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Latest Developments on Marijuana Rescheduling for 2025

23 January 2025 / Category: Blog

What is the Current Status of Marijuana’s Federal Classification?

DEA Administrative Law Judge John Mulrooney has stayed further proceedings regarding marijuana’s federal classification under the US Controlled Substances Act. This decision is pending a resolution of an interlocutory appeal to the DEA’s Administrator. In-person testimony for the rescheduling hearing was initially scheduled to begin on January 21, 2025.

Why Was the Hearing Postponed?

The judge issued his order after receiving significant evidence supporting allegations that the DEA had engaged in inappropriate and biased acts. These allegations included claims that the agency conspired with opponents of the proposed rule change and was openly hostile to reclassifying cannabis from Schedule I to Schedule III, as recommended by the US Department of Health and Human Services (HHS).

What Are the Implications of the Judge’s Decision?

Although Judge Mulrooney disagreed that the agency’s conduct, even if substantiated, would affect the fairness of the adjudication, he granted the petitioners’ request for an interlocutory appeal. He stated that allowing this appeal could potentially avoid exceptional delay, expense, or prejudice by injecting appellate certainty into the proceedings at this stage.

What Happens Next?

The judge’s decision cancels the previously scheduled hearing dates, during which proponents and opponents of marijuana rescheduling were to testify and face cross-examination. It remains unknown when such a hearing will occur, as the interlocutory appeal returns jurisdiction of the matter to the full control of the DEA Agency leadership. Further adding to the uncertainty, the Agency’s current Administrator Anne Milgram is likely to vacate her post imminently, leaving this matter to the Justice Department and President-elect Trump’s yet-to-be-named DEA Administrator.

How Are the Movants Responding?

Judge Mulrooney concluded his ruling by ordering the movants and the government to provide a joint status update within 90 days from the issuance of this order, and every 90 days thereafter. Michael DeGiglio, president and CEO of Village Farms, one of the movants in the case, commented that the outcome of the proceedings is a symbolic victory against a conflicted government agency. He emphasized their commitment to fighting for a fair and honest process and addressing the wrongdoings of decades of government corruption and the failed War on Drugs.

A man is cutting fresh cannabis buds. Vintage marijuana

What is the Historical Context?

The Biden Administration initiated the regulatory process to review federal cannabis scheduling in late 2022. This marked the fifth time such an administrative petition to remove cannabis from Schedule I had been filed, but the first time such an effort was led by the White House.

What Are the Public Comments on Cannabis Rescheduling?

In its public comments provided to the DEA in July, NORML concurred with the views expressed by the HHS that cannabis “has a currently accepted medical use” and that its relatively low abuse potential is inconsistent with the criteria required for substances in either Schedule I or Schedule II.

How Can Cover Cannabis Insurance Services Help?

Navigating the complexities of the cannabis industry requires specialized knowledge and support. Cover Cannabis Insurance Services offers tailored insurance solutions for cannabis businesses of all sizes. Whether you operate a dispensary, cultivation site, or any other cannabis-related business, Cover Cannabis can provide the necessary coverage to protect your operations.

Sources

  1. DEA Judge Stays Marijuana Scheduling Proceedings
  2. Career Special Agent Derek S. Maltz Appointed to Lead U.S. Drug Enforcement Administration
  3. NORML Public Comments on Cannabis Medical Use
  4. Hearing on the Proposed Rescheduling of Marijuana Postponed
  5. Cover Cannabis Insurance Services