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The importance of residency has become a complicated ongoing issue for marijuana business owners in the state ofcannabis regulation Washington, where requirements for marijuana businesses are strict, yet muddled. What started as a residency restriction meant to control big outside mega corporations from putting local businesses at a disadvantage has led to corporations researching ways to exploit residency loopholes and limiting who longtime residents can bring on as partners. Now, due to unclear definition of what qualifies a person for residency, some are concerned how to prove their status.

You see, according to RCW 69.50.331(1)(b), one must be a resident of the state for six months to apply for a marijuana business license. Not only that, all members of the business, no matter how small the stake, must meet the same residency requirement. Further, a “partnership, employee cooperative, association, nonprofit corporation, or corporation” must be formed in Washington according to state laws and meet the above outlined residency requirements in order to be issued a license. Lastly, licensees must comply with residency requirements throughout the duration of the license. Without a firm definition on what constitutes residency, though, some businesses have been in the lurch. Continue reading

A clarification to state regulation regarding marijuana delivery services is offering hope to thousands of abandonedmarijuana business California cannabis users while stirring up the same old fear-based tropes from the anti-marijuana camp. The California Bureau of Cannabis Control is reviewing a set of proposed regulations that would allow licensed marijuana businesses to deliver cannabis products to any California private address, according to a report from Associated Press. The new regulation would cover even cities and local jurisdictions where sales have been banned.

According to the proposed amendment, CA Code of Regulations, Title 16, Div. 42, Ch. 3, Sec. 5146 (d), “A delivery employee may deliver to any jurisdiction within the State of California.” This is a slightly more clear direction than previous verbiage which stated that deliveries could be made using any public roads, which could be (and was) interpreted to mean that drivers could pass through, but not necessarily stop and make a delivery in a jurisdiction in which a sales ban was in place. Continue reading

It seems parents and schools are finally giving more thought to children and the ailments that can be treated withmedical marijuana medical marijuana. Delaware News Journal reported an increasing number of parents are turning to cannabis for their children with especially serious or rare conditions. It’s no wonder then that California lawmakers recently passed a bill to allow medical marijuana on school premises.

SB-1127 was introduced by Calif. Sen. Jerry Hill (D-San Mateo) and has passed both houses of the state legislature. Ultimately, the bill would leave it up to school districts and boards of education to decide whether or not to allow medical marijuana on school grounds. While it’s noble to allow school district to have some autonomy, this decision could lead to much confusion and unnecessary distress. Prop 64 allowed cities in California to maintain a ban on sales and cultivation at their own discretion, and it has led to a great deal of Californians not being able to full participate in the cannabis economies they voted to legalize. Similarly, the most vulnerable students and their parents could very well be pigeon-holed by rigid district officials and judgmental peers who can’t understand the complex decisions a parent must make to ensure their child has the best care possible. After all, cannabis generally isn’t recommended by physicians for children except in severe cases.
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A recent bill out of the California state house would make marijuana compassionate-care programs exempt from themedical cannabis substantial state taxes on the medical cannabis that they supply to patients in need. SB 829 corrects a hole in Proposition 64, which saddled these not-for-profit organizations with taxes. The Compassionate Use Act of 1996 made medical marijuana legal in California, which spurred the birth of compassionate-care programs for patients with serious health issues and financial restraints. According to NORML, these organizations have been able to donate product and function tax-free up until this year when recreational marijuana became legal.

What did recreational legalization have to do with medical marijuana patients and associated care programs? As our marijuana attorneys can explain, after voters approved Proposition 64, government representatives and officials began ironing out how the recreational program would work. It was determined a set of guidelines was needed that could pull together the medical marijuana industry (which had been active for 20 years) with the new recreational cannabis law. That is when MAUCRSA (Medicinal And Adult-Use Cannabis Regulatory Safety Act) was born. What was intended to streamline rules and make things easier for business owners, customers, and law enforcement officials ended up strapping medical marijuana institutions with a significant number of regulations they previously did not have to follow. Continue reading

Economics 101 teaches us about supply and demand, but you don’t need a business degree to see that the supply ofmarijuana business lawyers recreational marijuana retailers is way lower than the demand in California. For every 100,000 residents, there is less than one store available that sells adult-use product, according to recent data released by Marijuana Business Daily. Furthermore, most of those stores are crammed into a few select areas, due to the fact that Prop 64 allows local governments to opt out of allowing sales or cultivation, though they are not allowed to ban personal use. To be more precise, there are 482 cities in California, and to date, only 70 of those cities allow retailers to sell recreational marijuana.

