Los Angeles Marijuana Lawyers Highlight 2018: Cannabis’ Biggest Year Yet

Happy toking, Happy New Year!

I don’t drink alcohol unless it’s a rare occasion; I prefer cannabis. It’s more and more common these days to see people putting down the drinks to favor lighting up or munching down. Making this choice can take some navigating and New Years Eve has its own set of challenges. If you are ringing in […]

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2018 – A Blazing Year in Review

2018 was a spectacular year for the cannabis movement globally. Nations around the world took positive steps to reform laws surrounding cannabis as did several states throughout the United States. There were significant financial mergers between various cannabis specific brands and others looking to venture into the sector. Monumental steps were taken in the United […]

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Puration Inc. Cannabis Beverage Appeal Refreshed with Anheuser Busch and Tilray Deal

DALLAS, Dec. 26, 2018 (GLOBE NEWSWIRE) — via OTC PR WIRE — Puration, Inc. (USOTC: PURA) (“PURA”) today reemphasized the company’s cannabis beverage industry experience and direction in light of the recently announced Anheuser Busch Inbev NV (NYSE:BUD) and Tilray Inc. (NASDAQ:TLRY) cannabis-infused beverage deal, with both firms investing $50 million each to research potential beverage production. […]

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One Year at California Recreational Marijuana: L.A. Cannabis Law Firm Looks Back

When California passed a measure permitting the sale of marijuana for recreation, there was a presumption that within short order, there would be cannabis farms cropping up all over the state, shops in almost every city and that adult consumers could score a stash with a stroll down the street or a quick dash across town. However, as our Los Angeles marijuana business owners have observed, the reality hasn’t quite measured up. In fact, while this is indeed the largest market in the U.S., it hasn’t performed at the same clip the state and business owners would have hoped.

As recently reported by The Los Angeles Times, factors at play include retail operations bridled by a host of regulations, oppressive taxes and decisions made in most cities to prohibit the retail stores. Cannabis law firms have also noted some shops have been dragged to city hall over neighbor’s complaints their presence is a nuisance. Police in several districts have expressed concern about crimes related to both the industry and illicit trade, which hasn’t completely disappeared, given the markup prices on legal marijuana.

Los Angeles marijuana attorneys see a wide range of legal cannabis challenges for the incoming governor, Gavin Newsome, who takes office in January. These include initiatives like:

• Inability of California marijuana shops to access banking services.
• Crippling tax burdens on pot shop retailers.
• Illicit marijuana cultivation and sales, mostly stemming from high cannabis costs due to government taxation and regulation.
• Problematic issues with sales of marijuana to minors.
• Stifled growth of cannabis industry due to ongoing federal restriction on the drug.

One business owner likened the process of securing a license to operate a pot shop similar to “the Hunger Games,” a dystopian tale that involves fights to the death. State officials thought when Proposition 1 passed in 2016, there could be as many as 6,000 licensed cannabis shops in California by the end of 2018. Yet here we are, roughly 1,790 licensed shops in total, with the California Bureau of Cannabis Control issuing just 550 temporary and annual license a year. It is likely there are retail locations and delivery services flying under the radar.

Our Los Angeles marijuana lawyers know a fair number of clients who have expressed frustration at the lack of a crack down on these operations that siphon business by offering a cheaper product. Products sold on the street aren’t guaranteed safe, but they also don’t have to undergo the $500- to $1,000-a-batch testing that licensed shops do (another factor that drives up the price for legitimate shops). Unlicensed dealers can face some serious consequences, especially if they’re selling products to minors or anywhere practically within earshot of a school or daycare. Officials with the CBCC as well as local police say they have been working to address this, but more allocation of resources is necessary.

In total, state officials estimate they’ll receive roughly $471 million in revenue from cannabis shops in 2018, which isn’t chump change, but does fall short of the $630,000 the governor had promised in his budget prior to approval. State officials say that while they are willing and ready to process additional licenses, the reason they haven’t is because the system as established is predicated on the notion of dual licensing and local control.

What many local city councils don’t seem to understand is that they are not eliminating the sale of marijuana by barring cannabis shops from doing business there. They are already there. Our Los Angeles marijuana lawyers and others will continue to push back on and advocate for reversing these bans. The more places that can operate above board, the less people will turn to the black market.

We’re optimistic there will be positive headway made for legal marijuana businesses, and we’ll keep fighting right alongside you.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

One year of legal pot sales and California doesn’t have the bustling industry it expected. Here’s why, Dec. 27, 2018, By Patrick McGreevy, The Los Angeles Times

More Blog Entries:

Why Small Marijuana Businesses Need a California Cannabis Attorney, Dec. 22, 2018, Los Angeles Marijuana Lawyer Blog

from https://www.marijuanalawyerblog.com/one-year-at-california-recreational-marijuana-l-a-cannabis-law-firm-looks-back/

The blog post One Year at California Recreational Marijuana: L.A. Cannabis Law Firm Looks Back is available on Mrs. Hardy 420!

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2019 to Bring Boom of Multi-State Cannabis Companies, Mergers and Acquisitions

Most of the marijuana businesses in California and across the country run by small, independent entities operating in a limited regional network within their own state. Los Angeles marijuana business attorneys have seen several indications we might see a major shift on this front in 2019. There are already four large multi-state marijuana businesses in operation, and as more national and international companies enter the fray, we’re likely to see a boom of large cannabis business growth – partially or primarily through mergers and acquisitions. 

Historically, cannabis business ventures have been small as federal law has hindered businesses from stretching across state lines. While the states control trade within their borders, the federal government has jurisdiction over interstate sales – and cannabis is still under federal law considered a Schedule I dangerous narcotic. But with the drug legalized in some form now by 33 states and available for recreational use in 10, legal in Canada and poised for legitimacy in Mexico, this is probably going to change (though it’s tough to say exactly when). State and local governments are embracing the tax revenue these companies rake in and they’re spending less on police resources to bust people for petty marijuana possession charges. A legal marijuana industry analyst with Forbes opined next year will see an explosion of cannabis mergers and acquisitions.

Still, expanding the tentacles of one’s marijuana business into other states is still very risky and could result in millions of dollars in losses if they overreach or fail to follow the stringent regulations set forth by each state. There are personnel issues, regulatory issues and sometimes just rotten luck. But even for smaller cannabis businesses in Southern California, staying competitive in this rapidly expanding and evolving market may require it. If you’re thinking about branching out – whether into the next county or across state borders, you can begin strategic business plan discussion with an experienced Los Angeles marijuana lawyer who can help you maximize your odds of success and minimize the liability risk. 

