Articles Tagged with California marijuana attorneys

A rose by another name might smell as sweet, but turns out the name of your bong does matter, and allegations of brand heisting are turning into a big buzzkill. Companies from California to Florida have found themselves named defendants in trademark lawsuits, filed by a luxury brand German water pipe manufacturer and its licensed U.S. seller. The firms allege that their products – which can go for thousands of dollars – have become verified smoker status symbols, the benchmark for cannabis cool – and that it’s being illegally hawked by head shops across the country. L.A. marijuana trademark lawyers understand that at the the heart of these dozens of claims just in California over the pricey pipes are the ways in which the alleged infringement cost the company sales and and diluted its brand.marijuana trademark attorney

What complicates cases like this is that for now, marijuana remains illegal under federal law – specifically 21 U.S. Code Section 863. The company, which does possess a legitimate trademark, officially refers to its product as a bong, proudly advertises its awards from publications like High Times magazine and is open about its commitment to excellence in cannabis consumer goods and advocating for the expansion of marijuana legalization laws. The reason that  is problematic is that products in violation of federal law cannot seek trademark protection, and many companies are reticent to go into a courtroom and testify that their primary product violates federal statute. However, the firm has managed some success in securing settlements from alleged counterfeit distributors.

Further, a company spokesman was quoted by The Associated Press as saying the firm is willing to go to court to defend these cases, and is seeking millions of dollars in damages.

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. Los Angeles marijuana business merger

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.  Continue reading