Under federal law (applicable in all states) it is illegal for a person to knowingly or intentionally manufacture, distribute, or dispense a controlled substance—or to possess a controlled substance with the intent to manufacture, distribute, or dispense it. It is also illegal to create, distribute, or dispense a counterfeit substance, or to possess a counterfeit substance with the intent to distribute or dispense it.

The term controlled substance means a drug or other substance—or an immediate precursor to the drug or other substance—that is included in schedule I, II, III, IV, or V of the relevant portion of the United States Code (statute). See 21 U.S.C. §841.

The term counterfeit substance means a controlled substance (or its container or labeling) that—without authorization—bears the trademark, trade name, or other identifying mark, imprint, or number of a manufacturer, distributor, or dispenser other than the person or persons who in fact manufactured, distributed, or dispensed the substance. In other words, a counterfeit substance is falsely represented to be manufactured or distributed by an another (presumably authorized) manufacturer, distributor, or dispenser.

It is also illegal for a person to knowingly or intentionally manufacture, distribute, or dispense a controlled substance—or to possess a controlled substance with the intent to manufacture, distribute, or dispense it—under state law. As under federal law, state laws usually classify substances in groups or schedules that determine which substances are included in the definition of controlled substances, and the potential penalties or punishments for distributing them.

Criminal charges and penalties for these offenses vary from state to state and are usually located in a state’s statutes.

Under both federal and Arizona state law, it is illegal to manufacture, distribute, dispense, or possess with intent to manufacture, distribute, or dispense a controlled substance. Controlled substances are classified into schedules I through V, with Schedule I substances being considered the most dangerous and having a high potential for abuse with no accepted medical use. The classification of these substances is outlined in 21 U.S.C. §841 for federal law and mirrored in Arizona's statutes. Additionally, it is illegal to create, distribute, or possess counterfeit substances, which are drugs misrepresented as being produced by an authorized manufacturer. In Arizona, the specific statutes governing controlled substances are found in Title 13, Chapter 34 of the Arizona Revised Statutes. Penalties for violations of these laws can include imprisonment, fines, and other consequences, and they vary depending on the schedule of the drug involved, the amount, and other factors such as prior convictions or the presence of minors.