Tag: marijuana sales

  • Michigan Company Sells Books, Gifts Marijuana, In Legal Gray Area

    Michigan Company Sells Books, Gifts Marijuana, In Legal Gray Area

    Blaze Michigan’s book bundles come with a special “edible” gift.

    While marijuana users in Michigan must wait for legal marijuana shops to open their doors, one store has found a clever workaround—gifting marijuana edibles to people who purchase book bundles. 

    Blaze Michigan sells bundles of books, which can be picked up in person or delivered. Consumers purchase the books, and if they are 21 or older they’ll receive a free gift. With bundle names like the Brownie Edible Book Bundle ($65), Full Vape Book Bundle ($90) and Mary Jane Flower Books ($80), it’s easy to guess what the free gift might be. 

    “You’re buying gifts, and then the gift is unknown. We try to hint at what the gift is going to be, by how we name our book bundles,” Blaze Michigan owner Stephanie Swearengin told WSBT 22

    The bundles are a big hit, Swearengin said. “Pretty much demand has been hard to keep up with for the most part.”

    Michigan became the first midwestern state to legalize recreational cannabis in 2018, but until shops begin opening in 2020, there are no outlets to legally purchase marijuana.

    Swearengin believes she has found a workaround, as she explained on Blaze Michigan’s website. 

    “We’ve talked to multiple lawyers about the issue and as far as we can tell it’s just a large gray area,” she said. “Just like medical dispensaries. I mean with the state and the federal law, it’s already a gray area. Even though medical marijuana has been legal, they can still get shut down by the feds. So if you ask me it’s all kind of gray.”

    However, Cass County Prosecutor Victor Fitz was not convinced that Blaze Michigan’s business model is legal. “People engaging in this activity are definitely subjecting themselves to potential prosecution.”

    Despite the semantics, the intent of businesses like Blaze Michigan is clear, Fitz said. 

    “Certainly when you’re gifting marijuana as part of the incentive of a transaction, that can very easily be interpreted that you are doing it for profit,” he said. “It’s wise for people to follow the law. Tread softly and be cautious. The step you make may end up in causing you to be in court resulting in a civil infraction, a misdemeanor, or even a felony conviction.”

    In 2017, a Massachusetts store was shut down for charging an admission free and then distributing free marijuana gifts to consumers. Recreational marijuana had been legalized in the state, but shops that could legally sell pot were not yet open. 

    “He can no longer do business like he’s doing right now—taking a cover at the door, leaving with a gift of marijuana,” the local police chief said at the time. “It’s not legal in the state to do that. He’s not a licensed distributor of marijuana. That’s yet to come.”

    View the original article at thefix.com

  • Despite Legalization, Canada’s Pot Black Market Continues To Thrive

    Despite Legalization, Canada’s Pot Black Market Continues To Thrive

    Officials are hoping that dealers on the illegal market will be priced out.

    Last week Canada became only the second country in the world to legalize recreational marijuana, but the black market for pot is continuing to thrive as customers seek out products that they can’t buy legally, including edibles, and sellers push back on government intervention in their industry. 

    “We’ll keep selling what we are selling,” Don Briere, the owner of an illegal Vancouver pot shop, told The New York Times. Briere sells edibles and other products that are currently illegal under the national law, which only allows for the sale of fresh or dried cannabis, seeds, plants and oil. 

    Canada—especially Vancouver—has long had a thriving illicit marijuana industry, worth an estimated 5.3 billion Canadian dollars each year.

    One of the aims of legalization was to close the illegal shops that are common in cities like Vancouver. 

    However, Briere and other industry insiders object on principle. “The government taking over the cannabis trade is like asking a farmer to build airplanes,” he said. He’s not alone. In Vancouver, hundreds of illegal shops remain open.

    At a lower level, street dealers try to entice customers by offering services like delivery and selling joints at a two-for-one price. Some customers who were frustrated that legal stores ran out of product went back to their illicit contacts. 

