In a webinar put on by OLCC personnel for the Oregon State Bar’s Cannabis Law section, OLCC personnel discussed the emerging issue of Delta-8 THC. While the discussion focused primarily on the unregulated nature of products containing Delta-8, primarily because it is derived from federally-legal hemp products, OLCC took the position that its current rules prohibit the manufacturing of Delta-8 THC by OLCC-licensed processors.
In the relevant slide, the OLCC clarified that its prohibition applies only to the OLCC’s regulated adult use market, and referenced OAR 854-025-3220(3), which provides as follows:
(3) A processor may not treat or otherwise adulterate a cannabinoid product, concentrate or extract with any additive or substance that would increase potency, toxicity or addictive potential, or that would create an unsafe combination with other psychoactive substances. Prohibited additives or substances include but are not limited to nicotine, caffeine, polyethylene glycol, or any chemicals that increase carcinogenicity or cardiac effects.
OLCC went on to state that “Treating CBD with a catalyst to convert it to THC increases the potency, so it is prohibited under OAR 845-025-3220(3).”
WHAT THIS MEANS
This determination is limited to current processor licensees, including particularly those who hold an industrial hemp endorsement or otherwise process high-CBD content material. If you are an OLCC-licensed processor who has experimented with converting CBD material to Delta-8 THC, it will be important to contact an experienced attorney to determine whether OLCC’s position is legally correct and, if so, whether you have any defenses or could implement mitigating procedures to ensure that your business is not adversely impacted by enforcement investigations or proceedings.
You can contact Kevin Jacoby at firstname.lastname@example.org or 503-488-5424.