NJ’s CleanUp Bill Addresses Legalization/Decriminalization Legislation

On election day, November 3, 2020, New Jersey citizens overwhelmingly voted to legalize cannabis for adults 21+ via a public ballot question. The vote resulted in a Constitutional amendment which means the State of New Jersey recognizes and will regulate cannabis as a legalized substance. In order to effectuate the amendment though, the State was required to pass enabling legislation. Shortly after the vote, the Senate and Assembly introduced a legalization bill (S21/A21) along with a decriminalization bill (S2535/A1897). There were discrepancies between both bills and concerns were voiced as the bills did not adequately address penalties associated with underage use/possession. Governor Murphy made it clear that he would not sign the legalization or decriminalization bill into law unless there was some sort of clean up. Finally, the Legislature was able to agree upon the Senate version of a cleanup bill (S3454) which created a warning system for underage individuals who were caught with cannabis. The cleanup bill made it clear that there would be no formal court process, but rather parents would receive notification if a minor was caught and a warning would be issued. It wasn’t until February 22, 2021 that Governor Murphy signed all of the bills into law making it official that cannabis was legal. Keep in mind that between November 3, 2020 and February 22, 2021, the arrests did not stop.

Here is a quick breakdown of what the legalization and decriminalization bills actually mean:

Legalization: it is legal for anyone over the age of 21 to buy cannabis, and the Cannabis Regulatory Commission (CRC) is the new agency in charge set to create the rules and regulations to govern the new industry. The CRC takes over duties from the Department of Health and will also be responsible for the medical cannabis program that’s already in place. The Legalization bill allows for microlicenses and sets a goal of at least 30% of licenses to be awarded to women, minority and disabled veteran’s. The bill creates a social equity excise fee and has a plan for invest tax revenue into communities that were harmed by the failed war on drugs.

The bill also sets forth the main categories of licenses: • Grower • Processor • Wholesaler • Distributor • Retailer • Delivery

Decriminalization: individuals will no longer be arrested or face penalties for possession of less than 6 ounces of cannabis or 17 grams of hashish. For those who are caught with an amount over the legal limit, they will be issued a complaint, but cannot be arrested, detained or taken into custody. Most importantly, the smell alone of cannabis or burnt cannabis cannot be used to justify a stop and search - for adults and minors. For anyone with a pending cannabis charge, the State has until July 1, 2021 to take the necessary steps to dismiss the charge. Cannabis related records will also be expunged by the Administrative Office of the Courts, and the deadline for that is also July 1, 2021. There is so much more that has happened behind the scenes and through the legislation, but that’s all for now! Stay safe and Blaze Responsibly!

Chirali Patel, Esq. is the Founder of Blaze Responsibly™ and Managing Partner and Chief Compliance Officer of Digital Venture Partners. 

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