With marijuana and cannabis products enjoying new, and varying, legal approvals in states around the country, many radio stations are asking if they can accept advertising for cannabidiol (CBD) oil. The stations point to the 2018 Farm Bill, which created a new regulatory regime for the production and sale of hemp and hemp products.
But in a new All Access column, Womble Bond Dickinson attorneys Gregg Skall and Bob Silverman say radio stations need to tread carefully before accepting any ads for CBD oil.
The 2018 Farm Bill does exempt hemp (and hemp extracts) from the definition of marijuana, but the THC concentration of these products must be no more than 0.3% or less of dry weight. That level is critical for determining whether or not a product is lawful.
“Despite industry claims, this leaves CBD oil in a very gray area because it is not clear that hemp is capable of sourcing commercially viable amounts of CBD consistent with Justice Department drug enforcement guidelines,” Skall and Silverman write. If the product has more than 0.3% THC, it remains unlawful under the US Department of Justice guidelines and advertising it would likewise be unlawful.”
In addition, Skall and Silverman say broadcasters need to be wary of advertising products that make or hint at health claims that are not approved by the FDA. Broadcasters also should be aware of the National Association of Cannabis Businesses’ (NACB) voluntary guidelines, which, for example, prohibit targeting ads to anyone under the age of 21.
Click here to read “Pot Advertising And The 2018 Farm Act: Are There Spoils For Stations Running Spots For CDB Oils? Here’s What Weed Want You To Know” by Gregg Skall and Bob Silverman at All Access.
Gregg Skall represents broadcasters and other parties in their regulatory dealings before the Federal Communications Commission and in their commercial business dealings. He serves as Washington Counsel to several state broadcaster associations. He also works with telecommunications companies and with radio device manufacturers to obtain FCC approvals.
Bob Silverman provides guidance to telecommunications carriers and technology companies seeking to navigate through complex regulatory, commercial and compliance structures established by the Federal Communications Commission (FCC) and other government agencies. His wireless spectrum experience spans a variety of services and runs the gamut from auctions and compliance reporting to assignments, lease agreements, and enforcement actions.