Company: LIFD
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001096906-25-000819
Chunk: 132

Company: LFTD PARTNERS INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 132
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 in the United States, despite cannabis having been legalized at the state level for medical use in many states and for adult recreational use in a number of states, cannabis, other than plants of the same genus that meet the definition of industrial hemp, continues to be categorized as a Schedule I controlled substance under the federal Controlled Substances Act (“CSA”), and subject to the Controlled Substances Import and Export Act (“CSIEA”).  On December 20, 2018, President Donald J. Trump signed the Agricultural Improvement Act of 2018, which is more commonly known as the “2018 Farm Bill”. The 2018 Farm Bill legalizes hemp cultivation and declassifies hemp as a Schedule I controlled substance. However: (1) Farm Bill: As of the date of this Quarterly Report on Form 10-Q, the Agriculture Improvement Act of 2018 (commonly known as the 2018 Farm Bill) has been extended twice and is now set to expire on September 30, 2025. This extension allows existing programs, including those related to hemp production, to continue operating under current regulations. The upcoming Farm Bill, anticipated to be enacted before the current extension expires, is under active discussion. Various stakeholders are lobbying for changes, and there is no certainty that the provisions legalizing Lifted's products will be reauthorized in the new legislation. If the next Farm Bill prohibits or significantly restricts hemp-derived products, it could materially and adversely affect Lifted's business operations and the trading price of our common stock; (2) FDA: The U.S. Food and Drug Administration (“FDA”) has stated that while hemp is no longer classified as an illegal substance under the Farm Bill, cannabis-derived products remain subject to regulation under the Federal Food, Drug, and Cosmetic Act (which protects the public from unsafe food, drugs, medical devices, and cosmetics) and Section 351 of the Public Health Service Act (which regulates the licensing of biological products). The health and safety effects of delta-8-THC and other cannabinoids have not been conclusively established through traditional scientific or clinical studies. The FDA has expressed concerns that CBD, delta-8-THC, and other hemp-derived cannabinoids may pose significant health risks, including potential liver toxicity or damage. Additionally, the FDA has taken the position that certain cannabinoids may be classified as drugs and that the sale of cannabinoid-infused products without FDA approval may be unlawful. In alignment with the FDA’s stance, several states and municipalities have imposed restrictions or outright bans