How a Cannabis Law Firm Helps With Multi-State Marijuana Business Expansion 

There are so many considerations that must be weighed when deciding to take this plunge. In speaking with a Los Angeles marijuana business attorney, you’ll learn a few of those include:

• State-by-state licensing. This is mission critical if you want to expand operations in another state. There is no federal law that regulates marijuana, so each state has its own specific regulations and licensing processes – and they can be widely varying. Your cannabis regulatory and compliance attorney can help you look at the residency and ownership requirements of each state so you can plan accordingly.
• Securing the property. More than likely, you’re going to need qualified real property on which to run your out-of-state operations. There are all kinds of zoning rules, regulatory restrictions and other challenges that can make this aspect a headache – and that’s before you even get to negotiating the lease or purchase of that property. The type of structure and where choose to locate your marijuana business is extremely important for both compliance and security reasons, as most cannabis businesses are still almost exclusively cash-based.
• Structuring your marijuana business. Because of the federal law that outlaws marijuana, it’s unlikely if not impossible that the limited liability company that’s based in and licensed by the State of Colorado will be qualified to do business in California. At minimum you’ll probably need at least two licenses, one for each state. You may need to establish separate entities for each section, which not only ensures you are properly licensed, but that your whole corporation doesn’t collapse if for some reason one section flounders. Having a cannabis business company with experience establishing business plans in multiple states (as our attorneys do) will be essential to your success.

The whole concept of inter-state expansion isn’t a far-off possibility for California marijuana entrepreneurs. The time to start planning is today.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

Growing Ambition, Companies leverage capital, partnerships and diversification to expand beyond state lines, Nov./ Dec. 2018, By Omar Sacirbey, Marijuana Business Magazine

More Blog Entries:

California Marijuana Lawyers Talk Practical, Legal Hurdles for Hemp Food Manufacturers, Dec. 20, 2018, California Marijuana Lawyer Blog

from https://www.marijuanalawyerblog.com/2019-to-bring-boom-of-multi-state-cannabis-companies-mergers-and-acquisitions/

2019 to Bring Boom of Multi-State Cannabis Companies, Mergers and Acquisitions is republished from https://www.mrs-hardy.com

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Growing Complexity of Cannabis Supply Chains Spurs Logistics and Distribution Competition

Strict state regulations on transport and distribution of marijuana in California has spawned a thriving new ancillary industry: Third-party logistics (3PLs). These are independent companies that don’t grow or produce cannabis or related products, but help ensure orders are accurately filled, delivery demands are met on time and products are properly preserved between destination points. Of course, third-party logistics firms have been around for ages, working within just about every national or international market sector, but as Los Angeles marijuana business attorneys can explain, they’re pretty new to this particular economic sector. In California, the state requires licensing for “distributors” and “transporters,” basically the “mandatory middle-men.” 

One recent report by logistics trade publication Supply Chain 24-7 detailed burgeoning efforts to build a strategy for state-level supply chains, but also for what some believe may sooner than later become a global supply chain. One logistics firm working on this has its sights on Canada, and with development help from its technology and finance partners is hoping to on-board major licensed marijuana producers, retail distribution centers and government regulators.

Most global third-party logistics for cannabis are likely to employ some type of blockchain, given mandates that product be tracked and accounted for from seed-to-sale. Blockchain is a type of digital ledger for sales transactions made on a cryptocurrency platform like bitcoin, which are meticulously recorded in chronological order and recorded for the public. Cyrptocurrency is likely to be the preferred method of payment for ancillary cannabis companies that have expanded to the point of needing a third-party logistics firm to manage its supply chain. This will help not only keep track of cannabis products and sales, it will improve consumer safety and allow for rapid recalls of tainted marijuana, ensure legal sourcing of marijuana products and facilitate automatic tax and legal process requirements.

Given projections that cannabis will explode into a $500 billion industry worldwide, Los Angeles marijuana business attorneys know California cannabis suppliers, product manufacturers and retail distributors were going to have to stay on top of this trend just to stay competitive anyway. Even now as the industry is brand new, most cannabis companies in Southern California don’t have the capacity to handle their own distribution. Growers, concentrate producers, edible makers and others in the industry are in the business of putting out the best product, and logistics is a critical component of the business that requires more workers, vehicles, licensing and precise standard compliance. Many are finding it’s easier to leave the logistics to companies that have already established effective technology, partners and routes. Some firms specialize in distribution of high-maintenance products, such as raw flowers. Others will take on a variety of products.

The biggest conglomerate of distributors – now representing 50 of them – launched in Los Angeles has been operational since 2016, preparing for launch even before recreational marijuana was legal in California, after the state made changes to the medical marijuana regulatory system and designated a specific license type for distributors.

There are some variations of these third-party firms, some focusing solely on preparing, packing, shipping and delivery, while others do that plus marketing for their marijuana business customers. Arranging the right transport and distribution partner is important to your success. A marijuana business plan attorney in California can help you verify licensing and be certain you’re making a sound business choice.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

B2B Cannabis Logistics and Compliance Platform WAYV Raises $5 Million Seed Round, Oct. 29, 2018, Business Wire

More Blog Entries:

California Marijuana Attorneys Expect Hemp Farming to Grow Across U.S., Dec. 9, 2018, Los Angeles Marijuana Business Lawyer Blog

from https://www.marijuanalawyerblog.com/growing-complexity-of-cannabis-supply-chains-spurs-logistics-and-distribution-competition/

Growing Complexity of Cannabis Supply Chains Spurs Logistics and Distribution Competition is republished from Mrs. Hardy 420!

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Report: California Banking for Bud Businesses is a Bust

Hopes of a public bank to serve California cannabis companies appear to have fizzled with an extensive marijuana banking report from the state Treasury Department explaining that as long as marijuana remains a Schedule I narcotic per U.S. Code, any publicly-funded banking intended for companies that sell it would put tax money at risk.

When you’re working with a Los Angeles marijuana business lawyer to get your cannabis business plan, licensing, permits, insurance and quality compliance in order, inevitably, one issue that will arise is how you plan to manage your money. Cannabis companies can’t just open a business checking or savings account like any other because technically, selling marijuana is still against federal law, thus proceeds are “dirty money,” and any banker who works with these firms knowing what they do could be found guilty of money laundering. That would cost the financial firms their banking charters and effectively put them out of business.

Of course, it’s utterly ridiculous given that the plant is legal now in most states in some form or another. Los Angeles marijuana lawyers suspect U.S. law will eventually catch up to the science and times. For now, though, California pot shop owners slog through major logistical hurdles of operating almost exclusively in cash, leaving them vulnerable to robbery, thwarting growth and denying additional tax revenue to both the state and local governments. 

Although there is clearly a need for some type of solution, the report’s findings align with conclusions reached by the state’s attorney general as well as state legislators, who voted down a bill to launch a public bank for pot shops earlier this year.

The report, titled, “State-backed Financial Institution (Public Bank) for the State of California Servicing the Cannabis Industry Feasibility Study 2018,” explains why such a move would pose potentially insurmountable challenges. Among the cited reasons our Los Angeles marijuana business lawyers found worthy of note:

• A state-funded public bank would necessitate roughly $1 billion in capital investments, which would likely take about six years to acquire. Further, it could be as many as three decades after its opening before the public bank started seeing dividends, meaning earliest possible date could be 2050.
• If the federal law changed at any point in the interim while the state bank was building up to that point, it would end the pressing need for a state-backed baking solution.
• Public banks, the group concluded, have historically had marginal or no success profit-wise. As it now stands, there are two – one in North Dakota and another in American Samoa. They aren’t exactly the best model to predict a forecast, though, since neither cater to cannabis companies.

Researchers recommended two likely more expedient solutions. One is placing pressure on the federal government to amend the Controlled Substances Act to remove marijuana as a listed Schedule I narcotic. This would eliminate the need a public bank altogether. In the meantime, policy analysts recommended the state establish an agency responsible to determine how the state processes marijuana business money and encourage private sector banks to work with California cannabis companies that are abiding state law.

