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February 23 2024,
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THE BIG IDEA
Hi all,
Lots of interesting stuff in today’s newsletter.
- Another Cookies lawsuit
And so much more,
Alex
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Send tips, press releases, concerns, feedback and criticism to hello@weedweek.com
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WeedWeek regularly links to paywalled content.
WHAT YOU MISSED IN WEEDWEEK CALIFORNIA PRO
BREAKING: Eaze drivers threaten strike
Hundreds of workers with delivery app Eaze are threatening to strike ahead of the 4/20 rush. Tensions are also rising between United Food and Commercial Workers (UFCW) organized workers and Catalyst, another of California’s largest retailers.
In a Friday letter sent to Eaze board members and executives, and obtained by WeedWeek, a UFCW official wrote that a supermajority of Eaze’s approximately 700 California drivers and depot workers workers are prepared…
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RELATED: Yesterday on stage at Benzinga’s California Spotlight event in LA, Catalyst CEO Elliot Lewis went off on “the money in this room,” and the “chadzingas” who he argues undermine the legal market by overlooking product diversion. After his mic drop moment, he stormed out to applause.
ANOTHER COOKIES LAWSUIT
A few weeks ago I wrote that Cookies‘ multi-state retail partner TRP is suing the brand over the Culture House dispensary which recently opened at the location in Manhattan’s Herald Square where Cookies’ had its flagship clothing store.
WeedWeek
Now MJBiz reports that entities connected to Orange Co.-based TRP had previously sued Cookies in California over their active partnerships. The suit alleges that TRP “has discovered countless lies and blatant misrepresentations made by [Cookies] about their business, including the profitability of Cookies stores, the cost to open each store, and Defendants’ illegal self-dealing.”
It further alleges that Cookies, known for licensing its brand to licensed operators, rather than owning licenses itself, intentionally failed to register as a “franchise” as defined by state and federal law to evade certain disclosure requirements. Cookies declined to comment to MJBiz.
Also: After losing its lease, Cookies’ Hollywood flagship is reopening this weekend at another Melrose Ave. location. Berner will be there Saturday for a meet and greet.
QUICK HITS
Federal:
- The USDA’s Market Development Division is hiring a Hemp Branch Chief.
- A SFGate story suggests California consumers aren’t adequately protected against pesticides in their weed.
Business:
- Headset named the 10 fastest growing brands for 2023.
- Greenspoon Marder lawyer Nick Richards argues operators should follow MSO Trulieve and file amended tax returns to claim 280E refunds since they have a “realistic chance of prevailing.”
MJBiz - Silver Spike Capital is acquiring a loan portfolio owned by Chicago Atlantic.
MJBiz - Husch Blackwell lawyer Hilary Bricken talked to Salal Credit Union execs about cannabis banking from the inside.
- Kiva Confections, one of California’s leading edibles brands, is now in the intoxicating hemp business.
- A lawsuit accuses two California businessmen of squandering $145M of a now dead Russian oligarch’s money in the cannabiz.
Law360
State and local:
- New York magazine asked why there are still unlicensed shops all over the city. The New Yorker took on the state’s messy rollout as well.
- The Florida senate passed a bill to restrict intoxicating hemp and ban Delta-8 THC.
Marijuana Moment - Would Connecticut Gov. Ned Lamont (D) try a cannabis cookie?
WTNH - New Jersey now has 100 pot shops.
KYW - Four Michigan companies say they’ll be ruined if a federal judge doesn’t allow their $15M processing facility to open.
Law360 - The Maryland Senate passed a bill to protect MED patients’ gun rights.
Marijuana Moment - Arkansas’ AG signed off on a ballot measure to increase MED access.
Northwest Arkansas Democrat Gazette - Kentucky chose industry-leader Metrc as its track and trace software provider.
Ganjapreneur
Health and science:
- The WSJ talks to people who believe they got sick from contaminated legal weed.
Fun and interesting:
- An outcry saved a Notorious B.I.G. mural on the side of a Brooklyn dispensary.
N.Y.Post
CALIFORNIA HITS
State:
- The Department of Cannabis Control (DCC) introduced new data dashboards. Ananda Strategy‘s Hirsh Jain took a look and says it shows: 1) The legal market isn’t as big as previously believed, perhaps smaller than $5B. 2) California has the lowest “per capita” sales of any major REC state.
Business:
- Stiiizy announced a partnership with the Rolling Loud hip-hop festival March 14-17 in LA.
Billboard - Workers at SoCal delivery service Amuse organized with the Teamsters.
Local:
- The Los Angeles Dept. of Cannabis Regulation released its first annual report.
- Stanislaus Co. supes will consider allowing dispensaries in unincorporated areas.
Ceres Courier - Sol Spirit in Richmond installed EV chargers.
The Richmond Standard
Company milestones:
Job moves:
- Harris Sliwoski hired five cannabis attorneys in California and Washington.
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