Is CBD Legal?
Paul: [00:01] Okay. My name is Paul Crouse, co-founder of Restore Health 101 and we’re joined today with Dr. Lauren. And we’re going to be talking to you today about the biggest question that we faced when we first got into this industry, becoming less of a big question, but yet there is some nuances and that is, is CBD oil legal? Funny thing, because until recently everybody called, no matter what the product was, CBD Oil, right? Can you give me a quick dissertation about what is today, what we know as CBD oil?
Dr. Lauren: [00:38] Well, CBD oil. CBD is just an isolate, it’s one part of the plant. So what we’re talking about with [inaudible] restore is full spectrum hemp oil, which is the whole plant where CBD is just one part extracted out of the plant. And, is CBD Legal, YES!
Paul: [00:56] Absolutely. So when we’re talking about hemp oil or full spectrum hemp oil, that’s the whole plant, right? And when we’re talking CBD specifically, that’s just one little cannabinoid over a hundred cannabinoids in the plant? So we’re just going to take out just the CBD and that’s what is being sold by a lot of companies. So when we first got in this industry, before we even formed Restore health, CBD or hemp oil was made legal in 2012 under a pilot program, correct? So president Trump signed into federal legislation for once and for all basically making hemp 100% illegal. The way they did that was they declassified it as a, from the definition of substance, the word hemp. And so now it’s classified as an agricultural commodity so we can utilize it fully. But there’s still a lot of confusion out there about whether or not CBD is legal. So I’m opposed to you. Is CBD legal?
Dr. Lauren: [02:07] I just feel like it’s a slightly trick question.
Paul: It is. Especially the way the FDA wants to try to explain it to everyone.
Dr. Lauren: [02:14] Right? Yeah. So CBD only is not legal to be sold as a supplement. The industry cannot sell only CBD.
Paul: Well, since the FDA hasn’t seen fit to tell people why that is, would you mind answering is CBD Legal?
Dr. Lauren: I think it’s because there a patent from a pharmaceutical company to become a drug.
Paul: [02:37] Imagine that. So literally CBD being an Isolate, which is how most drugs are formulated, they find a piece of a plant and they find out what the cause and effect of that piece is, or the plant is, and then they say, “well, what caused it in a plant? They isolate that particle out and then they usually synthetically manufacture it over and over and over again. So in this case, GW pharmaceuticals ended up getting a patent and a drug approval for CBD, for epilepsy and things of that nature, and now they’re making it synthetically. We won’t go there today about whether synthetics are as good as the botanical themselves, but literally it is a drug. And so if something’s a drug and you do sell it, is that kind of what they call it, patent violation?
Dr. Lauren: It gets illegal and you can get in trouble.
Paul: [03:34] Yeah. So when they talk about hemp oil, is Hemp oil legal? Absolutely. Signed into law 2018. Now though the big thing that we’re seeing today is the FDA not being forthright about that very thing that we just covered in about two minutes. The CBD is a drug simply because you have GW pharmaceuticals has a drug patent on it. So from our perspective, we sell full spectrum hemp oil, that means the whole plant, right? Is that legal?
Dr. Lauren: It is legal.
Paul: [04:05] Yes. Absolutely. Just the same as if you grow hemp and you sell the textiles for a multitude of things. Do you realize, I see— Get this. So, back in the 30s Henry Ford building an entire car from hemp. Yes. You know, all those people out in the West coast that are making plastic straws illegal, not going to debate whether the plastic straw— But here’s the great thing, the best straws that you can make? Hemp. Because you try and drink out of those paper ones and they just get real soggy, right? Exactly. So there’s really nothing that we can’t do with hemp, but the best part of all of hemp is we know the oil found in the plant can be the best super food that our ECS systems can utilize.
[04:50] So when we talk about full spectrum hemp oil, one of the great things that I have found is you know, when you’re taking an Isolate you can get some benefits, and typically companies that are still under this day selling a CBD isolate, they’ll list, you know, some of the potential benefits that people can get from CBD. And then when I look at the benefits that people can get with full spectrum hemp oil, it’s a pretty lopsided scale, right? Because is there anything that full spectrum hemp oil can’t help us with?
Dr. Lauren: I’d have to say no.
