results of products coming in and going out of their shops.

Starting January 1, 2021, these retailers finally have to develop and implement recall procedures in the event of contaminated products or cannabis that is causing adverse side effects. Later this year, vape pens will finally have their vapor tested instead of just the concentrate therein.

These liabilities or lack of compliance infrastructure may very well be a ticking time bomb no consumer in their right mind would want to deal with.

Bad Product/Brand Experience

Non-compliance and inconsistency on the part of operators translates directly into negative experiences for consumers. Whether its consuming a product that tastes like chlorophyll or enjoying a product the first time only to find a completely different experience the next time around, consumers experience the cost of non-compliance the most.

Beyond products, most consumers recognize their brand experience when shopping for products. Since the invention of Weedmaps, customers have always expressed their like or dislike for particular dispensaries and delivery services. Operators know these reviews from a customer’s experience can make or break their business and brand.

We always tell cannabis operators that a brand is a double-edged sword. As easily as it can strike through competitors, it can just as easily damage one’s own business.

Examples include SweetLeaf and Kushy Punch whose brands, once well-known and popular, are now synonymous with the worst of the worst given their histories of non-compliance and shut downs.

For consumers, finding consistent, quality products at a fair price is often the most important consideration to avoid the cost of a bad experience with cannabis. For visitors or first-time consumers, this could mean the difference between trying cannabis again or deciding it’s simply not for them.

Contamination & Illness

control the room environment
Preventing contamination can save a business from extremely costly recalls.

The worst-case scenario for consumers, especially patients, is the cost of consuming contaminated products or otherwise having adverse effects from the use of cannabis. While cannabis itself is one of the least harmful substances known to man, contaminated cannabis can be dangerous or deadly.

In the early days of the industry and in many emerging markets with poor to no oversight, these lessons are learned most severely. From the use of non-commercial washing machines being used for water-based extracts that tested positive for E. coli to recalled products ladened with Eagle 20 (which contains the harmful pesticide known as Myclobutanil), the industry has been reactive to safety measures and complying with best practices.

Still, some states persist with limited to no testing and simply label products with a warning to consumers that they are using cannabis at their own risk without testing for safety or efficacy.

Most consumers may be shocked to know that most cannabis companies do not adhere to good agricultural practices or good manufacturing practices (GAP/GMP) to ensure consistent quality and safety standards in similar industries such as nutraceuticals and food manufacturing.

Patients already weakened by disease states – including auto-immune disorders – are most at risk and understand all too well the costs of hospitalization, medical bills and loss of quality of life. For the average adult user, these risks are the same and there is often little to no recourse with the dispensary or product manufacturers if the product slips through contamination testing because of the non-compliance of product validation on flower or infused products.

For companies, outdated and inaccurate SOPs as well as production batches are the only line of defense to protect the company from product liability lawsuits filed by consumers in the event of contamination and illness. Most cannabis companies do not manage this aspect of their business effectively and simply assume they are sufficiently compliant without proactively measuring such compliance and adjusting operations as necessary.

Long-Term Consequences

Consumers would do well to remember that the modern industry is infantile in its development compared to other heavily regulated industries. Cannabis companies are babies learning to crawl while major food and beverage, pharmaceutical and nutraceutical, and alcohol and tobacco industries are far ahead of the game. The US industry, is arguably, already behind the compliance curve comparative to other nations already placing stricter regulations and standards on licensees.

For customers, this can be a confusing experience given that no two batches of flowers will taste the same let alone give a consumer exactly the same effect.

Already, customers are learning Sativa and Indica are imaginary cultural terms to describe generalized characteristics of major and minor cannabinoids and terpenes in each strain which produces a variety of effects – despite state limitations on labeling these active ingredients.

Vape pens are under increasing scrutiny as regulators discover long-term effects of vape use from the tobacco industry causing EVALI in consumers and being deemed as dangerous. As with anything new, the data and science simply aren’t there to truly tell customers what the effects may be over the long run. It has taken decades for tobacco, as an example, to go from doctor-recommended to carcinogenic.

