AB 97 - Provisional Licenses for California Cannabis Businesses, Thru 2021

AB 97 - Provisional Licenses for California Cannabis Businesses, Thru 2021

AB 97, which was signed into law earlier this month, will allow new cannabis businesses to be eligible for Provisional Licenses, and extends the time during which the provisional licenses will be valid through January 1, 2022. Benzinga recently covered Lauren’s analysis of what the new law means for California cannabis investors.

AB 97 - Provisional Licenses for California Cannabis businesses

AB 97 - Provisional Licenses for California Cannabis businesses


For California cannabis businesses, here are the takeaways from AB 97:

  • Allows operators who did not receive a temporary license in 2018 to be eligible for a State Provisional License.

  • Reduces time from local approval to operation for new businesses significantly (this will include LA Phase 3 retailers)

  • Increases fines for illicit activity to $30,000 / violation / day, which should disincentivize (& reduce) illicit market competition

  • Creates a more streamlined application process with the State of California through 2021.


About

Lauren Estevez is an attorney who advises international, multi-state and California cannabis brands, operators, and investors. She is nationally recognized as a subject matter expert in Cannabis Law and her work has been featured on CNBC, Bloomberg Law, and SXSW. The National Law Journal awarded Lauren the recognition of Cannabis Law Trailblazer in 2019. Lauren is the founder of LME Law.