California marijuana business lawyers

September 24, 2019

Are Cannabis Hand-Trimmers Soon-to-be-Obsolete?

The cannabis industry has a good number of hand trimmers, those who don so-called “sticky gloves” to spend hours meticulously removing the undesired stems and leaves from the flower. It’s one of the most time-consuming elements of cannabis production, so many hand-trimmers get to know one another well, giving rise to the job having something of it’s own sub-culture within the the cannabis industry. marijuana business lawyer

But that sub-culture might be threatened if auto-trim machines become increasingly popular. A human hand-trimmer can process somewhere between 1 and 3 lbs daily, and are paid a rate of roughly $12 to $20 hourly. Auto-trim machines, meanwhile, can process a great deal more – smaller machines between 3 and 5 lbs an hour and larger trimmers up to 60 pounds an hour.

It is true the machines can be costly, but they tend to pay for themselves very quickly. As our Los Angeles marijuana business lawyers know, the financial burden of heavy regulation and taxation plus fierce competition from the black market has legal cannabis companies keen to seize on anything they can to tamp down their costs. Continue reading

September 22, 2019

California Lawmakers Seek to Ban Marijuana Party Buses

By Cannabis Law Group

State lawmakers are attempting to ban anyone from smoking cannabis on commercial limousines and party buses, citing concern from police agencies that use of the drug in such an environment may impair drivers and result in a higher risk of crashes. marijuana party bus

The ban was proposed by the state Legislature to serve as a counter to a competing bill – Senate Bill 625 – that would allow such recreational use aboard commercial vehicles, but with certain restrictions, so long as the users were over 21 and the driver compartment was concealed. Both of these address a 2017 law that allowing cannabis on charter-party carriers licensed by the state.

Given that California has grown to be one of the biggest – if not the biggest – legal marijuana market in the world since it was legalized by voters in Prop. 64 three years ago, numerous companies have sprung up in almost every sector. One of those are tours of local cannabis businesses in commercial passenger vehicles. This is similar to companies that take customers to breweries and wineries throughout the state.

September 20, 2019

California Cannabis Lawyers Can Help With Water Board Compliance

By Cannabis Law Group

Marijuana is perhaps the most highly-regulated crop in the state. Earlier this year, the state added another complication in the form of regulations imposed by the State Water Resources Control Board, which sets rules (a veritable maze of them) for the cannabis cultivation industry. Los Angeles marijuana farmer attorney

Recently, the California Water Boards sent out some 270 letters to marijuana farmers operating in the Emerald Triangle, warning them to comply with state regulations or else face potential fines – or even loss of their licenses to grow the crop.

The compliance letters were sent to cultivation operations in Mendocino, Humboldt and Trinity counties, informing them of their lack of appropriate permitting for all their cannabis business operations. Continue reading

September 18, 2019

Study Shows California Cannabis Consumers 3x More Likely to Buy Illegal

By Cannabis Law Group

The Golden State boasts the biggest budding legal marijuana market in the world – and yet, consumers in California are three times as likely to to buy cannabis from dispensaries and delivery services that aren’t licensed under state law. That’s according to a recent audit, made public recently, of the thriving underground marijuana trade. marijuana lawyer

Conducted by the United Cannabis Business Association, the audit criticizes both law enforcement and elected officials for their failure to shutter unlawful pot shops. Many consumers are drawn to the unregulated market by online community forums like Weedmaps that for a long time listed unregulated stores. (Weedmaps announced this month it would no longer list illegal marijuana businesses, according to LA Weekly.)

Part of the UCBA’s audit included an analysis of Weedmap’s platform, which showed nearly 3,800 active dispensary and delivery services in the state – with roughly 920 of those having any license listed. This is the data on which researchers’ based their 3-1 figure. Continue reading

September 16, 2019

Would Better Banking Destroy Small Marijuana Businesses?

By Cannabis Law Group

With little or no access to mainstream banking services, all but a few marijuana businesses have remained small ventures. Growth opportunities – within cities, across counties and certainly across state and international borders – are significantly curtailed by the fact that the drug remains illegal under the U.S. Controlled Substances Act. Federal money laundering statutes prohibit financial institutions from offering their services to state-legal cannabis companies so long as the drug remains – no matter how matter how implausibly – a Schedule I narcotic. marijuana business lawyers

Medical marijuana is currently legal in 33 states and 11 states allow recreational marijuana sales and possession. It’s now considered one of the fastest-growing job sources, with some more than $3 billion in projected sales in California alone (the biggest legal market anywhere in the world).