Marijuana business lawyers in Los Angeles can provide consulting to entrepreneurs in the process of formulating or reworking financial strategy and business plans that will maximize security and success.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

State-backed Financial Institution (Public Bank) for the State of California Servicing the Cannabis Industry Feasibility Study 2018, Dec. 6, 2018, Level 4 Ventures, Inc., on behalf of California Treasury Department

More Blog Entries:

California Marijuana Company Siphons Uber, Lyft Workers for Cannabis Deliveries, Dec. 10, 2018, Los Angeles Marijuana Lawyer Blog

from https://www.marijuanalawyerblog.com/report-california-banking-for-bud-businesses-is-a-bust/

The article Report: California Banking for Bud Businesses is a Bust was first published on The Mrs. Hardy Blog

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California Cannabis Lawyers Fight to Ensure Promised Industry Equity

Los Angeles marijuana lawyers know the California Cannabis Equity Act of 2018 as an act of penance. It would never make up for the upended lives or communities torn asunder in a decades-long government failure that was the “War on Drugs.” It was an effort that cost untold billions, frequently sparked caustic tensions between police and the people and targeted mostly those in poor minority communities. But the programs meant to give a leg up to those unfairly affected appears to have hit many stalls and snags. Some wonder if that wasn’t intentional, given that the program has been controversial in some circles.

When California voters legalized recreational marijuana for adults in 2016, suddenly there were people getting rich doing the same thing that led to arrests, prosecution and harsh minimum mandatory prison term for tens of thousands. Even after their release from incarceration, the government’s civil seizure of  all assets even tenuously connected to drugs, plus the stigma of a permanent “felon” label blocked access to student loans (sometimes any loans),  job opportunities and housing options.  The racial disparity of the impact stunning. The ACLU reporting blacks were arrested at a rate of four-fold higher than whites, despite basically the same usage rates. It was way worse in some communities, like Oakland, where black residents accounted for 27 percent of the population but 77 percent of those arrested for marijuana.

The concept of “cannabis equity” is that those hit much harder by harsher marijuana laws should now be extended lower entry barriers into the legal California cannabis market. California earned a fair amount of applause for the initiative, one no other legal marijuana state has launched. Funded by $10 million in loans, grants and support services, there are currently just four local branches operating  – Los Angeles, Oakland, Sacramento and San Francisco. But some report it’s not going so smoothly. As reported by Pew Charitable Trusts, a number of local equity offices (funded by the state’s Department of Cannabis Control and Regulation) have had trouble with launch – potentially delivering yet another blow to applicants, giving other non-equity program cannabis companies a head start into those markets.

Los Angeles marijuana business attorneys have seen issues with some of the following:

• Funding and staffing shortfalls in social equity programs;
• Extended wait times for business license processing – even once it’s established the applicant does qualify.
• Lax oversight in arrangements made through the program connecting social equity businesses and outside investors, leading many to point out the financial risk this places on the social equity candidate, up to and including loss of his or her fair share in the company. Investors are almost always necessary because social equity applicants aren’t wealthy and may not even have access to typical bank loans. Investors apply through the local agency to partner with a social equity applicant, and the idea is it will ultimately be successful for everyone. But some say it’s turned predatory, with investors targeting social equity applicants for fraud while the state offers little oversight. The most common complaint is an investor using the social equity marijuana applicant to get a foot in the door, then leaving the fledgling business owner without a fair stake in the company.

There is a belief shared among minority community advocates that the social equity system in Los Angeles especially was “set up to fail.”

There is talk more money could be allocated to the programs, which could possibly be used to extend 4-to-5-year no-interest loans to social equity marijuana business owners – so they wouldn’t have to rely as much or at all on private, potentially unscrupulous investors.

Those interested in applying for the cannabis social equity program in Los Angeles would be wise to work with an attorney experienced in marijuana law. You cannot necessarily count on the state to look out for your interests, properly vet investors or protect against fraud. Your attorney can often fill that role and help you navigate this frustrating and slow-moving bureaucracy.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

Challenges – and controversy – swirl around marijuana social equity programs in California, Nov. 29, 2018, Marijuana Business Daily

More Blog Entries:

More California Marijuana Products Passing Stringent Safety Tests, Dec. 16, 2018, Los Angeles Marijuana Lawyer Blog

from https://www.marijuanalawyerblog.com/california-cannabis-lawyers-fight-to-ensure-promised-industry-equity/

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Why Small Marijuana Businesses Need a California Cannabis Attorney

The legalized marijuana market in California is booming with a rising number of investors (hoping for returns the next big thing), horticulturalists carving out regional and brand niches and more recreational pot shops and cannabis couriers than ever before. Still, many who have tried to launch a California small marijuana business – either from an exiting platform or from scratch – are finding themselves squeezed out.

For the “mom-and-pot spot” owners either just starting out or wondering how their doors will stay open, it can be tempting to try trimming expenses and skimping on legal services. But even if expenses are tight, this isn’t a good idea. Cannabis law in California isn’t like writing up a simple contract or printing off a power of attorney form from a free site. It’s complex. It’s been changing fast. It varies from city-to-city. It’s got this complicated relationship with federal law. It’s really the type of legal insight you can only get from an attorney who not only practices California cannabis law, but has been doing it for decades.

California legal cannabis market isn’t just about capital. It’s about compliance. If you’re busy trying to cut through state bureaucracy or negotiate a commercial leases on your own, you are firstly  Our marijuana lawyers work with you to help you make sure you’re covered from a legal standpoint. We want to be sure your time, monetary investment and dream is protected.

Examples of the ways a lawyer can help keep you in the game and competitive:

• Strict adherence to local ordinance and state laws.  These are just burgeoning, increasingly tight, expensive and constantly evolving. All must be followed to the letter if any marijuana venture is going to make it. Larger companies have a difficult time as it is keeping pace. A small marijuana business owners have a difficult time staying competitive as it is. Forgoing a cannabis lawyer (either on retainer or occasional consultant) will make this your responsibility, and few small business owners have the time and energy to do both and still put out a great product.
• Proper establishment and periodic review of business structure. The cannabis industry is still in a state of flux and upheaval. The best practices, safety standards, laws, taxes and enforcement are still being worked out. Many existing commercial cannabis stores in L.A. started as medical marijuana dispensaries or cooperatives, both following state rules and federal policy that would later be completely tossed out the window. There will be an equilibrium restored eventually, but right now, making sure the business structure makes the most sense for your operation is important.
• Assurance of proper state and local licensing and registration. Experienced California marijuana small business attorneys will tell you licensing and registration of this industry has been all over the place, with local governments exerting a fair amount of control still too. (Not always though, as we saw recently when state regulators intervened to halt arrests of marijuana delivery drivers, as long as they were following state laws.) Cities and counties can still ban retail sales of the drug, though, so working within whatever additional guidelines they have is important.
• Real estate purchases or commercial contract leases. So many issues have related to commercial real estate purchases and rental agreements can become major thorns in the side of any small business. This is 100 times more true for California marijuana businesses. Considerations include the building type, ensuring code compliance, far distance from schools and day cares, what kind of security you will need in that neighborhood at that location, who is paying for insurance (if you even can) and contractual contingencies that may well protect the cannabis company owner and the landlord from the possibility of civil asset forfeiture claims. This is less an issue since the Rohrbacher-Farr amendment to the federal spending bill, passed in 2014 instructing the U.S. Justice Department to stand down on enforcement of  marijuana businesses in compliance with state laws. Unfortunately, Congress has to renew it annually to stay in place. Earlier this year, then-U.S. Attorney General Jeff Sessions promised to push back on federal marijuana enforcement, but wasn’t able to make good on that promise before he was pushed out. Until federal lawmakers prioritize making this lawful (and it does truly seem a matter of time), cannabis companies will remain vulnerable to the possibility of that danger.
• Intellectual property protection. There are scores of new pot products developed in rapid succession. A small business owner who comes up with an excellent idea must do what’s necessary to protect it – whether it’s a technique, a brand name, a slogan, a trademark or recipe. This not only protects others from swiping your goods (and gives you grounds to demand recompense if they do), it also helps shield you and your company if someone else insists they dreamed it up first.

