If you have spent much time around the world of private capital raising, then you know that there are only two avenues for a company that wants to bring on investors. Either you register your capital offering (equity, debt, or some hybrid) or you find a state or federal filing exemption that you can qualify
On May 20, 2020, the Washington State Liquor and Cannabis Board (LCB) held a virtual listen and learn forum on Draft Conceptual Rules Regarding Marijuana Licensee True Party of Interest Rules. Cannabis Observer covered the forum and a summary is available here. The move to change the true party of interest (TPI) rules started in October
The Agriculture Improvement Act of 2018 (2018 Farm Bill) legalized hemp by removing the crop and its derivatives from the definition of marijuana under the Controlled Substances Act (CSA) and by providing a detailed framework for the cultivation of hemp. The 2018 Farm Bill gives the US Department of Agriculture (USDA) regulatory authority over hemp
On November 20th, the Washington State Department of Agriculture (“WSDA”) released the hemp cultivation plan (the “Plan”) that it intends to submit to the US Department of Agriculture (“USDA”) along with a corresponding set of hemp regulations (“Hemp Rules”). This post will provide an overview of Washington’s hemp plan. Recordkeeping, Violations, and Inspections The Plan
On June 26, 2019 the Supreme Court of the United States (SCOTUS) issued a ruling in Tennessee Wine and Spirits Retailers Association v. Thomas invalidating a two-year residency requirement for Tennessee retail liquor stores. The Washington State Liquor and Cannabis Board (LCB) has a similar six-month durational-residency requirement required for any person applying to be a
In a prior post I discussed some general insurance issues for cannabis business owners to consider. Today we’ll take a deep dive into Washington State insurance for cannabis businesses. As is the case with most emerging industries, the pace of marijuana business continues to outstrip the development of ancillary but crucial services (see California Approves
As the cannabis industry has matured, the competition between businesses has increased exponentially whether engaged in the sale of recreational marijuana, hemp, or CBD. A significant risk for any ongoing or new venture arises at the end of a term of employment, whether that end is voluntary or involuntary. That risk is of a former
Washington lawmakers were busy this last legislative session. Democrats controlled both houses of Congress and the Governor’s Office. This means some minor and major changes to Washington marijuana laws. Below is a list of marijuana bills that made it through the legislative session, and some commentary. Senate Bill 5298 “Regarding labeling of marijuana products.” This bill allows
As CBD and hemp continue to grow in popularity we are receiving an increasing number of calls and emails from companies that want to distribute hemp across the country. We have written about the legality of hemp and CBD under federal law: DEA Confirms It Cannot Regulate All Parts of the Cannabis Plant Cannabis Taxation:
Our Seattle office often receives calls from entrepreneurs who want to operate in Washington’s thriving recreational cannabis market. Washington is not currently accepting applications for new cannabis licenses which means there are a finite number of licenses available. This leaves one option for entrepreneurs who want to operate their own Washington’s cannabis business: buy an existing
