New Jersey

1. Overview of Cannabis and Hemp Laws

Cannabis:

• Recreational Use: Recreational cannabis for adults 21 and older was legalized through the 2020 ballot measure (Public Question 1), with implementation by Assembly Bill 21 and Senate Bill 21 in 2021. Retail sales officially began in 2022 (N.J. Stat. Ann. § 24:6I-31 to 24:6I-56).
• Medical Use: Medical cannabis was legalized in 2010 under the “Compassionate Use Medical Marijuana Act,” and expanded by the “Jake Honig Compassionate Use Medical Cannabis Act” in 2019, broadening access and treatment options (N.J. Stat. Ann. § 24:6I-1 to 24:6I-30).

Hemp Intoxicants and Synthetic THC: New Jersey operates as an Unregulated/Gray Market state for hemp intoxicants. State law does not specifically restrict intoxicating cannabinoids like delta-8 THC, leaving the market unregulated.

2. Historical Context

• 1933: Initial cannabis prohibition aligns with federal laws.
• 2010: New Jersey establishes its medical cannabis program under the Compassionate Use Medical Marijuana Act.
• 2019: Medical program expansion under the Jake Honig Act, adding qualifying conditions and reducing barriers to access.
• 2020: Voters approve recreational cannabis legalization (Public Question 1), leading to formal legislation in 2021.
• 2022: Retail stores open for adult-use cannabis sales, marking the full launch of legal recreational sales.

3. Recreational Cannabis Laws

• Possession Limits: Adults over 21 may possess up to one ounce of cannabis. Public consumption is not permitted, restricted to private property.
• Cultivation: Home cultivation is prohibited, making New Jersey among the few states with legalized recreational use that bans personal cultivation.
• Public Use: Consumption must occur on private property; public use is subject to fines.
• Sale and Retail: Cannabis dispensaries are regulated by the New Jersey Cannabis Regulatory Commission. Sales are capped at one ounce per transaction, with only licensed retailers authorized to sell cannabis.

4. Medical Cannabis Laws

• Patient Eligibility: Qualifying conditions include chronic pain, epilepsy, multiple sclerosis, and cancer, with the state health department approving additional conditions as needed.
• Product Access: Patients may purchase oils, capsules, lozenges, and other non-smokable products from licensed dispensaries.
• Program Details: New Jersey mandates patient registration with a purchase limit of three ounces per month. Patients under 18 may access cannabis through a registered caregiver and with parental approval.

5. Hemp-Derived Intoxicants

• Regulatory Status: New Jersey allows the sale of hemp-derived intoxicants like delta-8 THC without specific state-level regulations, classifying it as Unregulated/Gray Market.
• Testing and Labeling: There are no mandated testing or labeling standards, potentially impacting product consistency and consumer information.
• Age and Retail Restrictions: No explicit age limits or location restrictions apply, though general retail laws are enforced.

6. Criminal Penalties for Cannabis Offenses

• Possession: Possession up to one ounce for adults is legal. Over-limit possession may result in fines.
• Sale and Distribution: Unauthorized cannabis sales remain criminal offenses, with penalties scaling based on quantity and location (e.g., near schools).
• Trafficking and Cultivation: Unauthorized cultivation and large-scale possession or trafficking are felonies.

7. Social Equity Programs

• Eligibility Criteria: New Jersey’s social equity initiatives prioritize applicants from communities most affected by previous cannabis laws. Individuals with prior cannabis-related convictions may qualify for licensing preferences.
• Licensing Benefits: Social equity applicants receive expedited application review and reduced fees.
• Additional Support: Training and resources are available to help social equity applicants build sustainable cannabis businesses.

8. Business Types and Operations

• Licensing Types: New Jersey provides licenses for cultivation, manufacturing, retail, and delivery services, regulated by the New Jersey Cannabis Regulatory Commission.
• Regulatory Requirements: Licensed businesses must meet strict security, employee training, and reporting standards, including regular audits and record-keeping to ensure compliance.