The good news is states starting to recognize that sinking small marijuana businesses under such heavy expense and regulation doesn’t just hurt the economy, it risks more activity on the gray and black markets. In response, they’ve started examining other ways to incentivize smaller firms to stick it out. Our long-time Los Angeles cannabis attorneys are committed to helping small marijuana business lawyers overcome the biggest hurdles and get them set for the best course of success.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

As Smaller Marijuana Businesses Get Squeezed, State Revenue Takes a Hit, June 21, 2018, By Scott Rodd, Stateline

More Blog Entries:

California Marijuana Lawyers Talk Practical, Legal Hurdles for Hemp Food Manufacturers, Dec. 20, 2018, Los Angeles Marijuana Small Business Lawyer Blog

from https://www.marijuanalawyerblog.com/why-small-marijuana-businesses-need-a-california-cannabis-attorney/

Why Small Marijuana Businesses Need a California Cannabis Attorney was first seen on https://www.mrs-hardy.com

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Evergreen Cannabis Society becomes Vancouver’s first licensed dispensary

It’s been over two months since Canada officially legalized cannabis, and finally, Vancouver will get its first legal and licensed dispensary- the Evergreen Cannabis Society in Kitsilano. It’s opening this Saturday, Dec. 29, at 2868 West 4th Ave. Evergreen Cannabis Society announced their grand re-opening on Twitter, as the dispensary had to voluntarily shut down […]

The post Evergreen Cannabis Society becomes Vancouver’s first licensed dispensary appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/evergreen-cannabis-society-becomes-vancouvers-first-licensed-dispensary/

The following blog article Evergreen Cannabis Society becomes Vancouver’s first licensed dispensary is available on www.mrs-hardy.com

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Pall Cast Over Hemp Win as FDA Dubs CBD Products Illegal

The U.S. president’s signature on the major farm bill earlier this month was a big win for legalized hemp. However, our Los Angeles marijuana product sales attorneys have just learned the passage of that measure won’t necessarily grant blanket protection for CBD oil, after the U.S. Food and drug administration issued warnings to a number of cannabis product makers making certain health claims about products produced with CBD, formally known as cannabidiol.  The hemp-derived extract is becoming increasingly popular in a range of products, including foods, lotions and medicines.

A week after the farm bill was passed, the FDA Commissioner issued a statement underscoring the department’s position on CBD oil and related products. The commissioner stated in plain terms that CBD oil is a drug ingredient, and thus is unlawful to put in food or health products absent any prior approval from the FDA, with the main concern being potential risk to patients when products haven’t been proven to be effective or safe.

Remember: CBD is the non-psychoactive compound found in hemp, which is a version of the cannabis plant that is very low in THC. It’s the THC infused naturally in marijuana that gives off the high. CBD is in a number of medications that are approved by the FDA for treatment of certain ailments. Epidiolex, a CBD-oil infused syrup used to treat seizures, is one, having just received its stamp of approval this past summer. 

Los Angeles marijuana product sales attorneys understand the FDA memo released after the farm bill approval did indicate the agency deemed hemp safe as an ingredient in foods. Still, the stance on CBD oil is disappointing. It’s unlikely to be the last word on the matter, though. For one thing, “stances” can change. The groundswell of Congressional support for a more sensible classification for marijuana and its derivatives is snowballing as an increasing number of states approve the drug (both medicinal and recreational) and the amount of corporate and government investment balloons.

Already, numerous legislators have signaled they intend to once again push the feds to adjust their marijuana policies. They’ve been getting added pressure from hemp farmers in Oregon, California and other locations. As one senator from Oregon noted, there needs to be a clear pathway for CBD oil and hemp products to get to the market legally and safely. In this case, one lobbyist the Chicago Tribune, this represents an opportunity for the industry to help the government better understand hemp and CBD oil, its benefits for a wide range of medical conditions and its lack of health risks (not to mention the huge financial gains for state and local governments, jobs created, etc.).

The FDA commissioner did say the agency will be hosting a meeting open to the public sometime in the near future that specifically invites stakeholders within the hemp industry to provide comment and weigh in on existing federal policy.

If you are a grower of hemp in California or a producer of hemp derivatives like CBS oil or products made with them, our Los Angeles marijuana product sales attorneys can help you best navigate the many potential administrative, legal and financial hurdles.

Hemp was already legal in a number of states prior to Trump signing off on the farm bill. However, the farm bill removed hemp and other parts of the cannabis plant from the Controlled Substances Act, relegating products made with hemp seeds, oil and powder protein to “General Recognized as Safe (GRAS)” status, allowing farmers to purchase crop insurance, have eligibility for grants and loans and write off expenses for their business when their file their taxes – just as any other farmer would.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

F.D.A. moves on hemp, December 2018, By Jeff Gelski, FoodBusinessNews.com

More Blog Entries:

More California Cannabis Testing Regulations on the Horizon, Dec. 17, 2018, Los Angeles Marijuana Product Sales Attorney Blog

from https://www.marijuanalawyerblog.com/pall-cast-over-hemp-win-as-fda-dubs-cbd-products-illegal/

Pall Cast Over Hemp Win as FDA Dubs CBD Products Illegal was first published on Mrs. Hardy 420!

source https://www.mrs-hardy.com/2018/12/28/pall-cast-over-hemp-win-as-fda-dubs-cbd-products-illegal/

Health Canada on what’s allowed for seeds, plants, and more

Editor’s Note: The following response was provided by Andre Gagnon, media relations advisor for Health Canada. The Cannabis Act and its Regulations provide, among other things, the framework for legal access to cannabis and control and regulate its production, distribution and sale. The oversight of the cannabis supply chain is a shared responsibility across federal […]

The post Health Canada on what’s allowed for seeds, plants, and more appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/health-canada-on-whats-allowed-for-seeds-plants-and-more/

Health Canada on what’s allowed for seeds, plants, and more was originally published to The Mrs. Hardy Blog

source https://www.mrs-hardy.com/2018/12/28/health-canada-on-whats-allowed-for-seeds-plants-and-more/

The harsh reality of the proposed regulations for edibles and concentrates

After months of uncertainty, the federal government has unveiled official proposals to legalize cannabis edibles. The much-awaited scheme was released on December 22, 2018, following extensive research and community consultation – and while it is reasonably in line with what many industry insiders had anticipated, there are still a number of wrinkles to iron out. […]

