Why I ‘Just Say No’ to Pot Businesses Operating in the Gray Area

Making medicated chocolate chip cookies with Trinity Dream Hybrid. Photo: © Alicia J. Rose / Stock Pot Images

There’s a frustrating trend in the emerging cannabis industry on the East coast, specifically the D.C. and Maryland area that keeps us from writing about more local pot businesses —They conduct business within the ‘gray area’ of the law. 

It shouldn’t surprise anyone to hear that a journalist is skeptical of pot businesses. However, a colleague told me recently that I’ve been using the same small businesses in my cannabis articles.

The innocent accusation really got under my skin and upon some introspection I noticed that the one small, local business that I kept going back to in my reporting was the sole 100 percent legal operation that I felt comfortable writing about.

I should also mention that it’s not even a cannabis, but a hemp business and I didn’t even begin using this business until the CEO decided against adding any Cannabidiol (CBD) tincture to the product as an add-on. CBD is a legally controversial compound found in cannabis alongside Tetrahydrocannabinol (THC).

Now, before all the trolls out there jump to tear me down – let me explain.

I understand there are local, small businesses doing great things for the industry and the community. I am simply saying that I think it’s worth noting that there are very few 100 percent legal, small, cannabusinesses around the Washington D.C. metro area that are up and operating in accordance with the law.

Another hurdle in my reporting has been finding such businesses with CEO’s that wouldn’t get themselves in trouble going on the record with me for any given story.

I attribute this massive gray area to the wording behind Initiative 71, the legislation legalizing cannabis under certain circumstances in D.C. a little over a year ago.

That’s to be expected with any new law and I admire the advocates and organizers behind this massive pro-cannabis movement but that doesn’t mean that what everyone is doing is 100 percent legal.

In my skepticism, business owners should understand that I’m actually looking out for their best interests.

Some fast facts on marijuana law in D.C.:

• Possess two ounces or less of marijuana;
• Transfer one ounce or less of marijuana to another person who is at least 21 years old, so long as there is no payment made or any other type of exchange of goods or services;
• Cultivate within their residence up to six marijuana plants, no more than three of which are mature;
• Possess marijuana-related drug paraphernalia – such as bongs, cigarette rolling papers, and cigar wrappers – that is associated with one ounce or less of marijuana; or
• Use marijuana on private property.

The key here is no payment or any other type of exchange of goods or services is allowed. Basically, you can’t sell a t-shirt for money and throw in a free ‘gift’ of anything containing cannabis. This makes it nearly impossible for anyone to legally obtain edibles, unless you make it yourself or have it given to you without any donation. It also makes for a terrible business model — how can a business be successful without any money coming in??

For example, I’d LOVE to do stories on the emerging edibles market in the District. Some really great cannaconcoctions out there could probably give established Colorado and California edible companies a run for their money. But I digress, because  in my experience I’ve seen too many people in the D.C. industry engaging in exchanges of goods that are less than completely legal.

Other people I’ve talked to about this very issue say it’s okay because it’s ‘technically’ legal if you watch your wording and don’t explicitly offer an edible, tincture, or plant in exchange for a good, money, or service.

Such an explanation wouldn’t hold up in a courtroom because it goes against the intention of the law.

I think millionaire Gary Vaynerchuk, a serial entrepreneur, investor, and public speaker says it best here:

“Nobody gives a fuck about your feelings and you need to stop crying and adjust,” he says.

“I wanted to help him and felt a little tough love and reality would help and we had a great chat afterwards and I really think it helped him, I’m sorry if anyone felt i was rude, but the energy of the room was then lost in my video here, he was looking for excuses, I want him to win, this was Love not hate, it comes in all sorts of forms …”

“He was looking for excuses, I want him to win, this was Love not hate, it comes in all sorts of forms.”