Paul: [05:26] Yeah. But CBD can have some implementations because it’s not the whole plant. And we see that time and time again. So if you’re looking at full spectrum hemp oil, one of the things that I love is now people that have become, you know, we’ve got the oil coming out of the plant is lipophyllic, meaning it’s oil based. Our body is over 60% water, so products like ours [inaudible] restore we have used utilize technology to help it be absorbed into the body. We don’t call it— Many out there will call it— we call it water friendly; they’ll call it water soluble. But the only thing that’s water soluble is water. So this is our little caveat.
[06:08] But there’s also a lot of people that have created water friendly products to some degree that are saying their product is THC free. Now we’ve been in this industry for a little while. Is that true?
Dr. Lauren: [06:25] I mean, I don’t work in the lab so I can’t concretely say, but I mean—
Paul: [06:30] Anything we’ve tested, not true. So I think a lot of people out there, they’ll use tricky words to tell you that something is THC free or it’s less, you know, “it’s got less than 0.0%” which anything that is a value is greater than 0.0, but neither here or there. Our product does indeed have, we’re talking minuscule amounts of THC. Now, I’m going to get really technical for about 30 seconds. So the federal law says that hemp is legal when it has less than 0.3% THC. Our product, the batch that we have today, and it’s always going to be right around this variable, but it’s got 0.0002 and then a couple of digits after that. So literally it’s several thousand times less than the legal limit. Now, I made [inaudible] on the bus here and I can kind of go, because I’ve been studying this quite a bit. Do you have any idea how much of our products someone would have to take to feasibly test for THC in a urinalysis exam?
Dr. Lauren: I’d say it’s not even possible. Maybe gallons.
Paul: [07:47] Would it surprise you to say somewhere around 5 to 700 gallons?
Dr. Lauren: Wow.
Paul: [07:54] And that would be the low end. I mean most people would probably have to take several thousand gallons to ever test. Now when we say that there’s some caveats, we as a company ever guarantee you will not test? Well no, because we don’t know if you’re smoking something else, number one. And number two, we all— they don’t actually test for THC in urinalysis exam, they test for a metabolite and your body can metabolize, and some drug companies now, we’re not seeing this like we were three or four years ago, but some of these testing facilities out there were testing for the presence of cannabinoids, and cannabinoids are separate from THC because they’re all their own individual particle. And so if they were testing for cannabinoids well anything— I’ll give you an example, we’re based in Indiana and to this day the Indiana state police cannot test for hemp, to know whether it’s hemp or marijuana, because their test will always come back and show positive. So from that perspective it’s kind of crazy, right? Any other things you want to throw in about the legalities of hemp?
Dr. Lauren: [09:03] Well, yeah, like you brought up the THC component, which I know a lot of people are worried because of that stigmatism of cannabis in general being illegal and terrible. And just in comparison, the common THC concentration for marijuana, which can get you high, is they say like, you know, usually around like 15%, 17%, 20% can be up to 30% and we’re talking 0.3% for hemp. So I mean, that’s a huge difference. So that’s why you can take the hemp and get all of the healing benefits without any of the high, is because the THC isn’t there. If it’s there, it’s so minute that it doesn’t have that kind of mind altering, intoxicating effect.
Paul: [09:48] And you know, that’s one of the things that drew me to this industry because I read an article before I had ever even gotten into the hemp business, and that was talking about how with the States that had medical marijuana, they had done a survey and over 50% of the people that were utilizing medical marijuana hated the high, if they could get any relief from something else, they would much rather have it. And folks that’s been here now since 2012, ECS restore, we’re here to help you out. Do you have any other closing thoughts on the legalities or where we’re going with the legalities in the industry?
Dr. Lauren: I don’t think so.
Paul: [10:25] Yeah, I think that one of the things that I love is we’re still just scratching the surface. My business partner Jim Helfer, he is more of a on the financial side of things, and so Jim and I tend to balance the company out like, the ECS restore balancing, our endocannabinoid system out. And Jim likes to always discuss how the industry is more like the dotcoms of the 1990s, because, you know, it’s just, there’s no end in sight about how this industry can grow. I completely agree with that, but I think that what’s going to be more dynamic is our cost basis are going to continue to come down. And that’s exciting to me because I think that we can bring this quality product to more and more people at less expense. It’s just going to be able to help more and more people. And that’s what we’re all about, right?
[11:20] With that being said, we’re going to close down today’s podcast on is CBD legal. And the question of it is, is we know ECS Restore is. See you all next week.