Medical Marijuana Compliance Review
One of the challenges facing medical marijuana business owners is knowing if their business complies with the Michigan Medical Marijuana Act (MMMA), the Medical Marijuana Facilities Licensing Act (MMFLA), Department of Licensing and Regulatory Affairs (LARA) restrictions and regulations. It’s an evolving industry, and it’s important to protect your business.
A medical marijuana compliance review will tell you whether or not your business complies with the applicable laws, and if not, what steps you need to take next.
Caregivers Michigan Medical Marihuana Act (“MMMA”)
A medical marijuana caregiver is someone who assists qualified marijuana patients in obtaining marijuana treatments. They can legally supply patients with medical marijuana. In order to supply them with marijuana, they can grow up to 12 plants for each of their patients, with a maximum of 5 registered patients. If they have 5 patients and are a marijuana patient themselves, they can grow up to 72 plants of marijuana. A plant is defined as a “plant that has produced cotyledons or a cutting of a marihuana plant that has produced cotyledons.” Since there’s no mention of soil, a cut plant is still included in the total number allowable until it has fully dried.
The plants must be grown in a separate, enclosed and locked facility, only accessible to the caregiver. There should only be one key, which must be purposefully kept from others, and if the facility is locked with a keyless system, only one person can have the password, which must be frequently changed. For medical marijauna caregivers, the rules are strictly enforced.
CBD and Hemp Lawyers
CBD and hemp are two different things, but they are often confused. CBD is a compound found in the cannabis plant, and hemp is the industrial use of the cannabis sativa plant. Both CBD and hemp are legal in Michigan, but there are restrictions on how they can be sold.
CBD can be sold as a dietary supplement, but it cannot be sold as a food or drug. It can only be sold in stores that sell dietary supplements, and it must be labeled as a dietary supplement.
Hemp can be used for a variety of industrial purposes, including making rope, paper, and clothing. It can also be used to make CBD oil. Hemp cannot be sold as a food or drug, and it can only be sold in stores that sell industrial hemp products.
If you are selling CBD or hemp products in Michigan, it’s important to know the laws and make sure your business is compliant. It’s a highly regulated industry, and it’s a priority for any business to make sure they are in compliance with all applicable laws. A CBD and hemp lawyer can help you with this.
MMFLA and MRTMA Licensing
The Michigan Medical Marijuana Facilities Licensing Act (MMFLA) and the Michigan Regulation and Taxation of Marihuana Act (MRTMA) provide for the licensing of medical marijuana businesses in Michigan. The MMFLA licenses medical marijuana dispensaries, growers, processors, and transporters. The MRTMA licenses recreational marijuana businesses.
If you are operating a medical or recreational marijuana business in Michigan, it’s required to have a license issued by the state of Michigan and the municipality you are operating in. A marijuana lawyer can help you with the licensing process.
The MMFLA and MRTMA also impose strict regulations on marijuana businesses. If you are not in compliance with these regulations, your business could be subject to fines, penalties, and even closure. A marijuana lawyer can help you make sure your business is in compliance with all applicable laws.
If you’re looking to start a marijuana cultivation business, you’ll need an appropriate Grower license. A Grower license in Michigan allows you lo legally engage in the following activities:
- Selling marijuana plants, seeds, clones, or seedlings to other licensed Growers;
- Selling marijuana flowers to licensed Processors and Provisioning Centers/Retailers; and
- Selling leftover marijuana biomass to licensed Processors.
There are three types of Grower licenses, which are distinguished by a Medical or Recreational License:
Class A – 500 plants Class A – 100 plants
Class B – 1,000 plants Class B – 1,000 plants
Class C – 1,500 plants Class C – 2,000 plants
If you’re considering producing marijuana infused products, such as edibles, topicals, and vape cartridges to name a few, you’ll need a Processor license, which authorizes you to sell marijuana infused products to other processors and provisioning centers/ retailers.
Processors need to be mindful of the potency limits for marijuana infused products dictated by The Marijuana Regulatory Agency, both in the medical and the recreation market.
Retailer/ Provisioning Center
According to Michigan Law, marijuana dispensaries and retailers must have a valid license in order to sell marijuana to people over the age of 21. A Provisioning Center license (also called a Retailer license) allows you to sell marijuana and marijuana products to qualified patients and adult-use customers.
