Court Denies Workers' Comp for Medical Marijuana in Landmark Ruling
A US appeals court has upheld the denial of workers' compensation coverage for medical marijuana prescribed to a permanently disabled construction worker. Luis Peña Garcia, injured on the job in 1994, sought reimbursement for cannabis-infused edibles recommended by his doctor. The ruling reinforces federal restrictions on marijuana, even as many states have legalised its medical use.
Peña Garcia suffered severe work-related injuries in May 1994, leaving him with permanent total disability. Under the Longshore and Harbor Workers' Compensation Act (LHWCA), his employer and its insurer were ordered to cover his medical treatment. Years later, a doctor in Puerto Rico prescribed cannabis-infused edibles to manage his chronic pain.
The employer's insurer refused to reimburse the cost, arguing that federal law prohibits marijuana as a valid medical expense. An administrative law judge agreed, stating that marijuana's federal classification as a Schedule I substance—meaning it has 'no accepted medical use'—disqualified it from coverage under the LHWCA. Peña appealed, but the Second Circuit Court of Appeals upheld the decision, citing the Controlled Substances Act (CSA).
The case was heard in the Second Circuit because the Department of Labor's New York office handled Peña's claim. While 38 US states and Washington D.C. now allow medical marijuana under specific regulations, federal law continues to override state-level approvals in workers' compensation disputes.
The ruling leaves Peña without reimbursement for his prescribed cannabis treatment. It also sets a precedent for similar cases under the LHWCA, where federal drug policy takes priority over state medical marijuana laws. Employers and insurers remain bound by the CSA's classification of marijuana as an illegal substance.