    “Definitely going to use my dealer from now on his business is going way up because of your crappy service,” one frustrated customer wrote on Twitter.

    Despite the disregard for the law, Canadian law enforcement isn’t likely to step up consequences for people who are selling illegally. They have their hands full dealing with more pressing issues, including fentanyl overdoses, said Chief Constable Del Manak, police chief of Victoria and president of the British Columbia Association of Chiefs of Police.

    However, this doesn’t mean that authorities are oblivious to the fact that the illegal market still exists. “It is naïve to think that just because cannabis is legalized, the criminal will walk away from a highly lucrative industry,” said Del Manak. 

    Mike Farnworth, British Columbia’s minister of public safety, said that the government is hoping that over time the legal market will undermine the demand for illegal sales. “It’s a very Canadian way of doing things,” he said. “It won’t happen overnight.”

    Farnworth added that there won’t be any police raids with “guns and head-bashing.”

    However, in Toronto, police raided five illegal pot shops after the legalization law was passed. Others have voluntarily closed, showing that the government’s approach might be working. Even Briere has shuttered some of his stores across the country and is applying for licenses for the remaining stores. 

    Officials are also hoping that dealers on the illegal market will be priced out. Today, marijuana on the street costs about one-third of what it did five years ago, making it less lucrative for dealers.

    View the original article at thefix.com

  • Walmart Canada Considers Selling Marijuana Products

    Walmart Canada Considers Selling Marijuana Products

    The mega chain is reportedly investigating the viability of carrying CBD products in their stores. 

    As a growing list of major companies either embrace or consider the option to include cannabidiol (CBD)-based products in their retail offerings, a representative from Walmart Inc. in Canada told the Vancouver Sun that the mega-chain has conducted research into the viability of carrying CBD products on store shelves.

    Diane Medeiros, a spokesperson for Walmart Canada, said that while the company does not have plans to carry CBD products at this time, it “has done some preliminary fact-finding on this issue.”

    The timing of their investigation coincides with the legalization of marijuana at the federal level throughout Canada on October 17, 2018.

    In an email exchange with the Sun, Medeiros said that the review of CBD-based products—goods that contain the active but non-psychoactive compound cannabidiol—is standard operating procedure, something they carry out for “any new industry.”

    As High Times noted, the investigation is also good business practice, as Canadians are expected to drop $1 billion on marijuana in the first three months after legalization. Response to the company’s announcement also proved positive for Walmart, whose shares rose nearly 3% in afternoon trading that day.

    And while Walmart is apparently not ready to offer CBD-based product to its customers, other brands, both global and regional, have already announced their intent to cater to the new market.

    In Canada, the drugstore chain Shoppers Drug Mart was approved as a licensed medical marijuana producer, which will allow them to dispense cannabis to their customers, while the Montreal-based Molson Coors Canada has entered into a joint venture with The Hydropothecary Corporation to produce non-alcoholic, cannabis-infused beverages. 

    The Coca-Cola Company, too, has reported making inroads towards CBD-based products with a beverage produced in conjunction with Aurora Cannabis, while Estee Lauder has added Hello, Calm—a face mask infused with sativa—to its line of cosmetic products.

    Several U.S. breweries like Lagunitas and Coalition Brewing have already begun selling CBD-infused beer products, and the vegan chain By Chloe offers CBD-based products in its nationwide locations.

    And, as the Vancouver Sun noted, companies that have refused to expand its offerings to CBD product may experience a setback: PepsiCo’s declaration to not sell CBD-infused goods resulted in a decline in its market share.

    Cowen & Co. analyst Vivien Azer underscored the retail industry’s growing focus on CBD-based products in a research note that stated, “Health and wellness consumers are beginning to find value and use cases from CBD-based oil extracts, tinctures, topicals and capsules to improve everyday life. We expect to see CBD used as a functional ingredient in non-alcoholic beverages.”

