6 Oregon Cannabis Laws You Need to Know

Medical marijuana has been legal in the state of Oregon since 1998. In 2015, Oregon voters passed Measure 91, “Control, Regulation, and Taxation of Marijuana and Industrial Hemp Act,” creating a regulatory system for individuals 21 years of age and older to purchase marijuana for personal use from licensed marijuana businesses.

The Oregon Health Authority (the “OHA”) licenses and regulates medical marijuana businesses, and the Oregon Liquor and Cannabis Commission (the “OLCC”) licenses and regulates adult‐use marijuana businesses.

If you’re running a medical or adult use marijuana business in Oregon, don’t leave your compliance up to chance. In this post, we’re covering the top 6 Oregon cannabis laws you should know in order to operate a compliant adult use retailer license or medical dispensary icense.

You can find the full list of Oregon adult use marijuana laws and regulations here.

Law #1: Packaging and labeling

Law: 475B.605 Labeling requirements; rules. (1) As is necessary to protect the public health and safety, and in consultation with the Oregon Health Authority and the State Department of Agriculture, the Oregon Liquor Control Commission shall adopt rules establishing standards for the labeling of marijuana items, including but not limited to: (a) Ensuring that usable marijuana, cannabinoid concentrates and extracts, cannabinoid edibles and other cannabinoid products have labeling that communicates: (A) Health and safety warnings; (B) If applicable, activation time; (C) Potency; (D) For cannabinoid products and cannabinoid concentrates and extracts, serving size and the number of servings included in a cannabinoid product or cannabinoid concentrate or extract package; and (E) Content of the marijuana item; and (b) Labeling that is in accordance with applicable state food labeling requirements for the same type of food product or potable liquid when the food product or potable liquid does not contain marijuana or cannabinoids.

Explained:

• Suppliers are responsible for packaging everything except bulk flower, as it’s packaged by the retailer when weighed at the store.
• Medical marijuana dispensaries and recreational dispensaries can choose to use custom or generic labels.
  • Custom labels must be approved by the OLCC before products are sold.
• According to the OLCC, these are the definitions of packaging and labeling:
  • Packaging is the container itself
  • Labeling is the information printed on the container
• Containers must be child-resistant or placed in a child-resistant “exit bag.”
• Every label must have a “principal display panel” adhered parallel to the bottom of the container.
• While flagging labels is permitted, the information required to be displayed on the “principal display panel” can’t be on the flagged part of the label.

Law #2: Medical Marijuana Patient Qualifying Conditions

Qualifying patients with the following conditions are permitted to obtain a medical marijuana card:

• Cancer
• Glaucoma
• A degenerative or pervasive neurological condition
• HIV/AIDS
• Post-traumatic stress disorder (PTSD)
• Medical conditions and treatments that cause the following symptoms:
  • Cachexia (caused by HIV or cancer)
  • Severe pain
  • Severe nausea
  • Seizures, including those caused by epilepsy
  • Persistent muscle spasms

If you qualify for a medical marijuana card in Oregon, here’s how to get one:

1. Establish proof of Oregon residency with a license, passport, or a utility bill/bank statement.
2. Have a physician document your condition with an Attending Physician’s Statement. An established doctor-patient relationship is also required. For some card providers, you need to have visited your primary care physician at least three times.
3. Complete the Oregon Medical Marijuana Program (OMMP) application form. You’ll need to submit a valid, legal copy of a federal or state-issued photo ID that includes your date of birth and full name. All information and documentation must be uploaded within 9 days of the application date.
4. Once your application has been received, if the OMMP considers the application complete, you will receive a receipt letter. This receipt letter may be used as your temporary Oregon medical marijuana card for up to thirty (30) days to allow you to purchase medical marijuana from a licensed dispensary while you wait for your official card to arrive in the mail from the OMMP.

To learn more, see this Oregon State page.