Comparatively speaking, this puts California not only behind its own estimates for store fronts and sales figures, but also behind its peers. It’s been nine months since recreational marijuana sales began in the state. At the nine-month mark in Colorado, the state had awarded 242 licenses. Considering the state has a smaller population than California, this put the total at 4.3 stores per 100,000 residents. Now, Colorado has 10 times the amount of stores per capita, while Oregon currently has 15 times more recreational marijuana stores per person. Continue reading

When starting a cannabis business, there are obvious considerations, such as product, employees, and location. Anmarijuana business equally important, but less discussed, element is security. Considering some security measures are actually built into the regulations for marijuana businesses, this is certainly not something to be taken lightly. Cannabis Business Times recently broke down security recommendations and requirements for marijuana cultivators, and our experienced legal team can expand on these tips and explain the rules other types of businesses must also understand.

It may seem basic, but one of the most important steps the report outlined was assessing risk. You don’t want to be reactive to your security needs, only putting measures in place after a problem presents itself. It’s important to be proactive, and identify all the risk areas, particularly any touch-points where product could be removed from your facility without your knowledge.

Video surveillance is one of the top methods of security in any type of marijuana business, but there are many aspects that must be taken into consideration before choosing the system that’s right for you. Is the video quality high resolution enough? CA Code of Regulations Div. 42, Ch. 1, Sec. 5044 states that minimum camera resolution must be 1280 x 720 pixels. The ability to identify any person recorded must be clear and certain. Your system cannot be in-house only; it must be accessible through the Internet. Continue reading

It is common knowledge among our marijuana business attorneys and our clients that banks are highly restricted inmarijuana business how they can interact with the cannabis industry. Wells Fargo, however, recently took those restrictions too far when the bank closed the account of a candidate in Florida who made cannabis legalization a tenant of her campaign platform. According to New York Times, Nikki Fried is running for Florida agricultural commissioner and said expansion of the state’s current program is her highest priority.

The candidate runs her campaign finances through Wells Fargo, who questioned her support of marijuana and whether or not she also was planning to take donations from marijuana businesses to fund her campaign. When her campaign workers confirmed she would take such donations, Wells Fargo made an unprecedented move in shutting down her account.  Continue reading

To assist California cannabis growers establish their regions as brands, the California Department of Food and cannabis businessAgriculture is working on a system of regulations for naming craft cannabis strains. According to a report from Ganjapreneur, this is similar to the way the system of naming works for wines, in which a wine must actually be from the Napa region in order to carry that moniker on its label. CalCannabis Cultivation Licensing, the arm of CDFA that controls marijuana growers, is planning workshops in September to gather feedback and provide more information to cultivators.

The area known as the Emerald Triangle in Northern California has earned its name due to its high rate of cannabis cultivation. In fact, it’s the largest marijuana-producing area in the country. Growers in the region would like to capitalize on their world-renowned status to help give their product recognition and increase its desirability. They pride themselves on creating interesting, high-quality strains and growing in top-notch environments, and they want to make sure that random grow operations from some other region can’t use their regional names on their own labels.
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It’s about time. The Drug Enforcement Administration is moving to increase the amount of cannabis to be legallymedical cannabis grown for research purposes in the U.S. and decrease the amount of opioid drugs produced under the group’s watch. You heard that right. The same organization whose leaders for years have been wringing their collective hands over marijuana, who said we simply did not know enough about its effects, who defended its Schedule I classification, might finally be waking up to smell the coffee the rest of the country has been happily sipping for some time now.

According to a report from Forbes, a new Federal Register filing shows the agency increasing allowance of cannabis plants to 5,400 pounds in 2019, more than five times the 1,000 pounds the department OK’d this year. Representatives of the department said the move was necessary to meet the demands of the medical and scientific communities for research purposes. Of course this demand is nothing new. Health care providers, laboratories, and medical schools have been desperate for proper research on cannabis for decades. California medical practitioners have been using limited studies, anecdotal evidence, and trial and error to treat patients since medical marijuana was legalized in the state in 1996 under Proposition 215. Continue reading

Constellation Brands has made the biggest investment the marijuana industry has ever seen with a mighty $4 billionmedical marijuana going to Canopy Growth. Canopy Growth, a Canadian company, was already considered one of the giants of the cannabis industry, and this investment will only further their global footprint, according to a report from Esquire. Meanwhile, Constellation is diversifying its portfolio, which currently consists of major alcohol brands, such as Modelo and Corona.

The relationship between Constellation and Canopy Growth is not a new one. Last year, Constellation made an investment in the company of $191 million to develop a drink infused with cannabis. Now, with Canada passing full legalization of marijuana, Constellation executives are getting on board one of most anticipated industries in the world in a more substantial way; they now hold a 38 percent stake in Canopy Growth. The most recent investment won’t just go to beverage research, but also into edibles, new medical marijuana advancements, and worldwide growth. Continue reading

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