Updates On Federal Cannabis Legislation

Since 1970, the Controlled Substances Act has classified cannabis as a schedule I drug. This classification means the federal government considers cannabis to have no medicinal value and a high potential for addiction and abuse. Schedule I classification subjects cannabis consumers and businesses to potential civil and criminal penalties, as well as the risk of asset forfeiture under federal law. Although the current Attorney General, Merrick Garland, has stated that the federal government will not commit resources to those complying with local cannabis policies, most banks are still unwilling to deal with cannabis-related businesses. This makes it difficult for business owners to obtain financing and forces them to seek non-bank financing at higher interest rates and to raise money through private investors. Credit card companies are also unwilling to allow their cards to be used for cannabis purchases, which has resulted in cannabis related businesses being forced