California Marijuana

March 16, 2020

California Proposes Regulations for Appellations of Origin for Cannabis

Los Angeles marijuana tax lawyer Regulations were proposed by the California Department of Food and Agriculture (CDFA) last month, suggesting that appellations of origin are established for cannabis. As such, February 20 marked the beginning of the 45-day period required by Californian law, where the public can submit any comments it may have on the matter. The CDFA has continued to welcome and encourage all interested to submit their thoughts. The deadline to do so is April 6, 2020.

Background
Under Section 26063 of the Business and Professions Code, The Medical and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA), requires that the CDFA Cultivation Licensing Division, also known as CalCannabis:

Forms standards that allow licensed cannabis growers to elect a county of origin for their cannabis; and
Establishes a process that licensed cannabis growers can use to establish appellations.

The department has until January 1, 2021 to form the process of appellations of origin. In order to meet this statutory obligation and to fulfill MAUCRSA mandated responsibilities, the department has created what is now know as, the Cannabis Appellations Program (CAP).

February 9, 2020

Where Does California’s $635M in Marijuana Tax Money Go?

By Cannabis Law Group

marijuana banking The state of California has now permitted the legal use of marijuana for two years. And tax dollars collected from the cannabis industry are already showing great impact across a variety of sectors.

Since its passing in 2016, Prop 64 has earmarked its entire cannabis industry tax revenue, minus regulatory costs, to supporting public health, repairing the environment, and bettering public safety.

New parks, healthier children, broader educational opportunities, forest clean ups, drugged drivers removed from the roads, and criminal records cleared are just some of the areas already seeing big improvements thanks to Prop 64 tax revenue contributions.

And this is just the beginning. In mid January this year, Gov. Gavin Newsom proclaimed another $332.8 million in cannabis tax revenue would be allocated to social services for the 2020-2021 fiscal year.

February 3, 2020

Vape Disease Cases in California All Linked to Underground Goods

By Cannabis Law Group

Los Angeles marijuana lawyer Los Angeles officials announced that cannabis vape cartridges seized from unlicensed storefronts late last month were tainted with potentially hazardous additives. These include an agent that is known to thicken substances, and is also blamed for causing the vaping lung illness sweeping the nation.

In December, California investigators also raided unregulated storefronts throughout Los Angeles and confiscated illegal vape products. According to state testing results, many of those products showed as far less potent than labeling suggested.

In some cases, the oil cartridges THC contents showed to be only a portion of that claimed and were diluted more than one-third by undisclosed but likely dangerous additives.

Los Angeles officials tested a sample comprising more than 10,000 randomly selected illegal vape pens confiscated in those raids. Results showed three in four vapes contained the thickening agent vitamin E acetate, which federal regulators blame for the majority of lung illnesses linked to the national vaping health crisis.

January 14, 2020

Californian Lawmakers End Pot Smoking in Moving Vehicles

By Cannabis Law Group

California’s cannabis tourism may look a little different in 2020. That’s because the Golden state’s lawmakers recently closed a loophole with Assembly Bill 1810, to prevent passengers from smoking or vaping cannabis products while inside moving vehicles.

For some time, state legislators had been pushing for a bill that protects limousine and party bus drivers from the effects of second-hand cannabis smoke. Senate Bill 625 was first introduced by Californian Senator Jerry Hill (D-San Mateo).

marijuana legalization Senate Bill 625
SB 625 bill stated passengers were permitted to consume cannabis within a limousine, pedicab, camper, houseboat, bus or taxi. But it also required drivers were to be separated from passenger compartments, and provided with ventilation systems separate from those smoking pot. These measures were intended to protect drivers from inhaling second-hand smoke and unintentionally becoming high while driving. A measure drivers welcomed, because if consuming pot at the wheel, not only could they pose a risk on the roads, but if testing positive they could also lose their jobs, and their commercial driving licenses.
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December 7, 2019

Is the Nation’s Vaping Crisis Hurting California’s Cannabis Market?

By Cannabis Law Group

medical marijuana The Californian cannabis industry watched with the nation, as 47 patients across 25 states lost their lives to possible vaping associated pulmonary illness this summer. And as the epidemic dragged on, news reports covered a notable dip in vape sales, understandably as consumers took a slight step back from vaping until safety could be assured.