    View the original article at thefix.com

  • Nearly 20% Of California Pot Products Fail Safety Testing

    Nearly 20% Of California Pot Products Fail Safety Testing

    Products like edibles and oils were much more likely to fail testing than marijuana buds.

    Nearly 20% of legal marijuana products in California are failing mandated safety testing, a figure that the industry says has more to do with an inefficient and inaccurate testing system than deficient products. 

    As of July 1, marijuana products sold on the legal market in California were subject to testing for pesticides and mold, and to ensure that the potency advertised matches the actual potency of the product.

    Since July, nearly 11,000 samples were inspected and nearly 2,000 rejected, according to a report by ABC News

    While some growers and distributors are unhappy with the state testing, the testing bureau says that the new screening process has been implemented successfully overall. 

    “Mandatory statewide testing is a new thing and it’s going to take some time for everything to run smoothly, but on the whole we’re pleased with how things are progressing,” said Bureau of Cannabis Control spokesman Alex Traverso.

    The California Growers Association, an industry group, disagrees. “Testing is currently costly, slow, and inconsistent,” the growers association said in a recent letter to the state. 

    Sixty-five percent of the samples that failed testing were rejected because of mislabeling, e.g. the potency advertised on the product label did not match the potency of the product. State law requires that the potency (which measures THC content), falls within a 10% margin of error. If a batch of product is even slightly outside that margin, it will be rejected and must be relabeled. 

    The California Cannabis Manufacturers Association, another industry group, says that this can happen when labs do not correctly test a sample, but right now there is no way for manufacturers to appeal a lab’s finding. The association is working to change that. 

    “Even if the lab admits it made an error, there is no way to change those results,” said Bryce Berryessa, an association board member who is CEO of TreeHouse dispensary in Santa Cruz County and president of La Vida Verde, which produces infused cookies. “Labs are not perfect. Mistakes get made.”

    About 90% of buds that were tested in California passed, while products like edibles and oils were much more likely to fail testing, suggesting that potency is more often inaccurate with those products. 

    The next most common reason for failed testing was pesticide levels that were too high (400 batches were flagged for this reason). And only about 100 samples failed testing because of contaminants or mold. However, this may be because state law only mentions a few specific types of mold in regards to cannabis.

    Because of this, Santa Ana-based testing company Cannalysis is urging the state to use a test that is already in place for food and pharmaceuticals, which could catch more potentially contaminated cannabis. 

    The regulators need to “create a bigger net to catch things,” said Swetha Kaul, the company’s chief scientific officer who sits on the board of the California Cannabis Industry Association. 

    View the original article at thefix.com

  • Los Angeles Cracks Down On Unlicensed Pot Shops

    Los Angeles Cracks Down On Unlicensed Pot Shops

    Authorities estimate that there may be more than 200 retailers operating in Los Angeles without proper licensing.

    Misdemeanor charges were filed against more than 500 individuals in Los Angeles as part of City Attorney Mike Feuer’s campaign against unlicensed marijuana-related businesses.

    At a press conference on September 7, Feuer said that the charges were part of 120 criminal cases, and carry a possible sentence of six months in jail and fines of up to $1,000.

    Los Angeles Police Department Chief Michael Moore, who was also in attendance at the press conference, added that city prosecutors may try to seize properties that are linked to illegal marijuana businesses by civil action.

    As both KTLA-TV and High Times noted, Feuer’s office began its crackdown on unlicensed marijuana businesses in June 2018 in an attempt to align the city’s cannabis industry with the regulations established by the 2016 passage of Proposition 64 by the state of California, which legalized recreational marijuana for individuals 21 years or older. 

    When the law was implemented in 2018, the state added a number ofnew and far stricter regulations in regard to packaging, contents and testing cannabis products, which took effect on July 1, 2018.

    Products that did not comply with the new regulations were required by law to be disposed of at the business’s expense, forcing many retailers to either sell their product at deep discounts or destroy it; by some estimates, the latter was estimated at $350 million in potential cannabis sales.

