Georgia Pharmacy Defies Federal Ban, Sells Low-THC Cannabis Products

1.9 min readPublished On: September 23rd, 2024By
LOS ANGELES- A licensed pharmacy in Augusta, Georgia, has begun selling low-THC cannabis products, directly challenging federal regulations enforced by the U.S. Drug Enforcement Administration (DEA). Living Well Pharmacy, owned by Vic Johnson, is one of the 40 pharmacies approved under Georgia’s 2019 medical marijuana law to dispense cannabis with a THC content of 5% or less. The move, however, has put Johnson in conflict with federal law, which prohibits DEA-registered pharmacies from handling cannabis.

In 2019, Georgia lawmakers legalized the sale of low-THC cannabis for medical purposes, expanding access through licensed dispensaries. In 2023, the state further widened access by allowing pharmacies to apply for licenses to dispense these products. Of the roughly 120 pharmacies that applied, 40 received approval. However, the DEA quickly intervened, issuing a warning that cannabis, including low-THC varieties, cannot be legally handled by federally registered pharmacies.

Despite this, Living Well Pharmacy has decided to move forward, hoping the ongoing federal cannabis rescheduling process will ease the tension between state and federal law. If successful, cannabis could be rescheduled from a Schedule I to a Schedule III substance, significantly reducing legal risks for pharmacies. “It’s a new frontier,” Johnson told The Atlanta Journal-Constitution. “Pharmacies are an ideal outlet for dispensing medical cannabis, because we already know our patients’ medical histories.”

Georgia’s medical marijuana program, while restrictive, now serves over 22,000 registered patients. Only cannabis tinctures, topical creams, and pills are allowed under the law, and the sale of smokable cannabis remains prohibited.

Living Well Pharmacy’s bold move could signal a shift in Georgia’s cannabis market, but it also risks the pharmacy’s federal license to dispense controlled substances. Johnson, however, is willing to take that gamble. Controlled substances, including those in Schedules II-V, account for only 10% of his pharmacy’s sales.

The DEA has not commented on Living Well Pharmacy’s actions, leaving it unclear if or when the agency will respond. If the DEA does not take action, it could open the door for more pharmacies to follow suit and expand Georgia’s medical cannabis market.

The conflict highlights the growing tension between state-led cannabis initiatives and federal restrictions, as lawmakers across the country push for cannabis reform. Georgia’s low-THC program is unique in allowing pharmacies to participate, making it a potential test case for how cannabis is integrated into traditional pharmaceutical networks.

About the Author: HCN News Team

The News Team at Highly Capitalized are some of the most experienced writers in cannabis and psychedelics business & finance. We cover capital markets, finance, branding, marketing and everything important in between. Most of all, we follow the money.

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