Last week, Jacobowitz and Gubits, LLP assisted the parties to a contract for the growing, cultivation, and harvesting of industrial hemp here in Orange County.
One of the parties has an Industrial Hemp Research Partner Authorization issued by the New York State Department of Agriculture and Markets, authorizing them to possess, grow and cultivate industrial hemp. Other parties to the contract were the funder and those in possession of the real property.
To most observers, industrial hemp is indistinguishable from marijuana. It is defined as containing less than 0.3 percent of delta-9 tetrahydrocannabinol (THC), the primary psychoactive component in marijuana. Oil from hemp flowers is used in the production of many kinds of products, and oil from the seeds is an effective lubricant for machinery. The plant stalk is used to make rope and fabric, but is not considered to be commercially viable in the United States due to the availability of very inexpensive supplies from overseas. Oils from the flowers and seeds are far more valuable products.
J&G believes we are only seeing the beginning of what will likely become a very substantial industry here in the Hudson Valley.