Still, lack of access to banking services has been one of the biggest sources of angst among legal marijuana business entrepreneurs. In addition to difficulty with day-to-day transactions and savings – and all the security issues that arise from being a cash-only operation – marijuana businesses have difficulty starting retirement plans for workers, obtaining insurance or federal bankruptcy protection. Continue reading

September 14, 2019

DEA Appears to be Laying the Groundwork to Shift Its Stance on Marijuana

By Cannabis Law Group

For years, one of the primary reasons given by federal government agencies such as the Drug Enforcement Administration for its stubborn stance on marijuana as a controlled substance is that there is not enough peer-reviewed, independent research on its benefits and dangers. But our Los Angeles cannabis lawyers know that’s a catch-22 because the reason it isn’t studied to any great degree is because it’s a Schedule I narcotic, a category reserved for the most dangerous, addictive substances. For many years, there is only one higher education institution in the country – the University of Mississippi – had federal permission to grow and study cannabis, though even that permission was restricted. marijuana lawyer

Now, while the agency’s stance remains unmoved, it appears that officials are at least cracking open to more study by more universities – and allowing much more of the drug for study, according to a new report by Forbes. Specifically, the DEA is allowing 7,000 pounds of marijuana to be used in scientific, medical and industry research next year, which is 30 percent more than what the agency allowed this year and more than 620 percent higher than what it allowed the year before.

Presumably, this will allow the federal government to create a more accurate profile for marijuana – one that possibly would led to a relaxing of the government’s long-time hard-line stance that the crop should be classified among the most dangerous controlled substances.

A more accurate drug profile, based on ample research, could make it much more likely that we’ll see some form of federal legalization of cannabis. As our Los Angeles cannabis lawyers know, this would ease many of the headaches for cannabis businesses in California – and the dozens of states where the plant is legal. Continue reading

September 12, 2019

A Growing Battle for Cannabis Cultivation Rights

By Cannabis Law Group

The fight over legal California marijuana farming – specifically the question of where it’s allowed – has caused great tension in communities from Sacramento to Napa. Property owners are particularly riled at the loss of home values due to reportedly persistent and overwhelming marijuana grow operations. marijuana lawyers

In one such instance in Santa Barbara County, government officials have begun implementing regulations for the large cannabis farms throughout the region, hoping to address the smell-related issues

But Los Angeles marijuana lawyers know there have been other disputes as well. It’s been more than two years since the state ruled residents don’t need a physician’s note to purchase the drug, but it’s largely up to local governments to decide if cannabis farms are allowed and whether to impose restrictions tighter than state rules. Continue reading

September 9, 2019

Counterfeit Cannabis Products Keep California Black Market Well Stocked

By Cannabis Law Group

marijuana dispensaries As California’s legal marijuana industry continues to bloom, so too does a well-stocked black market, comprised of unlicensed, locally grown cannabis, and a plethora of counterfeit cannabis products.

Fake THC Cartridges Are Flooding California
Of all counterfeit cannabis products, refillable THC cartridges used inside vaping pens are currently most common. Surprisingly, states like California – where recreational cannabis use is legal – appear to be most flooded with counterfeit products. Big brands like Kingpen and Rove have tried to get ahead of counterfeits by repackaging their products, but counterfeits have shown they can keep pace, often reproducing new packaging almost as quickly as the legitimate brands.

And industry insiders unanimously agree, the fakes are getting better all the time. Many knockoff THC vape pens are comprised of illegally but locally grown cannabis, which producers then stuff into refillable cartridge pens, before attaching counterfeit labeling they’ve purchased online, and selling the finished counterfeit pens at discounted prices to illegal pop up shops. To most consumers and law enforcement officials alike, it’s very difficult to tell a real pen from a fake one.
Continue reading

September 6, 2019

California Cannabis Brands Fight Back Against Counterfeit Operators

By Cannabis Law Group

cannabis branding Counterfeits keen to take a piece of the Californian marijuana market share are increasingly targeting cannabis product brands. And the cannabis vaping boom that has swept the marijuana landscape was soon followed by a spate of knock offs. Particularly concerning to big brand vape pen manufacturers including Kingpen, Heavy Hitters and Connected Cannabis Co., is that it’s very hard to discern between real and counterfeit products.

Imitation vape pens are not only hurting brand profits, they’re also sending consumers to the hospital. The Centers for Disease Control and Prevention (CDC) recently noted “anyone who uses e-cigarette products should not buy these products off the street.” That’s because this year alone, several people have been hospitalized suffering from severe respiratory distress after using bootleg vape pens bought from illegal dispensaries, in California and across the Midwest.
Continue reading

September 4, 2019

Breach of Contract in the California Marijuana Industry

By Cannabis Law Group

Orange County marijuana lawyer A lawsuit filed against owners of Santa Ana’s 420 Central – a high profile cannabis store in Southern California – accuses CEO Robert Taft, and executives Jorge Burtin and Jeff Holocomb, of defrauding investors. Among the laundry list of claims made, the complaint alleges:

Breach of Contract;
Fraud;
Breach of Fiduciary Duty;
Conspiracy to Commit Breach of Fiduciary Duty
Dissolution of Partnership and Corporations;
Turnover of Corporate Books and Records; and
Injunctive Relief.