    According to Feuer, the new regulations—and making sure that businesses adhere to them—are in line with what Los Angeles-based voters sought from Proposition 64.

    “[They] wanted common-sense rules to regulate recreational marijuana so public safety is protected in our neighborhoods,” he said at the press conference. “Our message is clear: if you are operating an illegal cannabis business, you will be held accountable.”

    The city has so far charged 21 individuals who have pled guilty or no contest to misdemeanor charges or infractions related to marijuana regulations. One person was reportedly sent to a diversion program, and 11 cases appear to have been dismissed.

    Authorities estimate that there may be more than 200 retailers that are operating in Los Angeles without proper licensing. “The Los Angeles Police Department will continue to assign resources, dedicate personnel to take [enforcement] action—criminal action—against unlicensed retailers, manufacturers [and] cultivators who have not followed the rules,” said Police Chief Michael Moore.

    Some in the cannabis industry have supported Feuer’s efforts. Adam Spiker, executive director of the Southern California Coalition, said that cracking down on black market retailers is beneficial for the state’s industry as a whole. “I applaud the city for doing this,” he said. “You can’t have a regulated industry without strong enforcement.”

    View the original article at thefix.com

  • Mom Accused Of Letting Teen Daughter Run Pot Shop From Bedroom

    Mom Accused Of Letting Teen Daughter Run Pot Shop From Bedroom

    Police reportedly uncovered 80 pounds of cannabis in the closet of the master bedroom.

    A 15-year-old girl is in state custody after sheriff’s deputies alleged that she made cannabis deals out of her bedroom, supported by her mother.

    On August 17, the Merced County Sheriff’s Office served a search warrant at the family’s Delhi, California home. The search uncovered 80 pounds of cannabis in the master bedroom closet and 12 “large marijuana plants” in the backyard growing in a “makeshift greenhouse,” according to sheriff’s deputies. A loaded AK-47 was also found.

    According to a statement posted on Facebook, during the investigation officers allegedly learned that “the 15-year-old daughter was given marijuana from her mother to use and sell from her bedroom.”

    In addition, officers found “packaged marijuana, edibles and other items associated with the sales and use of marijuana” that they say belonged to the 15-year-old girl.

    The girl and another minor have since been removed from the home by Child Protective Services. Two adults in the home have been arrested—Jose Reyes Martinez, 44, on suspicion of marijuana crimes, possessing an assault weapon and assault on a child; and Norma Angelica Alvarez, 44, on suspicion of marijuana crimes and child endangerment.

    Parents all across the United States have lost custody of their children for providing them marijuana, but unlike this particular case—as far as we know—it is often to treat debilitating disorders like epilepsy.

    One recent example happened in Macon, Georgia, where Suzeanna and Matthew Brill are fighting for custody of their son David, who suffers from seizures. The couple had illegally purchased cannabis to try and ease David’s seizures, after prescription medication had failed to make a difference.

    The family was on the waiting list for Georgia’s Low THC Oil Program, but couldn’t wait any longer.

    The parents say the cannabis was “a miracle” for David. “I was tired of seeing my kid half-dead all the time,” said Suzeanna. “[Marijuana] helped my son where all other options had failed.”

    Cannabis is illegal in the state of Georgia. Only possession of up to 20 fluid ounces of low THC oil by qualified residents is allowed. Seizure disorder, Crohn’s disease, multiple sclerosis and Parkinson’s disease are among the qualifying conditions for Georgia’s limited medical cannabis program.

    View the original article at thefix.com

  • California Says “No” to Mixing Marijuana & Alcohol in Public

    California Says “No” to Mixing Marijuana & Alcohol in Public

    California state regulators have drawn a line in the sand for businesses that wish to sell marijuana and alcohol in the same location.

    California state regulators have temporarily dashed hopes for bars and pubs where people can consume alcohol and marijuana at the same time, according to High Times.

