EU court approves the sale of CBD and its free trade across borders
The Court of Justice of the European Union (CJEU) rules that a European Union country cannot prohibit the sale of CBD legally produced in another member state.
The Court ruled that CBD cannot be considered a narcotic. And CBD products must have the same freedom of movement between Member States as other legal products.
It also states that French regulations are incompatible with the provisions relating to the free movement of goods. However, it clarifies that the ban could be justified by a public health objective.
This ruling stems from a case brought in France and appealed to the European Court of Justice. The company in question was selling electronic cigarettes containing CBD oil produced in the Czech Republic. The CBD was derived from legally cultivated hemp plants, using both leaves and flowers. The sale of CBD is prohibited under French law, and the Marseille court sentenced the company's executives to various penalties.
The convicted parties appealed the decision, and the relevant court referred the matter to the European court to clarify whether French regulations comply with EU law.
According to the Court, CBD cannot be considered a “narcotic” because European law defines “drug” by referring to two UN texts: the Convention on Psychotropic Substances and the Single Convention on Narcotic Drugs. CBD is not mentioned in the former, but a literal interpretation of the latter could lead to its classification as a narcotic. The Court notes that such an interpretation “would be contrary to the general spirit of this Convention and its purpose of protecting the physical and moral health of humanity.”.
CBD sales in France
The Court of Justice explains that according to current scientific knowledge, unlike tetrahydrocannabinol (THC), CBD does not appear to have psychotropic or harmful effects on human health.
The European Court of Justice points out that the French national court must examine the available scientific data to ensure that the alleged real risk to public health is not based on “purely hypothetical” considerations.
If France intends to maintain its CBD ban, the Court said it "must assess the available scientific data to ensure that the alleged real risk to public health does not appear to be based on purely hypothetical considerations.".
The court says that the sale of CBD can only be prohibited if that risk is sufficiently proven.
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