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California Cannabis Updates

Article: What is Considered a Cannabis Licensing Violation in California?

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At Manzuri Law, our California cannabis attorneys have successfully represented many clients who have faced disciplinary actions against their cannabis operations from the Department of Cannabis Control (DCC).

Our industry specialists provide the specialized legal experience and resources necessary to navigate and overcome wide-ranging licensing violations for failing to comply with “any state law,” or “any other grounds contained in regulations adopted by the DCC.”

As most of our clients immediately note, this all-encompassing language can initiate disciplinary actions for essentially any California cannabis licensing issue the DCC considers a violation.

This is why we are here.

For over a decade, we have provided the legal experience, skill, and resources to help our clients properly respond to cannabis industry violations or non-compliance citations in writing, during informal conferences, state administrative hearings, and appeals.

What are the Most Common Reasons for Disciplinary Actions by the DCC?

Alleged violations, compliance challenges, or even minor infractions can place your California cannabis business license in jeopardy of suspension or revocation or even, expose your business to financially devastating fines or sanctions.

Some of the most common reasons the DCC issues disciplinary actions may include, but are not limited to:

  • Alcohol consumption on premises.
  • Delivery violations.
  • Doing business with unlicensed persons.
  • Failure to comply with surveillance/security rules.
  • Failure to comply with licensing conditions or operating procedures.
  • Failure to display a license.
  • Failure to properly report/record inventory.
  • Falsifying lab test results.
  • Improper documentation /cash handling.
  • Improper plant handling.
  • Inadequate waste disposal.
  • Inspection violations.
  • Labor violations.
  • Operating without a license.
  • Sales to minors.
  • Safety violations.
  • Unauthorized cannabis consumption.
  • Violating daily purchase limits.
  • Violating packaging/labeling standards.
  • Violating any state or local law, ordinance, or regulation.



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California Cannabis Updates

August 23 2024: Department of Cannabis Control Files Emergency Rulemaking Action to Readopt Cultivation License Changes pursuant to Business and Professions Code section 26061.5

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Department of Cannabis Control Files Emergency Rulemaking Action to Readopt Cultivation License Changes pursuant to Business and Professions Code section 26061.5

August 23, 2024

The Department of Cannabis Control (DCC) has filed an action with the Office of Administrative Law (OAL) to readopt its emergency regulations implementing Senate Bill 833, codified in Business and Professions Code section 26061.5, which requires the DCC to allow cultivation licensees to make certain changes including: change the type of size of a cultivation license; place a cultivation license in inactive status; or make a one-time change to a cultivation license’s date of renewal.

View the proposed finding of emergency and notice of proposed adoption and the proposed text of emergency regulations below:

The five-calendar day public comment period for this emergency action starts once OAL posts notice of the filing on its website. Emergency regulations under review by OAL can be found on its Emergency Regulation’s Under Review webpage.



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California Cannabis Updates

Oakland police seize banned tobacco products, psilocybin candy bars from smoke shop

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Oakland police are investigating an unlicensed smoke shop in East Oakland where officers seized several illegal products earlier this week, including cartons of banned tobacco products from out of state and nearly 10 pounds of marijuana bud.

Police on Wednesday confiscated other items at the shop in the 2500 block of Seminary Avenue that included Psilocybin “magic” mushroom candy bars and close to 20 pounds of suspected THC products.

Officers with the police department’s Alcohol Beverage Action Team were following up on anonymous complaints about the shop. In addition to seizing illegal items, they detained a store clerk.

No arrests were made, but the case will be forwarded to the Alameda County District Attorney’s office for further action, including civil charges and potential eviction, police said in a news release on Thursday.

https://www.cbsnews.com/sanfrancisco/news/east-oakland-smoke-shop-bust-illegal-tobacco-marijuana-mushrooms-thc-seminary-avenue/



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CBS News Report: Cannabis-legal California battling surging illegal marijuana operations

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DISCOVERY BAY – In a state where cannabis is widely legalized, California still has a significant illegal marijuana scene. The state Department of Cannabis Control (DCC) is only two years old but is quickly tackling and dismantling these operations.

For Bill Jones of the DCC, it was just another Tuesday as he pulled up to an unsuspecting house in a gated neighborhood. To the untrained eye, one would never guess what was hiding inside.

“It really could be anywhere,” Jones told CBS News Bay Area. “It could be your neighborhood, could be my neighborhood.

CBS News Bay Area was invited on a ride along while DCC officers executed search warrants and seized illegal crops.

Inside four homes in a Discovery Bay neighborhood, officers found illegal cannabis operations.

“We’re going to see anywhere between 3,000 to 5,000 plants,” Jones said. “And we’re talking about a square mile here.”

Jones has been in law enforcement for nearly three decades and the DCC holds a personal significance as he was part of the team tasked with standing the department up in 2021.

“I hired all these officers,” Jones said. “I’m so proud of my people. They work so hard.”

Upon entry into the house, the smell of cannabis fills the space and each room has its own microclimate as those who tended to the crop closely monitored the environment of the plants. But in doing so, the practice created an illegal and hazardous space.

“There’s a really sharp contrast between the illegal cannabis market and the licensed cannabis market,” Jones explained. “The illegal market which in part has criminal organizations like Mexican cartels and Chinese triads and other transnational criminal organizations operating it. They pay no taxes, they have no concerns about how they grow and distribute, they use banned chemicals and pesticides. They take advantage of their employees, sometimes they even engage in human trafficking.”

In the first two stops, officers seized nearly 2,000 plants totaling 1,000 pounds of cannabis.

Read full report

https://www.cbsnews.com/sanfrancisco/news/cannabis-control-ride-pot-bust-grow-house-discovery-bay/



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