The post The harsh reality of the proposed regulations for edibles and concentrates appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/the-harsh-reality-of-the-proposed-regulations-for-edibles-and-concentrates/

The blog article The harsh reality of the proposed regulations for edibles and concentrates Find more on: Mrs. Hardy 420!

source https://www.mrs-hardy.com/2018/12/28/the-harsh-reality-of-the-proposed-regulations-for-edibles-and-concentrates/

“Baristas” Partners with “Flower Power” to Bring CBD Coffee to Mainstream

SEATTLE, Dec. 19, 2018 (GLOBE NEWSWIRE) — via OTC PR WIRE — Baristas Coffee Company, Inc. (OTCPK:BCCI) and Flower Power have partnered to bring high-end CBD Coffee to the masses, launching Baristas EnrichaRoast CBD as the first of its new line of infused coffee that promotes healthy living. Unlike early more primitive attempts by others […]

The post “Baristas” Partners with “Flower Power” to Bring CBD Coffee to Mainstream appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/baristas-partners-with-flower-power-to-bring-cbd-coffee-to-mainstream/

The following post “Baristas” Partners with “Flower Power” to Bring CBD Coffee to Mainstream is available on https://www.mrs-hardy.com/

source https://www.mrs-hardy.com/2018/12/26/baristas-partners-with-flower-power-to-bring-cbd-coffee-to-mainstream/

How Cannabis Inspires and Ignites Creative Fires in music and beyond

Cannabis is a lot of things to a lot of people and different for everybody. This amazing plant helps relieve pain, depression, anxiety and a plethora of other symptoms and conditions. It’s also notorious for helping spark the imagination and getting those creative juices flowing, making cannabis more than just a plant for medical benefits […]

The post How Cannabis Inspires and Ignites Creative Fires in music and beyond appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/how-cannabis-inspires-and-ignites-creative-fires-in-music-and-beyond/

The article How Cannabis Inspires and Ignites Creative Fires in music and beyond See more on: The Mrs. Hardy Blog

source https://www.mrs-hardy.com/2018/12/25/how-cannabis-inspires-and-ignites-creative-fires-in-music-and-beyond/

Growing Cannabis in Canada: A Guide to What’s Legal, from seeds to plants

If you wanted to know how to grow cannabis in Canada, look no more. This guide will take you through everything from seeds, plants, and what’s legal. What does the law say? Cannabis Act – “Subsection 12: Production, cultivation, propagation and harvesting — 18 years of age or older (4) Unless authorized under this Act, […]

The post Growing Cannabis in Canada: A Guide to What’s Legal, from seeds to plants appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/growing-cannabis-in-canada-a-guide-to-whats-legal-from-seeds-to-plants/

The following blog post Growing Cannabis in Canada: A Guide to What’s Legal, from seeds to plants was originally published on https://www.mrs-hardy.com

source https://www.mrs-hardy.com/2018/12/25/growing-cannabis-in-canada-a-guide-to-whats-legal-from-seeds-to-plants/

Cool Cannabis – Cool Brewery waiting for processing license from Health Canada

TORONTO, Dec. 20, 2018 /CNW/ – Cool Beer Brewery continues to expand operations across multiple (regulated) beverage segments. Cool already has multiple federal and provincial licensees to produce and package beer, wine, ciders and coolers; Cool is now looking to expand their business to include infused (cannabis based) beverages. “At the start of the year we applied […]

The post Cool Cannabis – Cool Brewery waiting for processing license from Health Canada appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/cool-cannabis-cool-brewery-waiting-for-processing-license-from-health-canada/

The article Cool Cannabis – Cool Brewery waiting for processing license from Health Canada Find more on: Mrs. Hardy's 420 Blog

source https://www.mrs-hardy.com/2018/12/23/cool-cannabis-cool-brewery-waiting-for-processing-license-from-health-canada/

Why cannabis can be such an effective tool against opioid addiction

Vancouver is stepping up and getting serious about fighting the opiate crisis. An emergency overdose task force established by the mayor has just released an incredible report full of good recommendations. Some of these can actually make a difference while other recommendations do not go far enough; regardless, it is nice to see a big […]

The post Why cannabis can be such an effective tool against opioid addiction appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/why-cannabis-can-be-such-an-effective-tool-against-opioid-addiction/

The blog post Why cannabis can be such an effective tool against opioid addiction was first published on https://www.mrs-hardy.com

source https://www.mrs-hardy.com/2018/12/23/why-cannabis-can-be-such-an-effective-tool-against-opioid-addiction/

Aphria Completes Second Medical Cannabis Shipment to Australia-Based Partner Althea

LEAMINGTON, ON, Dec. 20, 2018 /CNW/ – Aphria Inc. announced that the Company has completed its second shipment of approximately 80 L (equivalent to approximately 20 kg of dried bud) of medical cannabis to its Australian-based partner Althea Company Pty Ltd. (“Althea“). Under a previously announced supply agreement with Althea (the “Agreement“), Aphria is providing packaged co-branded cannabis oil and […]

The post Aphria Completes Second Medical Cannabis Shipment to Australia-Based Partner Althea appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/aphria-completes-second-medical-cannabis-shipment-to-australia-based-partner-althea/

Aphria Completes Second Medical Cannabis Shipment to Australia-Based Partner Althea was originally published on Mrs-Hardy.com.com

source https://www.mrs-hardy.com/2018/12/21/aphria-completes-second-medical-cannabis-shipment-to-australia-based-partner-althea/

Dixie Brands confirms plan to introduce full line of cannabis-infused products in Canada

DENVER, Dec. 21, 2018 /CNW/ – Dixie Brands Inc. (Dixie or the Company) (CSE: DIXI.U) today confirmed its plans to introduce a full line of cannabis-infused products to Canadian consumers.  The Company is reviewing the proposed regulations for edible cannabis, cannabis extracts, and cannabis topicals introduced by Health Canada on December 20, and plans to participate […]

The post Dixie Brands confirms plan to introduce full line of cannabis-infused products in Canada appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/dixie-brands-confirms-plan-to-introduce-full-line-of-cannabis-infused-products-in-canada/

The post Dixie Brands confirms plan to introduce full line of cannabis-infused products in Canada See more on: Mrs. Hardy 420!

source https://www.mrs-hardy.com/2018/12/21/dixie-brands-confirms-plan-to-introduce-full-line-of-cannabis-infused-products-in-canada/

Chronic Cooking: Mac and Cheese with Maple Bacon

Mac & Cheese is one of those classic, delicious comfort foods- and what can be better than that? Well, adding some cannabis and bacon to it, of course! In the latest episode of Chronic Cooking, Craig Ex aka The Expert of Expert Joints shows you how to make your very own cannabis-infused Mac and Cheese. […]

The post Chronic Cooking: Mac and Cheese with Maple Bacon appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/chronic-cooking-mac-and-cheese-with-maple-bacon/

The article Chronic Cooking: Mac and Cheese with Maple Bacon was originally published on www.mrs-hardy.com

source https://www.mrs-hardy.com/2018/12/21/chronic-cooking-mac-and-cheese-with-maple-bacon/

More California Cannabis Testing Regulations on the Horizon

California cannabis company compliance attorneys are warning current and potential clients that the newest round of regulations that is going to dramatically impact company coffers, causing laboratory testing fees to skyrocket by as much as 55 percent. This latest roll-out, Phase 3 of state regulations, effective Dec. 31st, is specifically going to impact those who are making concentrates and infused products, as well as those who work in cultivation. 

