Like New Jersey, New York’s efforts to legalize cannabis were unable to cross the finish line earlier this year. While Gov. Cuomo now supports legalization and made it a centerpiece of his budget, the New York Legislature was unable to reach a consensus regarding cannabis regulation and taxation.
New York Law Decriminalizes Marijuana Use
The legislation (S.6579A/A.8420) reduces the penalty for unlawful possession of marijuana to a violation punishable by a fine and establishes a process for individuals who have been convicted for possessing small amounts of marijuana to have their records expunged. The bill will take effect 30 days after becoming law.
In signing the bill, Gov. Cuomo emphasized that the new law aims to address the racial injustice caused by the state’s current drug laws. “By providing individuals who have suffered the consequences of an unfair marijuana conviction with a path to have their records expunged and by reducing draconian penalties,” Cuomo stated in a press statement, “we are taking a critical step forward in addressing a broken and discriminatory criminal justice process.”
S.6579A/A.8420 eliminates the criminal penalties for possession of less than two ounces of marijuana. It also reduces the penalty for the possession of less than one ounce of marijuana to a $50 fine, regardless of criminal history. The maximum fine for the possession of between one and two ounces is $200, regardless of criminal history.
S.6579A/A.8420 also establishes a process for individuals with certain marijuana convictions to have their records expunged both retroactively and for future convictions. Notably, most prior convictions for marijuana possession of 25 grams or less will automatically be expunged. Marijuana will be added to the definition of smoking in the Public Health Law, which will ban smoking marijuana anywhere smoking tobacco is prohibited.
Federal Legislation to Decriminalize Marijuana
Sen. Kamala Harris and (D-Calif.) and House Judiciary Committee Chairman Jerrold Nadler (D-N.Y.) recently introduced a bill that would decriminalize marijuana and expunge previous convictions across the country. To decriminalize cannabis nationwide, the Marijuana Opportunity Reinvestment and Expungement Act would remove marijuana from the Controlled Substances Act. The change would apply retroactively to prior and pending convictions.
“Times have changed — marijuana should not be a crime. … We need to start regulating marijuana and expunge marijuana convictions from the records of millions of Americans so they can get on with their lives,” Harris said in a statement.
Below are several other key provisions of the federal legislation:
Requires federal courts to expunge prior convictions, allows prior offenders to request expungement, and requires courts, on motion, to conduct re-sentencing hearings for those still under supervision.
Authorizes the assessment of a 5percent sales tax on marijuana and marijuana products to create an Opportunity Trust Fund, which includes three grant programs:
The Community Reinvestment Grant Program: Provides services to the individuals most adversely impacted by the War on Drugs, including job training, re-entry services, legal aid, literacy programs, youth recreation, mentoring, and substance use treatment.
The Cannabis Opportunity Grant Program: Provides funds for loans to assist small businesses in the marijuana industry that are owned and controlled by socially and economically disadvantaged individuals.
The Equitable Licensing Grant Program: Provides funds for programs that minimize barriers to marijuana licensing and employment for the individuals most adversely impacted by the War on Drugs.
Opens up Small Business Administration funding for legitimate cannabis-related businesses and service providers.
Provides non-discrimination protections for marijuana use or possession, and for prior convictions for a marijuana offense.
While the bill enjoys widespread Democratic support and has the support of a broad coalition of civil rights, criminal justice, drug policy, and immigration groups, it faces an uphill battle in the Republican-held Senate. In the meantime, state-level legalization efforts of recreational and medical marijuana will continue to create opportunities for cannabis businesses.
If you have any questions, please contact us
If you have any questions or if you would like to discuss the matter further, please contact me, Gregg Hilzer, 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.
Dissolving Your Business: Essential Legal Steps to Protect Your Interests
If you’re considering closing your business, it’s crucial to understand that simply shutting your doors does not end your legal obligations. Unless you formally dissolve your business, it continues to exist in the eyes of the law—leaving you exposed to ongoing liabilities such as taxes, compliance violations, and potential lawsuits. Dissolving a business can seem […]
The Role of Corporate Restructuring in Mergers & Acquisitions
Contrary to what many people think, corporate restructuring isn’t all doom and gloom. Revamping a company’s organizational structure, corporate hierarchy, or operations procedures can help keep your business competitive. This is particularly true during challenging times. Corporate restructuring plays a critical role in modern business strategy. It helps companies adapt quickly to market changes. Following […]
Crypto Enforcement: A Former Prosecutor’s Warning to Criminals and the Public
Cryptocurrency intimidates most people. The reason is straightforward. People fear what they do not understand. When confusion sets in, the common reaction is either to ignore the subject entirely or to mistrust it. For years, that is exactly how most of the public and even many in law enforcement treated cryptocurrency. However, such apprehension changed […]
Understanding Chattel Paper: A Key Component in Secured Transactions
Using chattel paper to obtain a security interest in personal property is a powerful tool. It can ensure lenders have a legal claim on collateral ranging from inventory to intellectual property. To reduce risk and protect your legal rights, businesses and lenders should understand the legal framework. This framework governs the creation, sale, and enforcement […]
For years, digital assets operated in a legal gray area, a frontier where innovation outpaced the reach of regulators and law enforcement. In this early “Wild West” phase of finance, crypto startups thrived under minimal oversight. That era, however, is coming to an end. The importance of crypto compliance has become paramount as cryptocurrency has […]
Supreme Court and Title VII: Implications for Reverse Discrimination
Earlier this month, the U.S. Supreme Court issued a decision in Ames v. Ohio Department of Youth Services vitiating the so-called “background circumstances” test required by half of federal circuit courts.1 The background circumstances test required majority group plaintiffs pleading discrimination under Title VII of the Civil Rights Act to meet a heightened pleading standard […]
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
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!
