Legally-Blunt

In case you missed it, California's regulators announced last week that the Office of Administrative Law (“OAL”) officially approved regulations for all commercial cannabis licensees.  One of the most controversial rules to come from the Bureau of Cannabis Control (“BCC”) is Section 5032 (which...

It's been a long time coming, but California's final regulations for the cannabis industry are here. And for once, there aren't any surprises. We saw the results of the last round of rulemaking in December, and the only thing standing between cannabis businesses and the sanity of their compliance...

We have now reached another dramatic change in the history of cannabis. As of January 9, 2019, the protections set forth under the historic MMP ceased. Instead, licensing and the regulations under MAUCRSA govern. Background In 2003, the California Legislature enacted Senate Bill 420, otherwis...

In December 2018, the president signed the Farm Bill into law.  The Farm Bill vastly expands the commercial prospects for industrial hemp in the United States, removing hemp from the Controlled Substances Act (though, not cannabis, which remains Schedule I).  Without question, the 2018 Farm Bil...

There is a lot of action making its way through the Los Angeles City Council and the Department of Cannabis Regulations (“DCR”). We've prepared a preview of some of the most pertinent and interesting: EMMDs Now Precluded from Relocating As of November 30th, Existing Medical Marijuana Dispensar...

Housing Rights for Tenants with Patient Recommendations Housing providers are free to regulate conduct unrelated to any fair housing protected class however they choose. An outright ban on the use, possession, or cultivation of marijuana on site does not violate any landlord/tenant or fair ho...

We're reaching the end of the California cannabis industry's first year operating in a newly regulated market. Businesses have seen the state's licensing authorities flip flop on key regulatory issues, costing them an arm and a leg to maintain compliance. Cities and counties that haven't banned c...

During the November election, voters in three San Diego County cities considered ballot measures to allow for new cannabis licensing.  In Vista, medical licensing was approved, In La Mesa voters agreed to bring cannabis taxes to La Mesa, and finally, in Chula vista, voters formally adopted a co...

Written by Taylor Urlich, J.D. The quickly approaching midterms are less than a month out. Get out the vote and register campaigns are well underway for what is going to be a pretty monumental midterm.  One of the prominent issues transcending these candidates platforms is CANNABIS! November 6th...

Written by Elizabeth Kozlov In June 2018, the Federal Drug Administration (FDA) approved Epidiolex for the treatment of seizures associated with Lennox-Gastaut Syndrome and Dravet Syndrome—two rare and severe forms of epilepsy.  Following that decision, on September 27, 2018, the United States...

Written by Taylor Ulrich, J.D.  Producers of edible marijuana products in Washington State have found themselves in a sticky edible limbo. Should their California counterparts be on edge? Let's take a look. What happened in Washington? Earlier this month, Washington's Liquor And Cannabis Boa...

As most know, Proposition 64 offered conviction relief for many cannabis offenses.  Proposition 64 reduced or eliminated criminal penalties for cannabis cultivation, sales, possession with intent to sell, possession, and transportation.  And, this change in law was retroactive, meaning people wit...

While Jerry Brown has not been the biggest proponent of cannabis during his time in the Horseshoe of Sacramento, he has proven this year that he generally respects the voters' decision to legalize adult use cannabis in California. Marking the end of the 2018-19 legislative session and his final...

Writen by: Taylor Ulrich, J.D. The budding cannabis industries in both the United States and Canada have an eye on the green – and I don't mean cannabis. While the legal cannabis industry continues to grow state by state in the US, cannabis is officially legal for purchase by adults in Canada na...

CBD seems to be everywhere, from all over the news to local pet stores.  Given its proliferation, it is easy to assume that CBD, particularly CBD derived from industrial hemp, is completely legal under state and federal law.  But, it is not. According to the DEA, CBD remains a Schedule I Contro...

Written by Taylor Ulrich, J.D. Los Angeles International Airport recently published the current position of the Los Angeles Airport Police Department by updating its public cannabis policy on its website stating that the department “will allow passengers to travel through LAX with up to 28.5 g...

The Bureau of Cannabis Control (BCC) is cracking down heavily on illegal businesses, or so it wants you to think. As California entered its ninth month of operating in the regulated cannabis market, the BCC widely announced two enforcement actions on unlicensed businesses in the state, one agai...

On August 28, 2018, California Governor Jerry Brown signed a piece of trailblazing legislation that is set to revamp California's cash bail system. Senate Bill No. 10, also known as the California Money Bail Reform Act, is set to go into effect on October 1, 2019. The new law passed in the Stat...

Written by Abraham Finberg, CPA and Simon Menkes, CPA Traditionally, deciding on the best entity for a business involves a comparison of the Corporation versus the LLC, with a few nods to Partnerships and Sole Proprietorships thrown in. However, if you decide to go into the cannabis business, ...

The two definites in life are death and taxes - even for cannabis businesses. As you may well know, when it comes to taxes, cannabis businesses don't have it easy. Enter tax code 280E.  26 U.S.C. §280E allows the Internal Revenue Service (“IRS”) to deny general business tax deductions - essenti...

Written by Elizabeth Kozlov On August 1, 2018, the Los Angeles Department of Cannabis Regulation (“DCR”) began accepting applications for Phase 2 priority processing for select cannabis businesses that were involved in non-retail cannabis activity prior to 2016. This is the second application wi...

Written by: Taylor Urlich For many years, California has been the “cool kid” when it comes to cannabis regulation. In fact, California pioneered the legalization of cannabis for medical use in 1996. But until this year the state's cannabis industry has been largely unregulated. At the start of t...

Last month, two California cannabis companies, Lowell Herb Co. and Bloom Brand,  voluntarily recalled products, making retailers pull the affected products off the shelf.  Are such recalls about to become common, or is this an isolated event? The Recalls The Bloom Brand recalled four product...

They're here. Proposed regulations from California's three cannabis licensing authorities were released last month, kicking off the long-awaited regular rulemaking process. These proposed regulations will be here to stay for the foreseeable future once adopted by the state, giving the cannabis ...

By Abraham Finberg, CPA and Simon Menkes, CPA Great news!  A publicly traded company from Canada through a reverse merger (whatever that means) wants to buy you out.  All they need are your audited financials! Now what? Of course the only audits you ever had were sales tax audits.  Weren't th...