Category Archives: Corporate Formation

The ink is barely dry on the New Jersey ATC and Missouri medical marijuana facility applications that so many of us assembled this August. Yet now, a new round of states have issued applications for competitive cannabis licenses. Below we discuss the qualifications, requirements, deadlines and other relevant information for the Illinois (adult use), Michigan (adult use) and Texas (medical; <.5% THC) applications.

Illinois
Dispensaries

The Illinois Department of Financial and Professional Regulation (“IDFPR”) has posted its application form for conditional adult-use licenses for new dispensing organizations.… More

The Massachusetts Department of Agricultural Resources (“MDAR”) and the state’s Department of Health (“DPH”) have issued new guidance on the sale of Hemp and Hemp-derived cannabanoids, (namely, CBD) products in Massachusetts.

The MDAR guidance applies to hemp and hemp-derived products.  It establishes that the follow hemp-derived products can be sold in Massachusetts:

• Hemp seed
• Hemp seed oil
• Hulled hemp
• Hemp seed powder
• Hemp protein
• Clothing
• Building material
• Items made from hemp fiber.…

More

If you accept the findings of a year-long study by the Washington State Liquor and Cannabis Board, Massachusetts regulators have a substantial challenge in store to ensure that legal cannabis is not diverted to minors, across state lines and to the black market.  At risk is more than the public health and safety consequences of diversion, but also the Commonwealth’s ability to comply with the federal directives of the so-called Cole Memorandum,… More

Statehouse News (sub. req.) reports that the Cannabis Control Commission will unveil draft regulations for public discussion the week of December 11. The CCC plans to hold meetings every day that week to discuss and debate draft regulations, then vote the following week. Following publication of the Draft Regulations, the CCC would – as required by state law – accept public comments before debating final regulations. … More

Governor Charlie Baker has recently signed a bill that substantially reworks the voter-approved 2016 referendum legalizing a regulated market for adult-use cannabis – and now licensing of adult use establishments is just eight short months away.

Foley Hoag presented a webinar that examines the recent changes to the Massachusetts regulatory framework for both medical and adult use operators enacted by the Legislature in its omnibus cannabis legislation, Chapter 55 of the Acts of 2017.… More

No sooner said than done, the long-awaited conference committee bill amending Chapter 334 of the Acts of 2016 (the adult use cannabis referendum) has been released.  Our complete summary of the new legislation and a comparison to the referendum’s original language can be viewed here:

Summary of Cannabis Legislation

Some big picture highlights:

(1) The referendum’s one year head start for many medical marijuana licensees has been eliminated. … More

We are more than two weeks now since the passage of the House and Senate’s competing legislation overhauling the framework regulation and taxation of adult use cannabis adopted by Massachusetts voters in November. In general, the Senate hewed closer to the language and intent of the referendum, while the House repealed the voter-passed law in its entirety in favor of a total rewrite.  Then three legislators from each chamber were swiftly appointed to a conference committee to reconcile the two competing bills into final legislation.  … More

The House and Senate have now formally introduced their competing bills overhauling the adult use cannabis law enacted by referendum by the Massachusetts voters. And what a difference a chamber makes! The House bill is almost 100 pages, repeals the entirety of both the medical use and adult use laws currently on the books, limits adult use entities to only one type of each license (retail, cultivator, and product manufacturer),… More

The Joint Committee on Marijuana Policy today voted to advance, over objection and disapproval, a bill that repeals the 2012 Medical Marijuana law and 2016 Adult Use laws in Massachusetts — both passed by referendum — in their entirety. Our summary of the major points can be viewed by clicking this link House Bill Summary.

In its place, a House Bill sent out of committee imposes many changes including a 28% tax rate (up from 12%) on adult use licensees;… More

Nevada’s adult use referendum passed the same day as Massachusetts voters ushered in the Commonwealth’s adult use law. From there, the states took two very different paths.

Both states contain a “head start” for medical licensees to begin sales, as we’ve discussed here and here.

Well, wanting to keep its boot on the neck of the black and gray markets and begin collecting revenue,… More

Months before the first adult-use cannabis operators are eligible to apply for licenses, a significant number of cities and towns are passing (1) temporary moratoria on local zoning approvals of any such facilities; or (2) permanent outright bans.  According to the Massachusetts Municipal Association, 39 municipalities have thus far enacted temporary moratoria, while at least 10 have passed outright prohibitions.  “Dozens” more municipalities are expected to vote on such measures soon.… More

Auditor Suzanne Bump and the Lowell Sun ed board agree with our prior posts explaining why adult use cannabis regulation should remain with the State Treasurer:

Lowell Sun Article. More

Out of nowhere, Sen. Patricia Jehlen, chair of the Joint Committee on Marijuana Policy, tells the Boston Globe that she wants to eliminate the one-year head start that the adult use referendum gives to experienced medical marijuana operators to apply for licenses. She tells the Globe:

But there are areas where Jehlen is keen to see the law changed. One is leveling the playing field, so medical marijuana companies don’t have what Jehlen called “an artificial leg up” in the retail market.… More

Legal marijuana is America’s fastest-growing industry. According to ArcView Market Research, cannabis revenue is expected to exceed $22 billion by 2020—nearly double that of the NFL. This past year, Colorado saw its sales reach over $1 billion. Here in Massachusetts, sales are expected to grow to $900 million within three years. Given the nationwide trend toward legalization (at the time of writing,… More

The Massachusetts legislature continues to chip away at Question 4, the ballot question that made marijuana legal for adult use throughout the Commonwealth. In December, a handful of lawmakers voted in an informal session to delay the start of retail sales. Now, new bills filed by Sen. Jason Lewis and Rep. Hannah Kane propose major changes to the law, including a reduction in the amount of marijuana adults can possess in their home.… More

According to a report released by ArcView Market Research and New Frontier Data, Massachusetts may be home to a $1.1 billion cannabis industry by 2020.

“Unlike other places where cannabis is legal, Boston is within driving distance of many of the most populous places in America,” points out Troy Dayton, CEO of the ArcView Group.

Since Massachusetts’ new law also does not limit product forms or cap retail dispensary licenses,… More