The officers, directors, partners, members and managers of cannabis companies need to understand what constitutes a “security” and how to comply with applicable securities laws. The failure to do so may result in their personal liability for securities fraud. Let’s start with what constitutes a “security.” As my colleague Jonathan Bench recently explained in layperson’s
It has been a tough stretch for Portland-based Cura Partners, Inc. (“Cura”) and its parent company, Massachusetts-based Curaleaf Holdings, Inc. (“Curaleaf.”) Cura produces the popular Select brand of THC vaping products and was declared Oregon’s first “cannabis unicorn.” In May of 2019, Cura announced its sale to Curaleaf for more than $1 billion in an
We regularly represent marijuana businesses that find themselves on the wrong side of an OLCC charging document. The charging document will list the particular rule or rules that the OLCC alleges the licensee has violated and always, in my opinion, lists only the most severe sanctions. The OLCC sanctions schedule is laid out in tiers.
On June 29, the folks at “Yes On IP 34” announced that the Psilocybin Therapy Initiative will qualify for the ballot this November in Oregon. The campaign said it had collected over 164,000 signatures and that its recent submission of additional signatures would comfortably put the initiative above the requirements. This is exciting news! You
The Oregon Liquor Control Commission (“OLCC”) is tasked with regulating medical and recreational cannabis in Oregon and this includes commencing administrative enforcement proceedings against licensees found in violation of one or more rules. The OLCC may seek sanctions against licensees ranging from a monetary penalty and/or a period of suspension to license cancellation. We sat
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
Here we are at the end of 2019, which means it’s time for the fourth annual “State of the State” post on Oregon cannabis (see the 2018 post here; 2017 here; and 2016 here). This past year has been a reckoning of sorts for Oregon cannabis: things slowed down on the marijuana side but accelerated on the hemp side
If you are an eccentric person like me and follow the Oregon Department of Agriculture (“ODA”) on Twitter and have a deep interest in international business (especially the trade war with China), you will have noticed that ODA recently (and proudly) posted something that I see as both positive and negative for the hemp industry:
This is the first in a three-part series addressing why companies making and sell hemp-derived CBD products ought to be concerned about state consumer protection laws and offering a few thoughts on how to mitigate the risk of running afoul of those laws. This week we will look at Oregon, followed by Washington, and California.
According to recent reporting, pet industry spending is expected to reach $96 billion by 2020 with CBD as one of its fastest growing sections. Following the enactment of the Agricultural Improvement Act of 2018 (“2018 Farm Bill”), there has been a huge interest in the use of hemp-derived cannabidiol (“Hemp-CBD”) for our furry friends. Yet,