Among the regulations that will go into effect at that time:

• All harvested marijuana and cannabis products are mandated to be tested for mold-generated toxins, mycotoxins and heavy metals.
• Labels of products that claim terpene (a natural, essential oil that enhances the high and contains numerous medicinal properties) will be subject to terpenoid tests.
• Cannabis products that are inhalable, solid, or semi-solid edibles will need to undergo water activity tests in order to ascertain the amount of water they contain.

These tests, state regulators say, are intended to impose more stringent standards on marijuana products to make them safer for public consumption.

Cannabis company compliance attorneys in Los Angeles are extending legal services to any Southern California marijuana business whose owners want to be certain their product meets the rigorous new standards and that they haven’t missed any potential loopholes. The Cannabis Law Firm can also help your team gear up for upcoming testing requirements we know are on the horizon in 2019.

Increase in Testing Rigor Raises Concern Among Cannabis Farmers

Even though the heightened requirements aren’t news to anyone in the industry, many have grown increasingly concerned about implementing these requirements, particularly given testing bottlenecks that arose earlier this month after state cannabis regulators discovered a lab in Sacramento that had (with the doctor’s knowledge and concealment) been failing to vet pot products for potentially dangerous pesticides. The director was fired, but the facility has yet to reopen.

Some concerns at this point are:

• Inadequate number of marijuana testing labs available to test the products in a timely fashion. This is especially true given the state’s stringent restrictions in the labs permitted to conduct the testing as well as the aforementioned closure of Sequoia Analytical labs.
• Costs of testing compliance is likely to significantly increase the cost for cannabis products. In some cases, the cost will be up by 55 percent.
• The testing of cannabis products for “heavy metals” is an x-factor, and some growers are worried a fair number of samples won’t make the grade. In some early samples, product that is currently being produced by some firms is failing the heavy metal testing with levels that are up to 20 times higher than what the government will allow. Particular concern is being raised by those in the business of selling THC oil cartridges because the metal in those cartridges has the potential to leak onto the product.

Los Angeles marijuana business attorneys know companies will have a little time in which to get on board with the program. Any pot product produced and packaged prior to December 31st will be green-lighted for sale, so long as it meets the requirements as laid forth in Phase 2 or Phase 3 testing.

Contracts with labs, contacts with government regulators and more can often be handled by an experienced cannabis business attorney.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

Pot in California: What’s Going on With Cannabis Testing? Dec. 17, 2018, By Amelia McDonnel-Parry, Rolling Stone

More Blog Entries:

More California Marijuana Products Passing Stringent Safety Tests, May 17, 2018, California Cannabis Compliance Attorney Blog

from https://www.marijuanalawyerblog.com/more-california-cannabis-testing-regulations-on-the-horizon/

The blog article More California Cannabis Testing Regulations on the Horizon was originally published to The Mrs. Hardy Blog

source https://www.mrs-hardy.com/2018/12/21/more-california-cannabis-testing-regulations-on-the-horizon/

Canadian Company “Instadose” Becomes The World’s Largest Producer of CBD Oil

TORONTO, Dec. 19, 2018 /CNW/ – Canadian based company Instadose Pharma Corp. has become the largest cultivator and pharmaceutical producer of CBD oil. Through international partnerships, Instadose’s land under cannabis cultivation is over 100,000 hectares, producing CBD Oil that is GMP certified and pharma grade 99.7% CBD. The company has a production capacity of 2,000,000 litres per […]

The post Canadian Company “Instadose” Becomes The World’s Largest Producer of CBD Oil appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/canadian-company-instadose-becomes-the-worlds-largest-producer-of-cbd-oil/

Canadian Company “Instadose” Becomes The World’s Largest Producer of CBD Oil See more on: The Mrs. Hardy Blog

source https://www.mrs-hardy.com/2018/12/20/canadian-company-instadose-becomes-the-worlds-largest-producer-of-cbd-oil/

Fire & Flower Opens New Cannabis Store in Canmore, Alberta

EDMONTON, Dec. 19, 2018 /CNW/ – Fire & Flower, an independent corporate cannabis retailer, is bringing its exceptional customer service and education-based, socially responsible retailing experience to the foothills of the Rocky Mountains with the opening of its newest shop in Canmore, Alberta. The shop, which begins welcoming guests today, is the seventh Fire & […]

The post Fire & Flower Opens New Cannabis Store in Canmore, Alberta appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/fire-flower-opens-new-cannabis-store-in-canmore-alberta/

Fire & Flower Opens New Cannabis Store in Canmore, Alberta is available on Mrs. Hardy's Blog

source https://www.mrs-hardy.com/2018/12/20/fire-flower-opens-new-cannabis-store-in-canmore-alberta/

An Interview with Sarah Blyth, founder of the Overdose Prevention Society

Hero’s come in many different forms and often times, they are rarely recognized for what they do. Nevertheless, what makes those people heroic is the fact that they do what they do anyways. Sarah Blyth is a hero and she has made a huge difference for a countless amount of people; when you help an […]

The post An Interview with Sarah Blyth, founder of the Overdose Prevention Society appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/an-interview-with-sarah-blyth-founder-of-the-overdose-prevention-society/

The following post An Interview with Sarah Blyth, founder of the Overdose Prevention Society See more on: www.mrs-hardy.com

source https://www.mrs-hardy.com/2018/12/20/an-interview-with-sarah-blyth-founder-of-the-overdose-prevention-society/

Expert Joints LIVE on CLN – Merry EXmas

Merry Christmas from Craig Ex and all the crew at #Studio710. This week Craig is joined at Studio 710 by the folks from Weeds, Motacan Compassion Society, Products by SeC; as well as Tha Big Puffa for a special episode to celebrate the holidaze.  

The post Expert Joints LIVE on CLN – Merry EXmas appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/christmas-expert-joints-live-on-cln-merry-exmas/

Expert Joints LIVE on CLN – Merry EXmas is courtesy of www.mrs-hardy.com

source https://www.mrs-hardy.com/2018/12/19/expert-joints-live-on-cln-merry-exmas/

Canada’s drunk driving laws get even tougher today thanks to Bill C-46

While the world watched Canada celebrate the legalization of cannabis on Oct. 17, there was another law, Bill C-46, that received relatively little attention despite having wide-ranging implications for all Canadians- whether you use cannabis or not. Also known as “An Act to amend the Criminal Code (offences relating to conveyances) and to make consequential […]

The post Canada’s drunk driving laws get even tougher today thanks to Bill C-46 appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/canadas-drunk-driving-laws-get-even-tougher-today-thanks-to-bill-c-46/

Canada’s drunk driving laws get even tougher today thanks to Bill C-46 is republished from https://www.mrs-hardy.com

source https://www.mrs-hardy.com/2018/12/18/canadas-drunk-driving-laws-get-even-tougher-today-thanks-to-bill-c-46/

