Canopy Growth CEO Bruce Linton of New Jersey is increasing the number of medical marijuana licenses. The US Supreme Court refuses to negotiate a 280E marijuana tax case.
Linton Resigns as Canopy Pressured by Constellation
Bruce Linton, CEO and Chairman of Canopy Growth, the world's largest cannabis company, was ousted after shareholder Constellation Brands' pressure to improve its financial performance increased ,
Technically, he was also co-CEO, Linton was the face of Canopy, and he witnessed the crash after Constellation CEO Bill Newlands recently expressed dissatisfaction over Canopy's performance and inability to make a profit request, curb increasing losses. Constellation is involved with 38% of canopy.
MJBizDaily Takeaway: The surprise boost may be a pause for cannabis companies looking for similar connections with the big industry.
Most major North American cannabis companies are still at least a year or two away from their consistent profitability, and Linton's dismissal could hamper potential dealings with consumer group giants.
Great Week for New Jersey MMJ Industry
The New Jersey Department of Health announced it will issue 24 additional licenses for medical marijuana, including five growing, 1
The state has previously issued a total of 12 vertically integrated permits in two licenses Currently, only six rounds are in operation.
The day after the announcement of the plans by the health department, Governor Phil Murphy signed a Bill on the MMJ extension, reducing the state's sales tax by 6.625%, increasing the number of licenses and increasing the number of extensions Healthcare providers who can recommend MMJ patients.
MJBizDaily Takeaway: The New Licensing Round Offers Significant Business Opportunities However, cannabis lawyers believe that potential claimants are very disappointed that the state is reducing the number of available licenses from the original 108 has lowered sharply.
In addition, New Jersey noted Cannabis lawyer Rob DiPisa, there are no individual processing licenses available. An applicant "may need to associate with other people" to win one of the four vertically integrated licenses offered.
280E Marijuana Tax Disappointment
Cannabis companies continue to argue for fair taxation in EU courts that have little to prove.
The US Supreme Court declined to hear a petition contesting the incriminating provisions of Federal Tax Code 280E.
Alpenglow Botanicals, a medical cannabis pharmacy in Colorado, argued that 280E does not. t Allow the Internal Revenue Service to decide if a company is violating federal anti-drug laws.
The government and the lower courts found that the owners of Alpenglow are not entitled to ordinary business tax deductions because they operate a company that violates national laws against drug laws.
MJBizDaily Takeaway: Tax fairness for cannabis companies is likely to come only from the federal law reform, not from U. S.. Courts.
Maine to start selling; West Virginia Delays
Two long-delayed marijuana markets are facing contrasting results in terms of anticipated sales start. In Maine, prospective marijuana traders have been waiting to start selling recreational cannabis since 2016, and West Virginia has legalized the sale of medical marijuana through legislation in April 2017.
MJBizDaily Takeaway: The finish line for Mainers is in sight for the first day of sale.
Adult MJ Trade is Expected to Begin in March 2020, after Governor Janet Mills has signed a bill with provisions recently passed by the state legislature.
In West Virginia, owners of medical marijuana have to be patient: it can take up to three years The sale begins.
Leading West Virginia Department of Health spokesman said the Marijuana Business Daily stated that the "root cause" of the two to three year projected delay was concern about the ability of MMJ companies to secure banking services ,
California Approves Bill Extending Preliminary Permits to Restrict Illegal Cannabis Companies.
Californian legislation has passed a marijuana regulatory package – and Governor Gavin Newsom has signed the law Preliminary Business Licenses and a new tool that regulators can take against unlicensed producers and retailers.
MJBizDaily Takeaway: The Measure Assembly Bill 97 was a political victory for some in the cannabis industry because it gives operators more leeway to wait for their annual business licenses to get their businesses under provisional permits to lead – up to two years.
However, months of work were also underway, and many companies had time-limited licenses that expired, and then faced a difficult decision: interrupting or continuing operations while risking the punishment of state regulators.
The bill was also a replacement for an earlier measure, Senate Bill 67, which sought to remedy the licensing crisis this year as thousands of temporary licenses expired, leaving these companies with no legal business arrangements.
In addition, AB-97 licensed a $ 30,000 license. One-day fine that regulators can impose on illegal operators, hoping to stem the underground marijuana business.