The clock is ticking down, a hand hovers over the bell, a trainer is shouting “hang on! Just a few more seconds!” from the corner of the ring. Canada is in the throws of the first round of cannabis legalization.

The match started in October of last year—the veteran black market in one corner, the rookie hotshot Health Canada in the other. Both came out swinging, and both have landed some stellar blows. The entire arena is awash with the hollering and jeering of fervent fans: companies, consultants, consumers, and media, all will heavy bets invested in one of them lying facedown, dejected and bloodied, by the end of the match.

With the upcoming legalization of edibles containing cannabis this October, Canadian claims adjusters may see more indirect injury loss and damage claims, suggests a lawyer with Field Law in Calgary.

Compared to regular smoked marijuana, edibles have a more delayed and prolonged reaction, meaning the ability to predict impairment will create an additional challenge for adjusters.

A report going to the city’s intergovernmental affairs committee Thursday recommends the city use a public consultation period on edibles regulation to press for more funds from Ottawa and the province to cover a forecast $6.6-million shortfall in dealing with local cannabis issues.

While the province has given the city $3.84 million to help cover enforcement and regulation costs through 2019, city officials say they expect those expenses to reach $10.44 million by the end of this year.

“We’re picking up the tab for the provincial government at a time when we’re facing an economic downturn,” said committee member Coun. George Chahal.

The Quebec government faced strong opposition as public consultations began Tuesday on its bill seeking to increase the legal age of cannabis consumption and ban it from all public areas.

Junior Health Minister Lionel Carmant has said he tabled Bill 2 in order to protect young people and send a message that smoking marijuana is not a trivial matter. The proposed legislation restricts marijuana usage to people aged 21 and over and limits its smoking to private property.

With Canada now raking in up to $100 million per year in pot taxes, some of that revenue will soon be heading right back to pot users in the form of cannabis-specific tax receipts.

The only catch? Pot-smokers have to have permission from a physician indicating that they’re toking for medical reasons.

Cannabis is one of the myriad of categories that the Canada Revenue Agency has authorized as a permitted medical expense.

The tax agency, which prefers the somewhat outdated spelling of “medical marihuana,” considers pot as no different than braille printers, glass eyes or oxygen tents.

Paid my first visit to a cannabis dispensary the other day. Say what?

That’s right, storefront weed dispensaries are supposed to be illegal in Ontario. But a few former grey-market shops that were forced to shut their doors on legalization day or risk massive fines are taking their chances.

Doug “Ontario is open for business” Ford reneged on his deal to allow them to apply for retail licences – so WTF, right?

As long as the neighbours aren’t complaining, or so I’m told by the budtender in a too-big toque behind the counter, the cops seem to be cool with it. This one re-opened just before Christmas and hasn’t felt any heat yet.

Few, if any, industries are growing as quickly as legal cannabis. According to a co-authored report from Arcview Market Research and BDS Analytics, global marijuana sales rose to $12.7 billion in 2018, and they're on track to hit $16.9 billion this year, representing 38% growth. By 2022, worldwide revenue is forecast to top $31 billion.

Under Canada’s new impaired-driving laws, it’s a criminal offence to have “any detectable amount” of cocaine, methamphetamine, magic mushrooms, LSD, ketamine or PCP in your blood.

For decades, it has been a criminal offence to drive while impaired by alcohol or drugs or both. Last December, when Bill C-46 came into force, the Department of Justice added specific limits for particular drugs.

“People just have no earthly idea about these regulations,” said Victoria criminal defence lawyer Michael Mulligan. “If police can detect it, you’re committing a crime. Any detectable amount, you’re guilty.”

Canada’s cannabis legalization, while a historical event in the industry, hasn’t seen a particularly smooth transition over the past few months. Companies knew months in advance that demand for marijuana would be extreme once the substance became legal, yet despite best efforts from both private companies and regulators to ensure sufficient supply, chronic shortages have become routine problems in the country.

This is especially concerning for the Canadian government, which worries that is dispensaries don’t have enough cannabis to go around, people will instead turn to black market sources. However, Canada’s top politician in charge of cannabis legalization believes there is enough supply to go around in 2019.

Two separate issues are plaguing these two big cannabis markets, but they have one thing in common: The government limiting the numbers of cannabis produced so that they somehow wouldn’t flood the streets with illegal cannabis.

Applicants aren’t transitioning

In the Canadian system, applicants trying to become cannabis producers are getting stuck in the limbo as they fail to transition to the new system.

According to HC, more than half of the cannabis site applications in Canada haven’t yet transitioned to the new licensing system.

As of December 31st, only 409 cannabis site applications in the queue to be cannabis cultivators had transitioned to the Cannabis Tracking and Licensing System.