Published in Law360 on August 30, 2022. © Copyright 2022, Portfolio Media, Inc., publisher of Law360. Reprinted here with permission. A recently filed cannabis case in Oregon, Drops LLC v. La Mota LLC, demonstrates pleading of two forms of the alter ego theory of liability. Most lawyers and business owners know that one of the
Last summer, the Massachusetts based retailer Curaleaf mistakenly mixed-up THC with CBD at a bottling plant in Portland. Approximately 1,500 mislabeled bottles containing what the Oregonian describes as a “jumbo” dose of THC were shipped under the brand name Select and sold as containing only CBD. Although many of the bottles were recalled at the
Listen up friends. The Oregon Liquor and Cannabis Commission (OLCC) plans to drop the hammer on bad actors in the regulated Oregon market. Or so the Commission announced in a stern news release on Friday, July 29 (the “Release”). The Release is titled “Commissioners plan to tighten ‘change of ownership’ option.” For good effect, it is subtitled
Listen up friends. The Oregon Liquor and Cannabis Commission (OLCC) plans to drop the hammer on bad actors in the regulated Oregon market. Or so the Commission announced in a stern news release on Friday, July 29 (the “Release”). The Release is titled “Commissioners plan to tighten ‘change of ownership’ option.” For good effect, it
When going into business—whether cannabis or otherwise— the first step is to create a business entity. (This seems obvious but still eludes many in the cannabis industry.) One of the principal purposes of establishing a business entity to limit the personal liability exposure of the founders. Typically, the business entity itself and not the investors,
We have been helping people buy and sell Oregon cannabis businesses since the early days of the adult use market. Most of these sales are relatively simple asset purchase agreements—including many for naked licenses—but some have been stock sales. Others have taken place amid administrative enforcement action by the Oregon Liquor and Cannabis Commission (OLCC).
We have been helping people buy and sell Oregon cannabis businesses since the early days of the adult use market. Most of these sales are relatively simply asset purchase agreements—including many for naked licenses—but some have been stock sales. Others have taken place amid administrative enforcement action by the Oregon Liquor and Cannabis Commission (OLCC).
Unfazed by the federal leadership vacuum on cannabis, states continue to roll out cannabis proposals and programs. A total of 34 states considered cannabis reform proposals in 2021. Another 32 proposals (some of them pre-filed in 2021) are up for discussion here in 2022. These proposals range from limited decriminalization measures to comprehensive, adult use
After a rollercoaster open market experiment, Oregon finally raised the walls on its cannabis program earlier this year. Typically, there are two broad approaches a state may take in walling off a regulated cannabis program, dormant commerce clause issues notwithstanding. The first is by enacting residency requirements for marijuana business ownership. Oregon did away with
OLCC rules are complex and change frequently, so compliance can be challenging and violations occur frequently. Over the years, we’ve represented clients in administrative proceedings across the west coast, and each system has its own quirks. Here are a few things to keep in mind if you find yourself in the process. Focus on compliance
