Video 1 KTLA Channel 5 News Story June 18, 2010: Lake Forest Medical Marijuana Dispensary Appealing Injunction Order Video 2 KTTV Channel 11 News Story June 4, 2010: Los Angeles Medical Marijuana Dispensary Challenges LA's Ordinance Video 3 Cannabis Law Group's Attorney Damian Nassiri Sues the City of Los Angeles To Block It's Ban on Medical Marijuana as Featured on PBS's So Cal Insider - Part 1

Articles Tagged with Los Angeles cannabis lawyer

By

Good news for California employees who also happen to be cannabis enthusiasts: A bill that would bar companies from asking job candidates about previous marijuana use has already passed the state senate and has sailed through its second California Assembly committee. The bill would expand existing worker protections that were passed last year prohibiting employers from discriminating against employees who are shown (either by drug test, admission, or some other means) to have used marijuana off-the-clock. (There are some exceptions, such as workers in building and construction trades or those that require federal background checks or a certain level of security clearance.) California cannabis employment lawyer

Our Los Angeles cannabis business lawyers also practice employment law, so this is doubly good news.

After Senate Bill 700 cleared the state senate, it passed the Labor and Employment Committee, and then also the Judiciary Committee by a margin of 8-2. Now, it goes to the Appropriations Committee. If it passes there, it can advance to the floor. If the Assembly approves the measure, it will then be sent to the governor’s office for consideration. If it does manage to pass, its effective date would be Jan. 1, 2024.

But why was such a bill even necessary? Continue reading

By

Licensed cannabis B2B operations in California are faced with some pretty substantial challenges when it comes to getting off the ground. A rampant black market, heavy taxes, and tight regulations – all of these drain time, money, and professional resources, and make it tough to turn a profit in this industry. Many can also add to that list: Deadbeat customers. Los Angeles cannabis lawyer

As Los Angeles cannabis company lawyers, we know this has grown to become a significant problem for our clients. Put simply: Customers aren’t paying their bills. In response, more than half the state’s wholesale B2B cannabis market has invested in help from a Los Angeles non-profit credit association tasked with rating retailers and flagging repeat offenders – with the ultimate goal of halting the growth of hundreds of thousands of dollars in unpaid invoices. The operation, Credit Management Association, is reviewing accounts receivable and documentation from dozens of brand and distributors. Ultimately, it will release a “do not sell list” of two dozen+ cannabis retailers and delivery companies flagged for:

  • Failure to pay their bills in a timely manner (90+ days late on invoices).
  • Owing at least $25,000 for products.

As longtime Los Angeles marijuana lawyers, we recognize that the majority of cannabis retail and delivery companies don’t set out with the intention of becoming bad actors. They are subject to many of the same brutal market forces as suppliers. They fall a bit behind, and then it’s an uphill battle to fight their way out of debt.

Still, it’s a significant issue because pretty much every manufacturer, distributor, and brand has a non-inconsequential amount of unpaid invoices. That’s not a new problem, but it’s one that’s been exacerbated in the last year thanks to plummeting stocks and dwindling capital. Companies are having to take a hard line with some of their biggest clients – because they simply aren’t paying up.

Companies say they’ve been left with increasingly few choices, particularly because they aren’t backed by investors. If they utilize a debt resolution service, they’re going to take a 20 percent hair cut right off the top – even if they are paid. Most of these claims exceed the small claims avenue because the debts are primarily in excess of $5,000. Continue reading

By

Recreational marijuana has been legal for adults in California for the past 7 years – but driving under the influence of marijuana (or any mind-altering substance) has always been strictly prohibited. But despite all the legislative and regulatory developments with respect to marijuana law, the state has yet to establish any bright line rule on legal THC limits for drivers.Los Angeles marijuana DUI defense

Of course, as our Los Angeles cannabis DUI lawyers can explain, a big part of the reason for that is because it’s none so simple to establish marijuana intoxication simply based on the levels of psychoactive THC in one’s body. Unlike alcohol, which cycles through the body very quickly, THC remains traceable for weeks after consumption. A 0.08 percent blood-alcohol level would likely indicate recent excess alcohol consumption. But the same isn’t true for THC. Person A might have higher levels of THC in their bloodstream than Person B, but still be less intoxicated. The level of THC in one’s system simply doesn’t tell the whole story, particularly if one is a regular cannabis consumer.

Despite this, 18 other states have imposed some sort of limit on the amount of THC drivers can have in their bloodstream before they’re considered “under the influence” of cannabis. (THC, of course, is short for tetrahydrocannabinol, the element contained in marijuana that creates the “high.”)

