Author: Chris Casacchia
[ad_1] (Photo by Chris Casacchia for MJBizDaily)One of California’s largest cannabis dispensary chains is challenging an emergency rule change that state tax collectors implemented in December to vastly expand the scope of marijuana excise taxes. HNHPC Inc., which operates as Catalyst Cannabis Co., filed a lawsuit Dec. 28 in Superior Court in Orange County contending the California Department of Tax and Fee Administration and the Office of Administrative Law colluded to: Enact excise taxes and collect related payments from dispensaries on non-cannabis products, such as accessories, in violation of the state’s Administrative Procedures Act. Abuse their emergency regulatory authority to…
[ad_1] A new state-issued report on Missouri’s cannabis industry provides new insights regarding the application process, approvals and disqualifications for newly created microbusiness licenses. The microbusiness licenses were designed to allow “marginalized or under-represented individuals to participate in the legal marijuana market,” according to an April news release issued by the Missouri Department of Health and Senior Services (DHSS), the state’s cannabis regulator. According to the “Chief Equity Officer 2023 Activity Report,” more than 40% of the 1,625 microbusiness applications filed between July 27 and Aug. 10 originated from out-of-staters, who are eligible for those licenses if they meet one of…
[ad_1] Several of the nation’s largest cannabis companies are curtailing retail expansion plans for 2024, a consequence of licensing caps, limited new market opportunities and ongoing capital concerns. Those realities will curb expansion in several states this year as numerous multistate operators focus on core business lines rather than increasing operational expenses, industry sources told MJBizDaily. Despite the hurdles, some legal U.S. markets are projected to increase the number of marijuana retailers significantly. MSOs this year are expected to add dozens of new adult-use stores in Ohio, largely thanks to a 2023 voter-approved ballot initiative that prioritized expansion for existing…
[ad_1] A large batch of medical marijuana products in Mississippi have been placed on “administrative hold” as regulators continue testing to clear the products for sale. The Mississippi State Department of Health (MSDH) issued the initial hold on Dec. 21 for products tested by Rapid Analytics, one of two licensed testing labs in the market. “The specific circumstances leading to the hold remain under investigation by MSDH, but the retesting is to validate results related to the use of pesticides and presence of mycotoxins,” the health department said in a Dec. 27 alert. According to the Magnolia Tribune, Rapid Analytics…
[ad_1] A letter from California Attorney General Rob Bonta to state regulators all but ended marijuana industry hopes of interstate cannabis commerce. In a 36-page letter sent Dec. 19 to the Department of Cannabis Control (DCC), the state’s chief cannabis regulator, Bonta wrote that marijuana activity between legal out-of-state businesses and California licensees could result in “significant legal risk to the State of California under the federal Controlled Substances Act.” The warning – first reported by Marijuana Moment – is not a surprise, considering federal prohibition of the plant, which cast long odds a state law allowing such sales would…
[ad_1] Delinquent payments are causing a cascade of problems for small and large marijuana operators nationwide, according to a new report by Oregon-based cannabis data and research company Whitney Economics. Preliminary results from the survey of operators and ancillary businesses revealed: 43% of respondents said delinquent accounts receivables are impacting operators’ ability to service debt. 32% of respondents believe delinquent accounts receivables are impacting operators’ ability to pay state or federal taxes. 59% of respondents reported that delinquent payments are having a greater impact on their business than Section 280E, the federal tax policy that prohibits marijuana operators from taking…
[ad_1] Coda Signature, an early entrant in Colorado’s regulated marijuana market, is the latest brand to cut business operations in the state. The homegrown, award-winning cannabis edibles maker will concentrate efforts in other markets after facing escalating challenges in Colorado since the COVID-19 pandemic, according to Denver alt-weekly Westword. “Colorado’s cannabis market declines in recent years combined with the significant oversupply has caused the company to make the difficult decision to close operations in Colorado,” Coda Signature told Westword in a statement. Only five years earlier, Coda Signature laid out an expansion plan to become a national cannabis brand built on…
[ad_1] Stiiizy, one of the top-selling marijuana brands in California with operations in several other states, told MJBizDaily it has no connection to illegal business practices detailed in a lawsuit and a published report that prompted some operators to cut business ties with the company. However, Stiiizy appears to be distancing itself from co-founder Tony Huang, the subject of growing allegations of illegal business dealings in California. Stiiizy dominates market share in California in vape sales and is the largest retail operator in the state. Its national footprint includes operations in Illinois, Michigan and Nevada as well as distribution at…
[ad_1] A Michigan resident who has won marijuana business licenses through litigation has now filed a lawsuit against Washington state regulators. Kenneth Gay, of Peridot Tree WA, is challenging the Washington State Liquor and Cannabis Control Board for rejecting his application for a retail license under the state’s social equity program, according to Green Market Report. The lawsuit argues that the state’s six-month residency requirement is unconstitutional under the dormant commerce clause, which generally prohibits states from passing legislation that discriminates against or excessively burdens out-of-state citizens compared to in-state citizens. Litigation has proved to be a viable path to securing…
[ad_1] Four states in the Northeast and Midwest launched adult-use marijuana sales in the past year, while one in the Deep South began medical cannabis sales. This roundup highlights key developments in the past 12 months in New York, Connecticut, Missouri and Maryland – which all began recreational markets – as well as Mississippi, which launched MMJ sales. Despite some setbacks, including a major recall and inventory shortages, the rollouts in Connecticut, Missouri, Maryland and Mississippi have gone fairly smoothly for operators. New York, by contrast, has been plagued by financial and legal challenges from Day 1, according to industry…
[ad_1] Alabama regulators issued five integrated licenses to medical marijuana companies, finalizing the state’s small batch of initial permits for MMJ retailers, suppliers and processors. After hearing presentations last week, according to AL.com, the Alabama Medical Cannabis Commission (AMCC) on Tuesday selected the following companies in what has been a contentious and controversial process: Flowerwood Medical Cannabis. Specialty Medical Products of Alabama. Sustainable Alabama. Trulieve AL. Wagon Trail Med-Serv. License winners have 13 days to pay the $2,500 license application fee and the $50,000 annual license fee. The application and selection process for those licenses sparked lawsuits after the state’s…
[ad_1] A circuit court judge in Alabama denied a request to halt the issuance of medical cannabis licenses in the state. Judge James Anderson denied the temporary restraining order request by Alabama Always, an MMJ company seeking one of the state’s vertically integrated licenses, according to the Alabama Political Reporter. Alabama Always filed a lawsuit last week in anticipation of not being selected for one of those integrated licenses, Alabama Today reported. The suit alleges that some members of the Alabama Medical Cannabis Commission (AMCC), the state’s MMJ regulator, are biased against the company. The AMCC heard presentations last week…