Wildflower Begins On-Demand Delivery Service in Los Angeles

VANCOUVER, British Columbia, Dec. 10, 2018 (GLOBE NEWSWIRE) — Wildflower Brands Inc. (CSE:SUN, OTC:WLDFF), through its licensed cannabis retailer, is excited to announce that it launched delivery service in Los Angeles. Wildflower is hiring dozens of full-time delivery drivers to bring cannabis products directly to legal adults in the Los Angeles area. Wildflower will also […]

The post Wildflower Begins On-Demand Delivery Service in Los Angeles appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/wildflower-begins-on-demand-delivery-service-in-los-angeles/

The article Wildflower Begins On-Demand Delivery Service in Los Angeles is courtesy of https://www.mrs-hardy.com

source https://www.mrs-hardy.com/2018/12/18/wildflower-begins-on-demand-delivery-service-in-los-angeles/

Valens Signs Multi-year Cannabis Extraction Agreement with Canopy Growth

KELOWNA, BC, Dec. 13, 2018 /CNW/ – Valens GroWorks Corp. (CSE: VGW, OTC: MYMSF), a multi-licensed, vertically integrated provider of cannabis products and services focused on various proprietary extraction methodologies, distillation, cannabinoid isolation and purification, as well as associated quality testing, is pleased to announce that it has entered into a multi-year Extraction Services Agreement (the […]

The post Valens Signs Multi-year Cannabis Extraction Agreement with Canopy Growth appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/valens-signs-multi-year-cannabis-extraction-agreement-with-canopy-growth/

Valens Signs Multi-year Cannabis Extraction Agreement with Canopy Growth is republished from https://www.mrs-hardy.com/

source https://www.mrs-hardy.com/2018/12/17/valens-signs-multi-year-cannabis-extraction-agreement-with-canopy-growth/

The Green Organic Dutchman (TGOD) launches brand new website

TORONTO, Dec. 14, 2018 /CNW/ – The Green Organic Dutchman Holdings Ltd. (the “Company” or “TGOD”) (TSX: TGOD) is pleased to announce the launch of its brand new experiential patient and consumer website focused on delivering the absolute best online experience in the industry. The result of over 3,000 patient interviews, multiple surveys and questionnaires, and months […]

The post The Green Organic Dutchman (TGOD) launches brand new website appeared first on Cannabis Life Network.

from https://cannabislifenetwork.com/the-green-organic-dutchman-tgod-launches-brand-new-website/

The post The Green Organic Dutchman (TGOD) launches brand new website Find more on: https://www.mrs-hardy.com

source https://www.mrs-hardy.com/2018/12/17/the-green-organic-dutchman-tgod-launches-brand-new-website/

California Vineyards May Cash in on CBD-Infused Wine After 2018 Farm Bill Lifts Hemp Ban

California vineyards seeking to cash in on possible cannibdiol-infused (CBD) wines may benefit from provisions of the much-touted 2018 Farm Bill, which amended the federal Controlled Substances Act to remove restrictions on both hemp and hemp-derived CBD, which is unique from marijuana in its lack of THC, the psychoactive agent in cannabis. However, as experienced Orange County cannabis industry attorneys, we urge wineries to proceed with caution and legal consultation.

Although the impact of removing restrictions on hemp and hemp-derived products is likely to be significant, technically federal agricultural subsidies don’t rope in growers of vegetables and fruits – including grapes. Plus, even as the federal ban on marijuana lifted, many states – including California – still have laws on the books making it unlawful to infuse hemp in alcohol or food products. The Farm Bill expressly allows states to govern their own regulation of hemp production, the same as it does with alcohol.

Congress did direct states to both license and track any hemp produced from seed-to-sale, but gives state lawmakers the authority to impose tighter hemp regulations if they so choose. However, state rules can’t be any less strict than federal guidelines and those regulations do need to get the U.S. Secretary of Agriculture’s approval stamp.

Orange County marijuana business attorneys know that is likely to create complications for California vineyards hoping to hop into the hemp game. The good news is the farm bill does expressly allow commerce of hemp and hemp products across state lines, but that doesn’t mean trade will go on without a hitch. As it stands, numerous federal agencies have the right to interpret U.S. hemp laws however they see fit. That includes the DEA, the TTB, the FDA and the FTC. That leaves an awful lot of room for interpretation.

California Regulations: Wine and Weed Don’t Mix (Yet) 

Although California is known globally for its production of wine and also for being the first state to allow legal marijuana for medicinal purposes (and now recreational), it’s still against the law to produce and sell both in the same place. If you do produce each, you must have an individual license for each.

The Farm Bill doesn’t make any note of this issue with regard to hemp, though it’s possible that an industry well-versed in grappling with government regulations to get a handle on hemp production – but only with the help of an experienced cannabis attorney to help navigate the tangle of regulation. Wineries are going to need to make sure whatever products they are producing are meeting state agricultural standards. Further that means exercising great caution when determining how hemp products are packaged and advertised.

It is expected that rule-making on hemp in California will begin next year, with licensing to follow shortly thereafter.

However, there is still one wildcard on the table: The White House. The 2018 Farm Bill was passed by both the Senate and the House of Representatives, but still requires the signature of the president. It’s unclear whether this issue is a priority for the current administration, given the many other situations with which its currently dealing.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

Beverage Alcohol Lawyers Explain Hemp In The 2018 Farm Bill, December 2018, By Thomas Pellechia, Forbes

More Blog Entries:

U.S. Tax Court to California Cannabis Business: You’re Still Drug Trafficking, Nov. 30, 2018, Orange County Marijuana Business Attorney Blog

from https://www.marijuanalawyerblog.com/california-vineyards-may-cash-in-on-cbd-infused-wine-after-2018-farm-bill-lifts-hemp-ban/

California Vineyards May Cash in on CBD-Infused Wine After 2018 Farm Bill Lifts Hemp Ban was originally published on The Mrs. Hardy Blog

source https://www.mrs-hardy.com/2018/12/16/california-vineyards-may-cash-in-on-cbd-infused-wine-after-2018-farm-bill-lifts-hemp-ban/

California Marijuana Arrests Down, But Pot Restrictions Still Pose Legal Woes for Consumers

To answer a question that still commonly crops up for our Los Angeles marijuana criminal defense attorneys: Yes, you can still get busted for cannabis-related offenses in the state of California.

When California legalized cannabis for recreational purposes with Prop. 64, broadly opening the market for adult consumers earlier this year, it did not legalize all cultivation, production, sale and possession of the drug. Instead, marijuana legalization was inducted into a highly-regulated market. And while criminal arrests for cannabis possession are down, there is still a risk of running afoul of state regulations and criminal codes.

This summer, a crime report issued by the state revealed that while marijuana-related arrests in mid-2018 saw a significant drop this year compared to last (56 percent overall, with felony marijuana arrests down 74 percent), there is still a risk that Californians and visitors could face substantial jail or prison terms, hefty fines and criminal records. Still, the number facing those risks fell by 8,000 from 2016 to 2017.

Los Angeles marijuana criminal defense attorneys as well as those with the Drug Policy Alliance and other supporters who have long-backed marijuana legalization efforts, overall this is good news, as it means less taxpayer-funded law enforcement resources are being dedicated to non-violent drug-related offenses, and the focus now can rightly shift to more serious crimes. 

