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.