Law #3: Purchase/possession limits

Law: 475B.831 Possession limits for plants. (1)(a) A registry identification cardholder and the designated primary caregiver of the registry identification cardholder may jointly possess: (A) Six or fewer mature marijuana plants; and (B) Twelve or fewer immature marijuana plants. (b)(A) Unless an address is the marijuana grow site of a person designated to produce marijuana by a registry identification cardholder, the address where a registry identification cardholder or the primary caregiver of a registry identification cardholder produces marijuana may be used to produce not more than: (i) Six or fewer mature marijuana plants per registry identification cardholder, up to 12 mature marijuana plants; and (ii) Twelve or fewer immature marijuana plants per registry identification cardholder, up to 24 immature marijuana plants. (B) Except as provided in subparagraph (C) of this paragraph, an address that is subject to this paragraph may not be used to produce plants in the genus Cannabis within the plant family Cannabaceae pursuant to ORS 475B.301. (C) Subject to subparagraph (D) of this paragraph, an address that is subject to this paragraph may be used to produce plants in the genus Cannabis within the plant family Cannabaceae pursuant to ORS 475B.301 if a person other than a registry identification cardholder who is using the address to produce marijuana plants pursuant to ORS 475B.785 to 475B.949 resides at the address. (D) An address that is subject to this paragraph may not be used to produce more than 12 total mature marijuana plants. (2)(a) A person may be designated to produce marijuana under ORS 475B.810 by no more than eight registry identification cardholders. (b) A person responsible for a marijuana grow site may produce for a registry identification cardholder who designates the person to produce marijuana no more than: (A) Six mature marijuana plants; (B) 12 immature marijuana plants that are 24 inches or more in height; and (C) The amount, established by the Oregon Health Authority by rule

Explained:

Medical purchase limits:

• 8 ounces of usable marijuana in one day
• 32 ounces in one calendar month per patient
• Daily limits are equal to:
  • 16 ounces of cannabinoid in solid form
  • 72 fluid ounces of cannabinoid in liquid form
  • 5 grams of cannabinoid extracts or concentrates
  • 5 grams of cannabinoid concentrates intended for inhalation
  • 4 immature marijuana plants
  • 10 marijuana seeds

Recreational purchase limits:

• 1 ounce of usable cannabis (i.e. dried flower)
• 5 grams of cannabis concentrates or extracts
• 16 ounces of cannabis edibles in solid form
• 72 ounces of cannabis products in liquid form
• 10 cannabis seeds
• 4 immature cannabis plants per household, with the grow site on private property out of public view and not within 1,000 feet of a school

While the above purchase limits are identical to Oregon’s public place possession limits, recreational users can possess up to 8 ounces of flower in private. Private possession limits for all other forms of cannabis are identical to the public possession limits.

Adults 21 years and older can gift recreational cannabis to other of-age adults, so long as they do not gift an amount of marijuana over the possession limits and accept no financial compensation. The following is considered financial compensation:

• Money
• Goods and services
• Tips
• Cover charges
• Admission fees
• Donations
• Raffles
• Fundraisers
• Sales

Recreational marijuana is still illegal according to federal law, despite Oregon law. Therefore, the right to possess recreational marijuana doesn’t apply on federal or tribal lands in the state.

Law #4: Delivery

Law: 475B.065 Lawful production, delivery and possession of marijuana items. Licensees and licensee representatives may produce, deliver and possess marijuana items subject to the provisions of ORS 475B.010 to 475B.545 and rules adopted under ORS 475B.010 to 475B.545. The production, delivery or possession of marijuana items by a licensee or a licensee representative in compliance with ORS 475B.010 to 475B.545 and rules adopted under ORS 475B.010 to 475B.545 does not constitute a criminal or civil offense under the laws of this state. [2015 c.1 §13; 2015 c.614 §43; 2017 c.183 §54]

Explained:

• Delivery regulations are jurisdiction-specific and exclude addresses to schools.

• Marijuana items can only be delivered to a consumer’s home by an OLCC licensed retailer or a retailer’s representative.

• Representatives can be an owner, director, officer, manager, employee, agent, or other representative of the licensee who acts in a representative capacity.
  • A person delivering marijuana items on behalf of a retailer is required to be registered in the Cannabis Tracking System (CTS) as an employee of the retailer. They must have a valid marijuana worker permit number and be declared on the required transport manifest recorded in CTS.
  • While the driver has to be listed as an employee in CTS, they don’t actually have to be employees of the retailer. Still, the retailer is liable for any violative acts or omissions by the driver.

Law #5: Data regulations

Law: 475B.220 Identification for purchasing; restrictions on use of information.