In order for Dispensaries, Processors, and Growers to transport their inventory, they need a Secure Transporter, and to transport any products related to the cannabis industry, you need a Secure Transporter license. In order to qualify for this license, there are many regulations to comply with. For instance, a secure transporter cannot be involved with any other aspect of the industry, all products must be secure and inaccessible during transport, shipments must be tracked, and products must be delivered within 48 hours (there may be exceptions). There are many other regulations involved with this aspect of the cannabis industry, so it’s helpful to work with a lawyer to make sure you comply with all applicable laws and regulations.
Safety Compliance Facility
These are testing laboratories for marijuana and marijuana infused products to ensure that marijuana products comply with state regulations. This activity requires a license, which allows you to test cannabis products for safety and compliance with state regulations. There are many regulations involved with this aspect of the cannabis industry, so it’s helpful to work with a lawyer to make sure you comply with all applicable laws and regulations.
This is a business that includes all of the following:
- Cultivation (no more than 150 plants)
- Retailing on-site
If you’re interested in starting a microbusiness, you’ll need to apply for a microbusiness license. To qualify, you’ll need to comply with all applicable LARA (Michigan Department of Licensing and Regulatory Affairs) regulations as well as make sure that your desired municipality allows marijuana micro businesses.
Designated Consumption Establishment
A designated consumption establishment is a business that allows on-site consumption of marijuana for people over 21, but does not allow the sale of marijuana. In order to apply for this license, you’ll need to comply with all LARA and local municipality regulations.
The post-license inspection is conducted by the MRA licensing division to ensure compliance with the rules and regulations of the Marijuana Regulatory Agency. The inspector will review your facility, documentation, and operations. If everything is in order, you will be issued a license. If there are any non-compliances, you will be given a list of items that need to be corrected in order for your license to be issued.
Excess Marijuana Grower
An excess marijuana grower is a person who is authorized to cultivate more than the allowed number of marijuana plants under a Grower license. In order to qualify for this license, you must be at least 21 years old and a resident of Michigan. You will also need to hold five Grower class C licenses under the MRTMA and at least two Grower class C licenses under the MMFLA.
Marijuana Event Organizer
A marijuana event organizer is a person who is authorized to organize and oversee a marijuana-related event. This could be, for example, a trade show or a festival. You may also need to consider a Temporary Marijuana Event license.
Temporary Marijuana Event
If you plan to allow people to consume and/or purchase marijuana at a location for a limited time, you’ll need a Temporary Marijuana Event license. This license will allow marijuana retailers and micro businesses to serve as vendors during an event.
Cannabis Regulations – MICHIGAN
The Michigan Regulation and Taxation of Marihuana Act (MRTMA) legalizes and regulates the use, possession, cultivation, processing, transport, and sale of marihuana for adults 21 years of age and older. The act also imposes a tax on marihuana sold or otherwise transferred in the state.
The MRTMA prohibits several activities, including the following:
- Selling or giving away marihuana to anyone under 21 years of age
- Using marihuana in a public place
- Operating a vehicle while under the influence of marihuana
Failure to comply with all state laws regarding cannabis will result in civil and criminal litigation, and if you’re in this position you may need a lawyer. These infractions may be:
- possession or consumption of marijuana in public
- minors in possession of marijuana
- operating a motor vehicle while under the influence of marijuana
If you are charged with a cannabis-related crime, you will need a criminal defense lawyer. Some possible criminal charges relating to marijuana are:
- possession of marijuana with intent to sell or deliver
- unlicensed sale of marijuana
- unlicensed transportation of marijuana
- unlicensed manufacturing of marijuana products
Copyright and Trademark
You will need to consult an attorney to obtain a copyright or trademark for your cannabis-related business, as well as to obtain intellectual property protection for your cannabis-related business.
You will need to consult an attorney to establish an asset protection plan for your cannabis-related business. This is especially important if you are involved in the cultivation, manufacture, or sale of cannabis.
Cannabis Bankruptcy Protection
To determine if your cannabis-related business is eligible for bankruptcy protection, You will need to consult an attorney. If it’s not, you need to be aware of what other options you may have if bankruptcy becomes an issue.
Cannabis Real Estate
It would also be helpful to consult an attorney to navigate the complexities of cannabis-related real estate transactions, as there are many intricate legalities involved.
Green Zone Properties in Michigan
There are no zoning regulations in Michigan that specifically apply to cannabis businesses. However, local municipalities may adopt ordinances that regulate where cannabis businesses can locate. A Green Zone is an area within a municipality that allows for any marijuana business license types.
If you have or are thinking of starting a business that relates to any part of the cannabis industry, it’s a good idea to consult with an attorney who can ensure that you follow the right steps and comply with all applicable laws and regulations. With an evolving and highly regulated industry, it’s best to have help from a professional.