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Updates for Employers Regarding Medical Marijuana

Client Alert

In 2020, the momentum for marijuana legalization and decriminalization continued. In the November elections, five more states legalized either medical marijuana, recreational marijuana, or both. Although marijuana remains illegal in any form under federal law, just last week, the U.S. House of Representatives voted to decriminalize marijuana usage at the federal level. It's unlikely that the Senate will approve of that, but it is another milestone in what has been a rapidly shifting landscape over the last decade. Given the patchwork of state laws regarding medical and recreational marijuana, widely varied approaches for workplace protections, and the total federal ban, it can be difficult for employers to know how to deal with this issue.

Does a company need to accommodate an employee's medical marijuana use?

Well, it depends (sorry, did I mention I'm a lawyer?). In many states where medical marijuana is legal, including Ohio, there is no obligation on the part of the employer to accommodate an employee's use of medical marijuana. In those states, employers may fire or refuse to hire an employee who tests positive for marijuana, even if that employee is lawfully using marijuana pursuant to the state's laws. However, in some states, medical marijuana laws include protections for employees who use medical marijuana. For example, in Connecticut, federal courts have held that, aside from certain limited exceptions, an employer may not fire or refuse to hire an employee based on marijuana use if the employee is only engaging in lawful, off-duty use of medical marijuana. Note that even in states where employee protections are provided, employers still as a general rule may take action if an employee is using or actively under the influence of medical marijuana during working hours and/or in the workplace. Particularly for employers operating in multiple states, it is important to seek expert advice and engage in careful analysis of company drug policies and procedures as the maze of laws regarding medical marijuana continue to evolve.

May a company make exceptions to its drug free workplace policy for medical marijuana use that is lawful under state law?

Yes, but there are important factors to consider in doing so. As medical marijuana becomes more common and accepted in the U.S., some employers are seeking to relax their drug policies to accommodate employees using the substance lawfully under state law. This is generally permissible, but such a policy change may come with unintended consequences that should be assessed. Employers should consider whether this may affect their participation in state workers' compensation discount programs tied to drug-free workplace requirements. Companies should also consider whether certain positions are particularly safety-sensitive and may pose a concern in connection with such a policy change. Further, if a company receives federal funding, they may be precluded from this approach by the Federal Drug Free Workplace Act. Again, employers should seek out expert advice and careful analysis of the potential consequences of policy change in this evolving area.

As marijuana laws change, the laws and policies will also continue to develop. Please call or email Russell T. Rendall at (216) 658-2205 or rtrendall@bmdllc.com with any questions, or reach out to your BMD Cannabis Law Attorney to learn more about employee medical marijuana use and drug free workplace policies.


Sports Betting Legal in Ohio

Ohio has made sports betting legal with Governor DeWine signing House Bill 29 into law on December 22, 2021. The Casino Control Commission will regulate sports betting in Ohio and estimates that the launch date for sports betting will be January 1, 2023.

Banking and Cannabis: Is it Legal

Marijuana is still a Schedule 1 drug and is illegal under federal law. However, I am not aware of any federal banking law or regulation, or any other federal law or regulation, which explicitly makes it illegal for banks and other financial institutions to provide their traditional services to state legal cannabis businesses.

Protections Under Federal and Ohio Law for Bona Fide Prospective Purchasers of Contaminated Property

Most industrial/commercial property developers are generally aware of the Comprehensive Environmental Response, Compensation, and Liability Act (“CERCLA”), often also referred to as “Superfund”. CERCLA, a United Stated federal law administered by the U.S. Environmental Protection Agency, was created, in part, because the U.S. Environmental Protection Agency recognized that environmental cleanup could help promote reuse or redevelopment of contaminated, potentially contaminated, and formerly contaminated properties, helping revitalize communities that may have been adversely affected by the presence of the contaminated properties. Commercial property developers should be aware that CERCLA provides for some important liability limitations for landowners that own contaminated property impacted by materials hazardous to the environment. It can also assist with landowners concerned about the potential liabilities stemming from the presence of contamination to which they have not contributed. In particular, CERCLA provides important liability limitations for landowners that qualify as (1) bona fide prospective purchasers (BFPPS), (2) contiguous property owners, or (3) innocent landowners.

Puerto Rico Is Open For Business

Puerto Rico has the highest vaccination in the nation. More than 73% of the total population is fully vaccinated. The U.S. national average is just over 57%. The ports opened in June 2020 and San Juan held it first live concert this past summer. It is important to remember that Puerto Rico is a U.S. territory and there is no need for visas, the banking systems is almost identical to the mainland and the Island uses the U.S. postal service and U.S. dollar as its currency. There are thousands of flights from the U.S. to Puerto Rico daily and all main airlines fly to the Island.

Ohio Medical Board Changes Telemedicine Rules

A SCMS News Article by Scott Sandrock.