(1) As used in this section, “information that may be used to identify a consumer” means information that may be acquired through the production of a piece of identification as described in ORS 475B.216, whether the information is contained in a piece of identification described in ORS 475B.216 or in a different document or record.

(2) A consumer may not be required to procure for the purpose of acquiring or purchasing a marijuana item a piece of identification other than: (a) A piece of identification described in ORS 475B.216; and (b) If the consumer is a registry identification cardholder, as defined in ORS 475B.791, a registry identification card, as defined in ORS 475B.791.

(3) A marijuana retailer may not record and retain any information that may be used to identify a consumer, except as necessary to make deliveries to consumers pursuant to ORS 475B.206 (3), as required by any rules adopted under ORS 475B.206 (3).

(4) A marijuana retailer may not transfer any information that may be used to identify a consumer to any other person.

(5)(a) Notwithstanding subsection (3) of this section, a marijuana retailer may record and retain the name and contact information of a consumer for the purpose of notifying the consumer of services that the marijuana retailer provides or of discounts, coupons and other marketing information if: (A) The marijuana retailer asks the consumer whether the marijuana retailer may record and retain the information; and (B) The consumer consents to the recording and retention of the information. (b) This subsection does not authorize a marijuana retailer to transfer information that may be used to identify a consumer.

(6) This section does not apply to de-identified information the documentation and transfer of which is required by the Department of Revenue for purposes of ORS 475B.707. [2017 c.18 §2; 2017 c.476 §16]

Explained: Licensed retailers are not permitted to collect information from marijuana sales that personally identify their consumers. As a result, retailers cannot record and use customer data for marketing purposes. Specifically, retailers cannot “record and retain any information that may be used to identify a customer.”

• There is an exception to this state law for customers who provide informed consent to data collection. This data can only be used for providing discounts, coupons, and other marketing information. It cannot be disclosed, transferred, or sold to any other person.
• Note: Flowhub’s point-of-sale has a Guest Checkout feature to keep Oregon retailers in compliance with data and privacy laws.

Law # 6: Taxes

Statutory Law: 475B.705 Imposition of tax on retail sale of marijuana items.

(1) A tax is hereby imposed upon the retail sale of marijuana items in this state. The tax imposed by this section is a direct tax on the consumer, for which payment upon retail sale is required. The tax shall be collected at the point of sale of a marijuana item by a marijuana retailer at the time at which the retail sale occurs.

(2) The tax imposed under this section shall be imposed at the rate of: (a) 17 percent of the retail sales price of usable marijuana; (b) 17 percent of the retail sales price of immature marijuana plants; (c) 17 percent of the retail sales price of a cannabinoid edible; (d) 17 percent of the retail sales price of a cannabinoid concentrate; (e) 17 percent of the retail sales price of a cannabinoid extract; (f) 17 percent of the retail sales price of a cannabinoid product that is intended to be used by applying the cannabinoid product to the skin or hair; and (g) 17 percent of the retail sales price of cannabinoid products other than those described in paragraph (f) of this subsection.

(3) If the tax imposed under this section does not equal an amount calculable to a whole cent, the tax shall be equal to the next higher whole cent.

(4) Except as otherwise provided by the Department of Revenue by rule, the amount of the tax shall be separately stated on an invoice, receipt or other similar document that the marijuana retailer provides to the consumer at the time at which the retail sale occurs.

(5) A person may not knowingly sell, purchase, install, transfer or possess electronic devices or software programs for the purposes of: (a) Hiding or removing records of retail sales of marijuana items; or (b) Falsifying records of retail sales of marijuana items.

(6)(a) A marijuana retailer may not discount a marijuana item or offer a marijuana item for free if the retail sale of the marijuana item is made in conjunction with the retail sale of any other item.

Explained: Discounts are restricted by regulations, as stores are not permitted to incentivize customers to purchase more cannabis. While you can discount a top-shelf item, you can’t discount items in correlation with the purchase of another item (buy one, get one sales, for example).

• Loyalty points are only redeemable for accessories, not cannabis products.
• Stacking of discounts (using multiple discounts on a single item) is prohibited.

Disclaimer: The material contained on this website and any attached or referenced pages has been compiled by Flowhub for informational purposes only. It is not intended to be and is not considered to be legal advice. This post is current as of 6/22/2021. Cannabis regulations are rapidly changing, and legal advice of any nature should be sought from legal counsel.