There are some safe driving advocates trying to change that. One of those is the family of a 25-year-old who died tragically in a California car accident in 2020 – a passenger in a truck driven by her boyfriend. He would later say he saw an animal, jerked the steering wheel, and crashed into another vehicle – totaling his truck and killing his girlfriend instantly. The woman’s father believes the boyfriend was stoned, and he’d even spoken to his daughter about not getting into the car with her boyfriend when he’d been consuming cannabis. Her mother said she’d spoken directly to the boyfriend about what they recognized as a serious safety issue.

The boyfriend, according to a local news outlet, reportedly conceded that he’d consumed marijuana the day of the crash – but he was a habitual user of cannabis and his consumption had been earlier in the day. He insisted he was not impaired. Continue reading

By

Recreational marijuana has been legal in California since 2016 – but Riverside is only just now on the cusp of allowing cannabis businesses for the first time ever. Riverside cannabis lawyer

As our Riverside cannabis lawyers can explain, city council voted 5-2 to green light 14 marijuana shop permits. The city has first passed a moratorium on cannabis companies in 2017 – with the exception of marijuana testing labs. This was despite the fact that Riverside voters supported Proposition 64 (which legalized recreational cannabis) by a 53 percent majority. A year later, the council agreed on an outright prohibition of commercial cannabis operations – except for labs.

Then two years ago, the city caught wind of a citizen-led effort to undercut the municipal ban on marijuana sales. Signatures to move the petition forward were never formally submitted, but the city did start weighing whether it should initiate its own permit program and regulatory framework. (Likely, they wanted to sidestep the reality that it was probably going be done whether they wanted it or not, and best to have some control over the final outcome.)

The city is actively studying how best to support permit seekers who have been disproportionately impacted by anti-cannabis legislation in the past. The initial outlay caps cannabis retailers at 14, but there’s no such limit for the number of labs, manufacturing companies, or distribution firms. Voters will need to consider whether they’re willing to accept taxation for the measure. A vote is expected in November 2024.

One councilmember against the initiative said he doesn’t believe marijuana sales in the city are an inevitability, worried over police and other public services burdening more duties, and lamented the fact that a gateway drug was going to be so easily accessible – particularly for young people. Just recently, the sheriff’s office arrested several older adult teens in Riverside for selling vape pens with concentrated cannabis to minors using a mobile delivery service.

But those who support legal cannabis say that a well-regulated market has proven to offset many of these concerns. Continue reading

By

As one president after another over the last two decades has shown little interest in closing the yawning gap between state and federal marijuana laws, the future of cannabis in California – and the rest of America – may rest in the hands of the nation’s courts.Orange County cannabis business lawyer

Over the last two decades, more 37 states have legalized medical marijuana and 19 allow adults to use recreationally. Yet sales across state borders are still aren’t happening, largely because the drug remains illegal at the federal level.

Cannabis has become a multibillion-dollar-a-year industry in California and across the U.S. But the federal government has pushed off regulation responsibility to the states – leaving a lot of open questions and hesitation on everything from security to labeling requirements to banking to insurance.

Ultimately, it may be the judicial branch of government that takes the reins on the issue. The problem with this is that the impact of the courts’ approach may be somewhat chaotic, potentially undermining efforts to protect public health and ensure industry diversity.

As our Orange County cannabis lawyers can explain, there are some states like California with cannabis programs that have been meticulously crafted to meet certain goals beyond merely legalization of adult recreational use. For instance, a top priority for some states has been ensuring that those awarded cannabis business licenses are either people of color and/or those who were somehow disproportionately affected by the failed war on drugs.

Now enter the courts. Those diversity programs typically require license recipients be state residents. But in a recent 2-1 federal opinion by the 1st Circuit Court of Appeals, justices ruled this was unconstitutional. That ruling likely means we’ll see some changes and shifts in state-level import and export bans. Some states are already positioning themselves to be able to hit the ground running with a national market for marijuana sales.

Recently, California’s governor, Gavin Newsom, signed into law a measure that imbues the state with the right to enter into agreements with other states regarding the regulation of cannabis imports and exports. A similar bill was passed a few years ago in Oregon, and New Jersey is considering something similar.

Still, the fact that court rulings could mean the whittling down of consumer protections and industry diversity efforts has many advocates calling for Congress to take charge and overhaul federal cannabis rules in a way that will realistically reflect what’s happening at the state level.

