
Daniel T. McKillop
Partner
201-896-7115 dmckillop@sh-law.comFirm Insights
Author: Daniel T. McKillop
Date: July 10, 2018
Partner
201-896-7115 dmckillop@sh-law.comProponents of legalizing adult-use marijuana in New Jersey are hopeful that two recently introduced cannabis bills will help reignite momentum. Senate Bill 2702, proposed by Senator Nicholas Scutari and Senate President Stephen Sweeney, combines the expansion of the state’s medical marijuana program with the legalization and establishment of an adult-use market. Meanwhile, Senate Bill 2703 would legalize the possession and personal use of up to an ounce of marijuana for individuals 21 and over.
SB2703 legalizes possession and personal use of marijuana for persons age 21 and over. Specifically, a person may possess, use, purchase, or transport: marijuana paraphernalia; one ounce or less of marijuana; 16 ounces or less of marijuana-infused product in solid form; 72 ounces or less in liquid form; 7 grams or less of marijuana concentrate; and up to 6 immature marijuana plants.
The proposed legislation also establishes a new Division of Marijuana Enforcement (Division) to oversee the legal industry. Notably, the Division would be located in the Department of Treasury rather than the Department of the Attorney General. The new Division would be tasked with drafting cannabis regulations, which would include the following: procedures for the application, issuance, denial, renewal, suspension, and revocation of a license to operate a marijuana establishment; license application fees; licensing goals; security requirements for marijuana establishments; requirements to prevent the sale or diversion of marijuana and marijuana products to underage persons; labeling and packaging requirements; health and safety regulations and standards for the manufacture and sale of marijuana products; advertisement restrictions; recordkeeping requirements; and civil penalties for the failure to comply with the regulations.
Below are several other key provisions of the bill:
Senate Bill 2702 contains all of the provisions of Senate Bill 2703 and also includes measures to expand the State’s existing medical marijuana program. Below are several proposed changes:
The bill establishes specific requirements for DOH to review and score initial permit applications for new medical marijuana cultivators, medical marijuana processors, and medical marijuana dispensaries based on a 100-point scale, which includes evaluations of the applicant’s operational plan, environmental impact plan, safety and security plan, business experience, proposed location, record of social responsibility, philanthropy, involvement in research concerning the medical efficacy and adverse effects of medical marijuana, workforce development and job creation plan, and business and financial plan. The maximum fee for initial issuance or renewal of an ATC permit will be $50,000 for a medical marijuana cultivator, $25,000 for a medical marijuana processor, and $10,000 for a medical marijuana dispensary. Additionally, the maximum fee for relocation of an ATC will be $20,000 and the maximum fee to sell or transfer an ATC permit will be $150,000.
If an employer has a drug testing policy and an employee or job applicant tests positive for marijuana, the employee or job applicant is to be offered an opportunity to present a legitimate medical explanation for the positive test result, such as a practitioner’s recommendation for medical marijuana, a registry identification card, or both, or request a retest of the original sample at the employee’s or job applicant’s own expense. Nothing in the bill will restrict an employer’s ability to prohibit or take adverse employment action for the possession or use of intoxicating substances during work hours, require an employer to commit any act that would cause the employer to be in violation of federal law, or require the employer to take any action that would result in the loss of a federal contract or federal funding.
Given that the proposed bills are extremely complex, this article provides only a brief overview of several key provisions. We encourage cannabis businesses and those that are seeking to enter the emerging cannabis industry to contact an experienced attorney to discuss how the proposed measures may impact you. If you have any questions or if you would like to discuss the matter further, please contact me, Dan McKillop, at 201-806-3364.
This article is a part of a series pertaining to cannabis legalization in New Jersey and the United States at large. Prior articles in this series are below:
Disclaimer: Possession, use, distribution, and/or sale of cannabis is a Federal crime and is subject to related Federal policy. Legal advice provided by Scarinci Hollenbeck, LLC is designed to counsel clients regarding the validity, scope, meaning, and application of existing and/or proposed cannabis law. Scarinci Hollenbeck, LLC will not provide assistance in circumventing Federal or state cannabis law or policy, and advice provided by our office should not be construed as such.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Over the past year, brick-and-mortar stores have closed their doors at a record pace. Fluctuating consumer preferences, the rise of online shopping platforms, and ongoing economic uncertainty continue to put pressure on the retail industry. When a retailer seeks bankruptcy protection, a myriad of other businesses are often impacted. Whether you are a supplier, customer, […]
Author: Brian D. Spector
Since his inauguration two months ago, Donald Trump’s administration and the Congress it controls have indicated important upcoming policy changes. These changes will impact financial services policies and priorities. The changes will particularly affect cryptocurrency, as well as banking rules and regulations. Key Regulatory Changes in Cryptocurrency For example, in the burgeoning cryptocurrency business environment, […]
Author: Dan Brecher
The retail sector has experienced a wave of bankruptcy filings over the last year. Brick-and-mortar businesses in financial distress include big-name brands like Big Lots, Party City, The Container Store, and Vitamin Shoppe. When large retailers seek bankruptcy protection, they are not the only businesses impacted. Landlords can be particularly hard hit. While commercial landlords […]
Author: Brian D. Spector
The bankruptcy legal landscape presents both challenges and opportunities for businesses navigating financial distress. Understanding current bankruptcy trends can help businesses make more informed and strategic decisions. Corporate Bankruptcy Filings Trending Upwards Bankruptcy filings continued to trend upwards in 2024. According to statistics released by the Administrative Office of the U.S. Courts, personal and business […]
Author: Brian D. Spector
In December, the U.S. Securities and Exchange Commission (SEC) announced charges against two privately held companies for failing to file a Form D notice, which is generally utilized for exempt securities offerings. Here, the SEC’s enforcement sends a strong message: compliance with regulatory requirements is not optional and failure to comply can have significant consequences. […]
Author: Kenneth C. Oh
On February 14, 2025, the Office of General Counsel (OGC) of the National Labor Relations Board (NLRB) under Acting General Counsel William B. Cowen issued Memorandum 25-05, “New Process for More Efficient, Effective, Accessible and Transparent Case handling.” The Memorandum rescinds nearly all of the Memoranda issued by his direct predecessor, Jennifer Abruzzo, setting the […]
Author: Matthew F. Mimnaugh
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!