    The Golden State issued an industry advisory on July 25, which listed frequently asked questions of the state’s Department of Alcoholic Beverage Control (ABC). The advisory drew a clear line in the sand between alcohol and cannabis in the state, making it illegal to sell the two together.

    “The MAUCRSA (Business and Professions Code section 26054) states that the holder of a license issued under the MAUCRSA ‘shall not sell alcoholic beverages or tobacco products on or at any premises licensed under this division,’” the memo stated.

    The ABC also says beverages that blend the two substances together, such as marijuana-infused cocktails or Canada’s newly infamous “cannabis beer” will be illegal in the state. Cannabidiol (CBD) is out of the question for ABC licensees, too.

    “It does not matter if the CBD comes from industrial hemp or from cannabis,” the memo said. “This also includes non-alcoholic beverage products and edibles. It is thus prohibited… regardless of source, in the manufacture or production of any alcoholic beverage, including using it in mixed drinks or cocktails.” 

    State regulators added that businesses licensed to sell alcohol won’t be allowed to permit their patrons to bring (and use) their own marijuana on the premises, either. No cannabis products, including vaporizers and edibles, can be consumed in public, under California law.

    “The restriction applies at all times, even after hours or during private functions,” the High Times story explained. “That means food, wine, and cannabis pairing events are not allowed at ABC licensed establishments.”

    Interestingly enough, California’s Cannabis Portal site observed that the memo’s guidelines won’t stop any of it from happening: “There are many bars and pubs that [currently] turn a blind eye to such behavior, and did well before recreational marijuana was legalized in California.”

    Additionally, the existence of Denver Initiative 300 (a pilot program that allows public pot consumption in Denver) suggests that attitudes could eventually shift in the opposite direction in California. 

    Since its legalization in November 2016, the laws around marijuana use have been as controversial as they have been somewhat ambiguous.

    While “there has been some lack of clarity” in how and where marijuana can be consumed, a Marijuana Moment article hinted that there is “perhaps a bit of willful ignorance” among businesses and entrepreneurs.

    Even the advisory itself says that it’s not the “be-all and end-all” on the subject and is, instead, meant to simply provide some better clarification: “This is not intended to be a comprehensive review of what may be permitted or prohibited,” the memo cautioned. “You should obtain independent legal advice before engaging in business involving either alcoholic beverages or cannabis, and you should not act in reliance on any information presented herein.”

    And while the ABC prohibits anyone from mixing alcohol and weed, there are no stipulations that prevent a person from holding licenses to sell both alcohol and cannabis.

    View the original article at thefix.com

  • "Social Equity" Program To Help Those Impacted By Drug War In Massachusetts

    "Social Equity" Program To Help Those Impacted By Drug War In Massachusetts

    The programs aims to help people who have been disproportionately affected by the drug war enter the cannabis industry with ease.

    The state of Massachusetts is rolling out a new “social equity” program to help certain individuals navigate the legal cannabis industry.

    Cannabis for adult (or “recreational”) use is a booming industry. It is legal in nine states and the District of Columbia, while more, including New Jersey and New York, may follow.

    Equity programs already exist in California, but the one in Massachusetts would be the first in the nation to be applied statewide.

    The idea is to provide assistance to people who have been disproportionately affected by the government’s long-waged “war on drugs.”

    To be eligible for the Massachusetts program, a person must either have a past drug conviction or be the spouse or child of a person with a drug conviction, who has lived in the state for the last year; or they must have lived in a community deemed an “area of disproportionate impact” for at least five years and earn below 400% of the federal poverty level.

    Eligible applicants will receive mentoring, technical assistance, and skills training to help them enter the cannabis industry with ease.

    “The social equity program is designed to create sustainable pathways into the adult use cannabis industry for both individuals and businesses,” said Shekia Scott, the director of community outreach for the Cannabis Control Commission (CCC), which was tasked with helping those disproportionately affected by the criminalization of marijuana get in on the growing industry.