After all, the Commerce Clause portion of the U.S. Constitution entrusts Congress with the authority to regulate commerce at both the interstate and international levels. The flip side of that, the dormant Commerce Clause – the doctrine seized on the the 1st Circuit Court of Appeals – is that states aren’t allowed to discriminate against or burden interstate commerce. The case that gave rise to the appeal involved a medical marijuana law in Maine that required all officers or directors of a marijuana dispensary be residents of the state. One of those dispensaries with multi-state holdings sued over that residency provision. A coalition of smaller medical marijuana caregivers intervened, hoping to hang onto the 75 percent medical marijuana market share held by smaller operators. (Corporate domination in the market is an increasing concern.)

Meanwhile, other courts have ruled unfavorably against residency requirements as well. For instance, a federal trial court in Michigan ruled against a city government that was defending licensing rules that favored long-term residents. Also last year, a federal court in Missouri disavowed that state’s residency requirements for marijuana businesses. In both of those cases, the federal courts pointed to the dormant Commerce Clause.

Continue reading

By

California cannabis businesses should steel themselves for the reality of an unannounced inspection by state Department of Cannabis Control (DCC) compliance officers – some of whom have been showing up armed at inspection sites. California cannabis company inspections

As our Los Angeles marijuana business lawyers can explain, it’s not the first time pot shops have been subject to inspections. It’s just that officials handling it in the past typically gave companies a heads-up – often several days of notice – before showing up. But according to recent reports, there has been a surge of drop-in, no-notice inspections. The 24-to-48-hour heads-up is no longer something your company can count on.

Given that even minor transgressions or oversights might compromise your ability to keep your doors open, it’s imperative that licensed California cannabis businesses be ready for a DCC inspection out of the clear blue sky.

Prime Targets of California DCC Inspections

If a company isn’t following state marijuana law and guidelines to the letter, DCC can issue citations, fines, and even license revocation. As this new aggressive inspection campaign is under way, it’s unclear how nit-picky inspectors are going to be, but we do know the agency has expressly stated there are a few major compliance rules on which they’ll be devoting a heavy focus. Those include: Continue reading

By

Few sectors in recent memory have been poised to grow as exponentially as the cannabis industry. By some estimates, we’ll be seeing $45 billion by 2025. And yet, until federal marijuana law aligns with the reality of state law, the status of marijuana as as a Schedule I narcotic under the Controlled Substances Act stands as a considerable barrier to the enforcement of any business contract involving a cannabis company.Los Angeles cannabis lawyer

As our Los Angeles cannabis business lawyers can explain, the illegality defense has been used (with varying success) to invalidate business contracts that would be strongly enforceable in any other industry.

The illegality defense essentially holds that any contract requiring one party to engage in illegal conduct is not enforceable. It’s been employed by cannabis companies, vendors, distributors, etc. to avoid being held to their prior agreement.

We saw an example of this just last year in Sensoria et al v. Kaweske et al, before the U.S. District Court for the District of Colorado. In this case, a group of plaintiffs wanted to recover their investment from a cannabis company it said engaged in breach of contract, breach of fiduciary duty, civil theft, and fraud. Plaintiffs say the invested hundreds of thousands of dollars in a cannabis enterprise, only for the company to essentially cut them off from communications and ultimately, shut down after opening up a rival firm. Investors not only were deprived of a return on investment – they didn’t receive back their initial investment.

The defense responded with the illegality-based defense as a bar to recovery. The federal court noted that the overarching issue was the cannabis company’s direct involvement in the growing and selling of marijuana – legal under Colorado law, but not under the federal SCA. The court held that the plaintiffs’ failure to explain how relief could be obtained without endorsing or requiring illegal activity or how it would be paid from an asset source independent of marijuana. Continue reading

By

A California church that distributes cannabis and psychedelic mushrooms as sacrament has filed a lawsuit against the local city government and police department over a drug raid in which authorities seized more than $200,000 of these substances. cannabis church

The civil rights litigation filed by the Zide Door Church of Entheogenic Plants explains that worshippers at the congregation gather and consume the mind-altering plants as a means of having a direct experience with God. The church is interfaith, non-denominational, and openly supports the safe access and use of all entheogenic plants, though its particular focus is on cannabis and so-called “magic mushrooms.”

Approximately 60,000 members of the church pay $5 each month, as well as give donations, in exchange for participation in the sacraments. The church grows its own cannabis and mushrooms. The founder of the church explained to Vice Magazine that consuming these substances allows parishioners to experience spiritual visions, interact with powerful spiritual entities with lessons to teach, and sometimes even engage in a direct experience with God.

But none of that seemed to matter to the Oakland Police when they launched a raid of the facility back in 2020, seizing hundreds of thousands of dollars worth of mushrooms and cannabis. No arrests were made and no charges were filed, but the substances were never returned and the church was not provided any compensation for its value.