Still, the laws for cannabis cultivation, production and possession still leave the door wide open for adverse contact with local law enforcement agencies – and a potential criminal record. In October, the California Attorney General initiated a widespread crackdown on unlawful cultivation of marijuana, arresting 52 people statewide, eradicating more than 614,000 plants at more than 250 cannabis farms that were allegedly operating illegally. Officials also seized some 110 firearms over the course of the 12-week operation, which targeted cannabis cultivation the counties of Los Angeles, San Diego, San Bernardino and Riverside, according to the California Department of Justice press release. A particular focus of the enforcement effort were drug traffickers diverting public water and land resources and using unlawful pesticides, including one called carbofuran, which can be extremely dangerous.

Still, most people arrested for marijuana in Los Angeles and across the state are nabbed for misdemeanors. The San Jose Mercury News reported in July that of all marijuana-related arrests in California in 2017, roughly 2,100 were for felony offenses while another 4,000 were for misdemeanor marijuana offenses. Unfortunately (though not surprisingly, given the long history of drug enforcement), people of color are disproportionately targeted – to a significant degree. White, non-Hispanic defendants accounted for 24 percent of the total felony arrests last year. Those identified as Hispanic accounted for 40 percent and black people accounted for 21 percent. This is despite the fact that research has time and again shown all three to consume marijuana at largely the same rates.

While Proposition 64 did significantly reduce penalties for just about every marijuana crime in California (possession with intent to sell was downgraded from felony to misdemeanor, transporting up to one ounce went from being a misdemeanor to lawful for anyone over the age of 21), it’s still a felony crime to employ minors to sell marijuana or to grow substantial amounts of the plant absent a license. Most legal marijuana advocates never expected that marijuana crimes would be entirely eradicated by California’s new law, nor was there an expectation that these laws would root out the underlying racism that apparently exists in drug law enforcement.

Still, it does seem to our marijuana criminal defense attorneys in Los Angeles that law enforcement agencies in California are starting to get the message, recognizing that if the penalty for a crime has been reduced from five years to six months, their resources are better spent elsewhere.

The biggest issue – one many law enforcement agencies say has become more problematic since legalization – is driving under the influence of marijuana. It’s not as easy to identify as drunk driving because marijuana is not processed as quickly through the human body as alcohol, but police agencies are investing in more drug recognition experts (DREs) to try to secure more convictions. California Vehicle Code 23152(f) allows up to 6 months in jail, a $1,000 fine, 3-9 months of DUI school and up to 10 months of a suspended license (or restricted license) for conviction on just the first offense.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

Prop. 64 didn’t legalize every cannabis crime, but arrests are falling fast, July 11, 2018, By Brooke Staggs, San Jose Mercury News

More Blog Entries:

California Cannabis Insurance: Risks and Regulations, Dec. 5, 2018, Los Angeles Criminal Defense Lawyer Blog

from https://www.marijuanalawyerblog.com/california-marijuana-arrests-down-but-pot-restrictions-still-pose-legal-woes-for-consumers/

California Marijuana Arrests Down, But Pot Restrictions Still Pose Legal Woes for Consumers Read more on: Mrs-Hardy.com.com

source https://www.mrs-hardy.com/2018/12/16/california-marijuana-arrests-down-but-pot-restrictions-still-pose-legal-woes-for-consumers/

More California Marijuana Products Passing Stringent Safety Tests

More California marijuana products are passing rigorous safety standards imposed by state law, though Orange County marijuana business attorneys know the the abrupt closure of a state-approved laboratory found to have fallen short in checking for pesticides has some Orange County cannabis companies scrambling to ensure they’re meeting state guidelines.

Earlier this year marked the beginning of broad legalization of marijuana in California, but strict testing of pot products was mandated by state officials beginning July 1. Eight weeks into that testing and one-fifth of all marijuana products were failing those standards. By November, however, California’s Bureau of Cannabis Control reported the testing failure rate fell to roughly 14 percent. That still means approximately 24,000 marijuana items for sale never made it to store shelves.

Among those items reportedly having the highest failure rates were cannabis-infused:

• Candies
• Cookies
• Tinctures (concentrated herbal extracts)

Those items on their own had a fail rate of about 26 percent over the summer, though this was still an improvement. Previously, the fail rate of these processed marijuana products had been about one-third. 

A spokesman for the state control bureau noted that although any regulation is going to have an adjustment period, the overall consensus is the California cannabis industry has made that adjustment rather quickly, considering all the rules that have gone into effect in a relatively short period of time. The lower fail rates are indicative of that, something the spokesman said was “encouraging.”

As a long-time Orange County marijuana law firm, The Cannabis Law Group urges any business subject to these regulations to partner with a dedicated cannabis attorney to ensure guidelines are met and who can speak to regulators on their behalf, working to limit legal liability and product losses.

Those in tune with California cannabis regulations are likely familiar with the sudden shuttering of Sequoia Analytical Labs, a company based in Sacramento that surrendered its license when regulators with the state discovered the test the firm was using to clear products for pesticides was faulty. A recall of those products was issued, though by then, most of the pot products in question had been purchased and consumed. There were no reports of illness, and the faulty test doesn’t necessarily mean the products were tainted, but rather if they were, the company’s screening process may not have caught it.

State regulators won’t comment on the case, but the company has said a flawed testing instrument was to blame. It’s unclear if the company plans to take action against the manufacturer of the product for its losses. The glitch resulted in the company’s failure to test for one-third of the 66 pesticides it was required to analyze. The director of the lab reportedly was aware of the failure and attempted to conceal it, resulting in the termination of that employee. The firm is now working to get its license reinstated to so it can resume business.

One concern that’s been raised is whether marijuana testing companies have adequate oversight, given that the lab’s directly had allegedly been falsifying records for months with no red flags.

Orange County marijuana lawyers know there has also been concern raised that these testing labs could be hotbeds of corruption, given that cannabis is now a highly-competitive, high-stakes industry. Could pot producers with dubious intent bribe these labs for favorable outcomes. Who would be checking to ensure such pay-to-play schemes don’t corrupt the entire industry and  that such abuses are swiftly identified?

From July through November laboratories in California have tested samples of nearly 24,000 products, with roughly 3,400 of those failing. Growers appear to be doing the best, with 90 percent of buds sent for testing being cleared for sale.

California’s revised regulatory rules for marijuana product testing are likely to be finalized next year, as the current guidelines have been identified as temporary.

The Los Angeles CANNABIS LAW Group represents growers, dispensaries, collectives, patients and those facing marijuana charges. Call us at 714-937-2050.

Additional Resources:

Higher percentage of California pot passing safety tests, Dec. 16, 2018, By Michael R. Blood, Associated Press

More Blog Entries:

Los Angeles Marijuana DUI Enforcement Funds Increased, Dec. 7, 2018, Orange County Marijuana Business Attorney Blog

from https://www.marijuanalawyerblog.com/more-california-marijuana-products-passing-stringent-safety-tests/

The following blog post More California Marijuana Products Passing Stringent Safety Tests was originally published on Mrs. Hardy 420!

source https://www.mrs-hardy.com/2018/12/16/more-california-marijuana-products-passing-stringent-safety-tests/