California marijuana business lawyer

February 26, 2021

Marijuana Business Lawyers on How Interstate Commerce Could Transform the Industry

Although 36 states and Washington D.C. have some form of legalized marijuana (15 of those for recreational use), it’s still strictly illegal to cross state lines with these products. It all comes back to federal prohibition. Crossing state lines with marijuana will cause you to run afoul of federal law. Each state dictates the movement of marijuana in its own borders, but intrastate commerce is federal jurisdiction. California marijuana lawyer

More than likely though, this will change – not so much a matter of if, but when. For one thing, we’re looking at a brighter than ever possibility of federal legislation that would end prohibition and legalize the drug. Beyond that, however, there’s a clause in the U.S. Constitution that bars states from unfairly restricting commerce between states under something known as the dormant commerce clause. State laws that restrict marijuana commerce with other states are probably unconstitutional under this clause (though it hasn’t been tested). As of right now, though, states don’t have any significant incentive to change it because it’s bolstering the economy of their own citizens. There haven’t been any lawsuits to challenge it either (yet) probably because litigation is expensive, it’s unknown how the value of limited licensing in marijuana-legal states would be impacted and fiercer competition is still an unknown for these burgeoning industries.

How Marijuana Trade Between States Would Impact the Legal Industry

As longtime Los Angeles marijuana business lawyers, we’ve seen the industry ushered through many major changes. Interstate commerce would be another significant one for nearly every sector. High-quality boutique offerings could find a bigger market. Larger firms that commoditize cheaper products would be in high demand. We’d likely see an immediate demand in more efficient supply chain and logistics experts.

Retailers might not see an impact right away (unless they are close to a state border). Even if/when marijuana prohibition ends at the federal level, most retail is likely to stay local. It’s probable that federal lawmakers would want to impose limitations or an outright ban on shipping marijuana via mail. (The same is done for tobacco products.)

What is less clear is how the value of state-issued permits would become. Continue reading

April 25, 2020

Federal Aid for Cannabis COVID-19 Woes?

By Cannabis Law Group

California’s cannabis industry is considered essential, but it’s struggling in the wake of the COVID-19 pandemic. It was already grappling with high taxes, soaring compliance costs and fierce competition from the black market. marijuana business lawyer

Now, as our L.A. cannabis business lawyers can explain, companies are slated to receive a number of state benefits, and perhaps even federal aid in order to ensure their survival.

Marijuana Business Daily reports the state is planning to offer a number of extensions, relief and deferrals that should allow many pot shops, manufacturers and growers to keep operations chugging along and also meeting payroll. Many are hoping that this could ultimately lead to substantial, longer-term regulation – especially where taxes are concerned. Continue reading

March 15, 2019

Legal Marijuana Toke Prompts Pentagon to Review Security Clearance of Tech Billionaire

By Cannabis Law Group

Using marijuana is legal in California, but apparently, if you’re up for top-level security clearance with the U.S. government, you may want to think twice. employment attorney

The Orange County Register reports The Pentagon is reviewing the federal security clearance of California tech billionaire Elon Musk following an on-air marijuana toke on a comedian’s podcast last fall. Musk reportedly refiled the SF-86 security form required of federal contractors and/or employees who seek security clearance. The form requires filers to answer truthfully whether they have used any illegal drugs at any point in the previous seven years. Musk reportedly had a higher-level secret clearance, thanks to his position spearheading a company (Space Exploration Technologies Corp. – SpaceX for short) that is permitted launch of military spy satellites.

The company’s day-to-day operations aren’t overseen by Musk, and the company won several national security space launch contracts in the wake of the podcast, but the Register reports it’s only with the refiling that Musk may have some issues.

Employers, Contractors Allowed to Set Ground Rules for Off-the-Clock Cannabis Use Continue reading

January 15, 2019

Marijuana Product Liability Lawsuits May Pick Up in 2019

By Cannabis Law Group

It’s not only pot smokers who line outside California’s cannabis dispensaries. Personal injury attorneys may be lurking nearby as well, watching for the opportunity to pounce on a possible product liability claim if an marijuana product makes someone sick or results in an injury. This is particularly true because many states allow punitive damages (up to three times one’s actual damages, intended to penalize the defendant for egregious wrongs rather than simply compensate the plaintiff) for injuries an intoxicated person causes to others. product;iability

Marijuana product liability attorneys in Los Angeles have concluded cannabis companies with perhaps the greatest vulnerability are those that produce edible products. Soda, gummies, truffles, cookies, truffles, brownies, potato chips, wines – the list is endless. But the waters of marijuana product liability lawsuits aren’t well-tested.

Such lawsuits will assert that marijuana products are defective, dangerous, mislabeled and/or the makers and distributors failed to issue adequate warnings about these risks. Continue reading