Missouri Medical Cannabis Company’s Appeal Against Product Recall Denied

LOS ANGELES — In a significant development, a Cole County Circuit judge dismissed the case of a Missouri-based medical cannabis company that sought to halt a product recall, as reported by KMIZ. The judge’s decision cited that Delta Extraction, LLC had not fully pursued administrative solutions before seeking judicial intervention, rendering the court without proper jurisdiction to entertain the complaint.

The recall, which involved almost 63,000 products, was initiated by the Missouri Division of Cannabis Regulation (DCR). The division’s primary concern was that the products in question were not monitored via METRC, the state’s official seed-to-sale-tracking system. This omission meant that DCR couldn’t confirm whether these products originated from marijuana cultivated in Missouri or if they met the requisite testing criteria before entering dispensary sales. However, the DCR also stated that so far, no adverse effects linked to these products have been reported.

During a prior administrative hearing regarding the recall, Jack Maritz, who holds a managerial position at Delta Extractions, acknowledged the potential use of hemp-derived THCa from sources outside Missouri during their distillation process. Delta Extractions has maintained that earlier regulations permitted the use of such out-of-state hemp. Contrarily, the state has held firm on its stance that using out-of-state products remains prohibited and that recent regulations merely offer a clearer understanding of this rule.

In another legal twist, Delta Extractions finds itself in a lawsuit with Dark Horse Medicinals Missouri, LLC. The latter company claims it bought products worth $325,632 from Delta, only to later learn of their recall. Dark Horse alleges that they were kept in the dark regarding the fact that the distillate was unsuitable for use in Missouri. They further contend that Delta Extractions was fully aware of this yet intentionally withheld this crucial information from them.

This case underscores the complex legal landscape of the medical cannabis industry in Missouri and highlights the challenges businesses face in adhering to rapidly evolving regulations.