As our Los Angeles cannabis lawyers can explain, the actions of police may run afoul of the federal Religious Freedom Restoration Act. This, along with the Religious Land Use and Institutionalized Persons Act, are federal laws that serve as a shield against improper government actions against certain church groups and religious services. It may well provide protections for churches who use religious services.

The RFRA of 1993 bars the federal government from applying/enforcing laws and rules that may burden a person’s exercise of religion – even if the burden results from laws/rules of general applicability. It requires strict scrutiny – the highest level of review – of any federal law that may burden the religious exercises of organizations/groups/individuals.

These laws extend beyond federal government intervention, and assert that local and state government agencies can’t discriminate against religious groups either in areas of zoning and land use restrictions.

It’s our belief at the Cannabis Law Group that churches that treat cannabis as a sacrament are improperly and illegally targeted by government agencies taking action against them for this reason. That said, the law on this front is still unsettled, so it may still be possible for cannabis churches to be shut down, cannabis seized, fines imposed, evictions upheld and criminal charges filed. For those fighting back and taking civil action, it’s imperative to work with a law firm with extensive experience in California cannabis law and a track record of success on behalf of cannabis churches and other organizations. Continue reading

By

The popularity of Delta-8 in California and beyond has soared in recent years. However, the legality of the substance has been called into question, with 21 states restricting it or even banning it altogether as of April 2022, sparking outcry from companies, customers, manufacturers, and distributors. delta 8 legalization Los Angeles

In California, despite having some of the most liberal cannabis laws in the country, delta-8 is still regulated and restricted. State law regulates using, possessing, selling, distributing, or producing hemp and marijuana-derived delta-8 products – similar to the way it regulates high-THC marijuana. Unlicensed distributors (either online or with brick-and-mortar stores) aren’t allowed to sell any hemp-derived products (including Delta-8) with more than 0.3 percent THC. Licensed dispensaries, on the other hand, can. They can also sell delta-8 that is derived from marijuana. State law also regulates and restricts delta-10, THC-O and HHC products that contain more than 0.3% THC.

That said, back in may a federal appellate court in California held that delta-8 THC and other hemp-derived substances are legal under the 2018 Farm Bill. The U.S. Court of Appeals for the Ninth Circuit ruled this was true even if the products contained properties that were psychoactive.

The three justices unanimously held that goods made with delta-8 THC are legal under U.S. law. The Farm Bill establishes hemp as any part of the cannabis plant – including all cannibinoids, extracts, and derivatives – that contain less than 0.3 percent delta-9 THC by weight. However, the federal law says nothing about delta-8. The court said that while the wisdom of legalizing delta-8 products could be up for debate, it would not substitute its own policy judgment for that of the United States Congress. Continue reading

By

Online sales of hemp products – specifically delta-9 THC products that are derived from hemp – are likely to see a federal regulatory crackdown in the coming months. Los Angeles marijuana lawyer

Congress is currently mulling the 2023 Farm Bill, while state lawmakers across the country are slated to hold their yearly sessions. Many are expecting hemp extract sales and shipments – particularly those happening online and across state lines – are likely to get attention from both federal and state lawmakers.

As our Los Angeles marijuana business lawyers can explain, the concern with delta-9 products is that they possess intoxicated properties, yet aren’t being taxed, overseen by safety regulators, and are being shipped across state lines with little oversight.

For those who may be unfamiliar, delta-9 products are different than delta-8. Delta-8 THC products are manufactured in labs. Lawmakers have set limits on delta-8 products. So now, some hemp manufacturers have concentrated the delta-9 THC that already exists in hemp plants, allowing them to make tinctures, edibles, and vapes that are intoxicating – and then sell those online. Delta-9 is the THC compound created when raw hemp is heated, but in smaller amounts than what one might find in a cannabis extract. Continue reading

Contact Information
Newport Beach Office
4695 MacArthur Ct
11th Floor
Newport Beach, CA 92660
Los Angeles Office
Executive Tower, 11400
W Olympic Blvd #200
Los Angeles, CA 90064
Riverside Office
Turner Riverwalk, 11801
Pierce St #200
Riverside, CA 92505
Free consultation for criminal defense cases, collective consultations require a fee

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

Please do not include any confidential or sensitive information in a contact form, text message, or voicemail. The contact form sends information by non-encrypted email, which is not secure. Submitting a contact form, sending a text message, making a phone call, or leaving a voicemail does not create an attorney-client relationship.

Copyright © 2016 – 2024, Cannabis Law Group
JUSTIA Law Firm Blog Design