When the Centers for Disease Control and Prevention (CDC) confirmed there was a vaping crisis sweeping the nation, media reports surrounding the deaths believed to be linked to vaping also covered news of the crisis hurting cannabis vape sales. At the time, vaping was the cannabis industry’s fastest growing segment. It appeared that California bore the brunt of the fallout, and Marijuana Business Daily reported the state’s vaping shares for the recreational cannabis market dropped for four weeks straight, “from 30.5% the week of August 19 to 24.3% by the week of September 16.”

Since then, data has shown that vaping cannabis sales have stabilized, and even increased market share in a number of states. Tom Adams, BDS Analytics’ Managing Director of Industry Intelligence explains that’s because people enjoy vaping, they see it as a healthy substitute for smoking cigarettes and cannabis, and find vaping far more convenient and discrete than burning dried plant matter. So unless we see a total government ban imposed, a slowdown is unlikely.
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October 7, 2019

Proposed L.A. Vaping Ban Could End Some Pot Companies

By Cannabis Law Group

Los Angeles cannabis business lawyer Following a slew of vaping related lung disease cases, a Los Angeles City Council member calls for a year-long ban on all vaping sales.

The proposed ban has many in the industry rushing to cut the motion off before it becomes law. The major concern is that such a ban could mean the end for countless vaping companies who are solely in business to sell vape pens and cartridges. Continue reading

October 5, 2019

Audit Reveals 3,000 Illegal Cannabis Businesses in California

By Cannabis Law Group

The black market for marijuana in California is three times the size of the legal market, a recent audit has shown. The findings, made public in September, highlight the state’s ongoing battle to curb its illegal cannabis trade. marijuana dispensaries

Approximately 2,835 unlicensed dispensaries were listed as trading across California, according to the audit conducted by the United Cannabis Business Association (UCBA), a trade association representing a wide variety of licensed marijuana businesses. Interestingly, the Bureau of Cannabis Control has only licensed 873 cannabis merchants to operate lawfully within the Golden State.

These comparative statistics reflect the continued hiccups California has faced since rolling out updated legal regulations beginning in 2018, which were intended to level the cannabis market’s playing field. Continue reading

October 3, 2019

California Activists Seek Decriminalization of Magic Mushrooms

By Cannabis Law Group

With the 2020 ballot fast approaching, California activists are keenly working towards securing a measure that would decriminalize psilocybin, also commonly known as ‘magic mushrooms.’

Together with the required $2,000 fee, an advocacy group by the name of Decriminalize California submitted ballot language to the state attorney general’s office in September. Now the activist group awaits approval from the attorney general on both the official measure title and summary it submitted. Such a response is typically granted within 65 days, and if approved, the measure will be green lit to begin seeking signatures.

At that point, within 180 days of receiving the attorney general’s approval of title and summary, the Decriminalize California group must collect 623,212 valid signatures before the measure qualifies for the California ballot. 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.
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August 5, 2019

Growing Pains for California’s Weed Tracking System

By Cannabis Law Group

In January, the state of California kicked off an online rollout of its marijuana inventory tracking system. At a glance, marijuana businesses across the Golden State appear to be successfully reporting product inventory each day, via the California Cannabis Track-and-Trace (CCTT) system. But not without some growing pains.

To start, the idea of tracking marijuana traveling throughout the supply chain sounds simple enough. In theory, all cannabis products would be given unique identification numbers, noting from which ‘batch’ or ‘lot’ they were born. Products would then be sent to labs for testing. Next, approved products would be passed from producer to distributor, and finally to retailers for sale. At each step, the state should be able to track each piece of marijuana as it moves through the chain, making sure nothing is being redirected out of state, and ensuring everybody is paying their required taxes.

California Cannabis Lawyers

But in practice, a few hiccups quickly come to light. First up, only businesses holding ‘provisional’ or ‘annual’ licenses are required to subscribe to the track-and-trace system. And until last month, there were more than 600 marijuana businesses operating on ‘temporary licenses,’ who would not have had to track-and-trace. This means, there was no way regulators could comprehensively account for every legal product moving about the state.