    The program’s goal is to create a comprehensive program tailored to each applicant at any skill level—whether they want to start a business or find an entry level job.

    “We want applicants to specify their needs so we can meet them where they are,” said Scott, who introduced the social equity program at a Tuesday (June 26) meeting of the CCC. “We’re not making a one-size-fits-all program, that we know usually doesn’t fit all.”

    While the Massachusetts program does not specifically target certain people of color, inevitably many black and Latino residents will be eligible to participate.

    According to the American Civil Liberties Union, black Americans are arrested for cannabis possession at more than 3.7 times the rate of whites, despite the fact that marijuana is used at comparable rates by both groups.

    According to Marijuana Business Daily, owners and founders within the cannabis industry are 81% white, while just 4.3% are black and 5.7% are Latino.

    View the original article at thefix.com

  • Canada Legalizes Marijuana In Historic Vote

    Canada Legalizes Marijuana In Historic Vote

    Residents are expected to be able to purchase marijuana from licensed producers as early as mid-September 2018.

    Canada became the second country in the world to legalize marijuana after the passage of its Cannabis Act in a 52-59 vote on Tuesday, June 19.

    Canadian adults will be allowed to carry and share up to 30 grams of legal marijuana in public and cultivate up to four plants in their homes. The country’s provinces and territories will be allowed to draft their own rules for sales, which have been projected to echo the billion-dollar windfall enjoyed by the marijuana industry in the United States.

    The government is giving its provinces 8 to 12 weeks to set up their own regulations on sales and more, and residents are expected to be able to purchase marijuana from licensed producers as early as mid-September 2018.

    Prior to the passage of Bill C-45, Uruguay was the only country on the planet to legalize marijuana for sale and use. In the U.S., 29 states and Washington, D.C. allow the medical use of marijuana, while nine and D.C. also allow recreational use. Canada introduced the Cannabis Act in 2017, which passed the House of Commons in November of that year before reaching the Senate for final approval.

    Prime Minister Justin Trudeau echoed the intention of C-45 in a June 19 Twitter post which read, “It’s been too easy for our kids to get marijuana – and for criminals to reap the profits,” he wrote. “Today, we change that.”

    Once the bill receives Royal Assent—a ceremony in which Canada’s governor general, Julie Payette, will officially approve the measure—only adults ages 18 or 19 years or older (depending on the province or territory) will be allowed to legally purchase “cannabis, dried cannabis, cannabis oil, cannabis seeds or cannabis plants” from licensed retailers, both at brick-and-mortar locations and online.

    According to the BBC, edibles will not be available for purchase by the proposed September launch date, but are expected to reach markets within a year’s time to allow the government to establish regulations for such projects.

    They can also grow up to four plants per household—not per person—for personal use as long as the seeds are bought from a licensed supplier, and make cannabis-related products in their home as long as the plants do not use dangerous organic solvents.

    C-45 will also establish a new offense of up to 14 years in prison for selling cannabis to minors, as well as “significant” penalties for individuals who involve minors in cannabis-related offenses or drive under the influence of cannabis, and will impose restrictions on how marijuana is promoted to young people, such as through the use of celebrity or animal/cartoon character images. 

    Provinces will also decide where cannabis will be sold to the public. As CNN noted, Alberta will make it available at more than 200 private retailers, while buyers in Ontario will only find it in state-run stores, and Newfoundland/Labrador residents will be able to purchase cannabis along with their groceries at the Loblaw supermarket chain.

    With Canadian sales of marijuana in 2015 estimated at about $4.5 billion—nearly the same amount spent on wine—cannabis industry observers have suggested that the country may see annual revenue as high as $5 billion.

    Canadian finance minister Bill Morneau said that the excise tax revenue will be split 75/25 between provincial government and the federal government for the first two years after legalization.

    View the original article at thefix.com