Consistency in quality standards requires meticulous SOPs

Similarly, Big Cannabis of the future may be facing similar concerns that aren’t being warned about currently on their products and consumers could face unknown long-term consequences. In no way is this a condemnation of cannabis and early research shows cannabis is much safer than either alcohol or tobacco.

The point is to emphasize that over the long run, compliance is key to tracking the consistency and safety of products to avoid long-term liability and costs on consumers. Consumers would be wise to gravitate towards compliant brands and companies that focus on consistent quality and safety to minimize potential long-term negative impacts and costs.

Accountability & Transparency

Customers must first understand where the buck stops and who is responsible for what as it applies to cannabis and the cannabis products they consume. This can vary between states from vertically integrated models to horizontal models which allow for independent businesses to buy and sell cannabis between each other.

In the case of cannabis, the restrictions on METRC and other state “seed to sale” tracking systems make it nearly impossible for customers to return products and unclear on how to file complaints.

METRC and other seed to sale systems dictate that dispensaries must be able to track originating sources of cannabis back to another licensed facility. As such, once the consumer buys a faulty vape pen, for example, it’s gone from the dispensary inventory. Bringing it back in physically creates non-compliance issues for the dispensary as they cannot virtually account for the physical addition back into inventory.

No one ever said making sausage was a pretty or easy process. That’s why most consumers don’t want to think about how it’s done.

This example is a simple one to showcase the importance of compliance in the cannabis business and the complexities businesses must go through to operate. What is more applicable and important for consumers to understand is how non-compliance and inconsistency can affect them negatively – beyond messy fingers from leaky vape carts.

extraction equipment
Consumers should ask cannabis companies about their product quality standards

These types of unexpected issues represent significant costs for cannabis operators in recalls, fines, lawsuits and fees which is what most people think the “costs of non-compliance” mean.

However, and in addition to the literal cost mandated by regulation, there are the costs owners don’t think about: in the time and fees charged by the professionals to solve these issues, the time and stress spent on production, the increase or decrease in supply, mitigating product liability, and brand recognition and damage due to poor quality or recalls.

All of these factors simply drive up the costs of products for consumers and decrease the reliability of finding consistent, quality products and brands that customers can count on.

As we always say at iComply:

“It is always more cost-effective to be proactive, rather than reactive, when it comes to operational cannabis compliance management.”

Consumers would be wise to recognize which companies are proactive in managing their compliance. And companies would be wise to get ahead of these customer costs by being the proactively compliant companies that consumers want and need.

Filed Under: Cannabis News

Dispute Over Cannabis Cultivation License Heads to Illinois Supreme Court

January 5, 2021 by CBD OIL

A years-long dispute over a cannabis cultivation license is headed to the Illinois Supreme Court as Curative Health Cultivation LLC and Medponics Illinois LLC battle over a license to grow cannabis for the state’s medical and adult-use markets, according to an NBC Chicago report.

Curative, which is based in Aurora, Ill., and owned by multistate cannabis operator Columbia Care, won the cultivation license in 2015, lost it following a dispute in a lower court and ultimately won it back on appeal, NBC Chicago reported.

Medponics wants to establish operations in Zion, Ill., and has been backed by the city in its bid for the license, according to the news outlet.

The license could potentially be worth $100 million, NBC Chicago reported, and the arguments in the case focus on the vetting process used to issue the initial cultivation licenses in 2015.

Medponics has argued that although Curative received the highest score on its application, it should have been disqualified because its operations would be too close to a residential area, according to NBC Chicago.

In lower court, Judge Michael Fusz sided with Medponics in a 2017 lawsuit, ruling that the state did not properly apply state law when awarding the license to Curative, the news outlet reported. However, Fusz also said in his ruling that the license should not necessarily go to Medponics, which received the fifth highest score on its application.

Fusz’s ruling was partially overturned when an appeals court later ruled that the zoning issue was more complicated than the lower court found, and the license was reinstated with Curative, NBC Chicago reported.

The Illinois Supreme Court is now expected to take up the case in early 2021.

Filed Under: Cannabis News

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