In the days of the Armada, a fleet of warships, the scuttlebutt was the rumor or gossip that would spread throughout the ship. Today, Armada Law Corp presents The Scuttlebutt, a daily summery of news articles that people within the cannabis, hemp and plant medicine industries are chatting about along with links to the full articles.
In today’s news:
#cannabisindustry – New York – “New York’s Cannabis Advisory Board held its second meeting Thursday to review draft regulations that will govern the packaging, labeling and marketing of retail marijuana products and prevent vertical integration of the cannabis industry in the Empire State.
The advisory board — which counsels on proposed regulations that are approved by the Cannabis Control Board — also discussed rules that will administer licenses for cultivators, nurseries, processors, distributors, retailers, micro-businesses and cooperatively-run ventures.”
#employmentlaw – “On November 16, 2022, in a 315-109 vote, the U.S. House of Representatives passed the bipartisan “Speak Out Act,” previously passed by a unanimous Senate on September 29. President Joe Biden is anticipated to sign it, as the White House indicated strong support in a statement about the Speak Out Act on November 14, 2022.
Many employees are required to sign employment agreements that include nondisclosure and nondisparagement clauses at the outset of employment. Nondisclosure agreements (“NDAs”) are often intended to protect confidential and proprietary business information, or trade secrets. Nondisparagement clauses are intended to ensure that employees (even disgruntled ones) will not publicly bad-mouth the company. Under the Speak Out Act, nondisclosure and nondisparagement agreements (or clauses in broader agreements) entered into before a dispute arises (e.g., on the first day of employment) will be deemed unenforceable as applied to sexual assault and sexual harassment disputes, so that employees may reveal and discuss their experiences with sexual harassment or assault without fear of consequences, when they otherwise would be obligated to remain silent.”
#californiacannabis – “City Controller Ron Galperin called for Los Angeles to do more to enforce regulation of commercial cannabis, in a report released Thursday.
Galperin’s report found the city should improve preventing unlicensed cannabis businesses from opening, though the number of known unlicensed businesses has decreased from 300 to 100 since 2018, according to the Los Angeles Police Department.
More than 5,000 complaints related to cannabis have not been processed by the city’s Department of Cannabis Regulation, according to Galperin. Galperin said his auditors found a “range of violations” when visiting six cannabis retail stores that had been licensed.”
#cannabisindustry – “Depending on the circumstances, a receivership may be a good option to consider. It can benefit both the creditors and members of the company to have a responsible third party help navigate complex financial, logistical or managerial issues. A receiver can, among other things, address internal conflicts, oversee – or hire managers to oversee – operations to ensure assets are protected, and review financial information to determine the value of all assets and debts, as well as identify sources of revenue and losses.
However, receivership is not sensible in all situations. If a cannabis business does not have substantial assets or multiple creditors, a receivership is likely not a worthwhile remedy, as it is can be expensive and time consuming. Debtors with a security interest in a licensed cannabis business can also, upon default of the secured debt, apply directly for a temporary license to operate the business, as opposed to having to go through the costly and time-consuming process of seeking the appointment of a receiver. This is an appealing option for secured parties that have operational experience in the cannabis industry and can maximize the value of the remaining assets.”
#cannabisindustry – “As Rhode Island is set to begin recreational marijuana sales Thursday, state regulators are ramping up their staff as they oversee the industry….
Compassion centers are the first businesses that are allowed to sell recreational cannabis on Thursday.
So far, five have been approved to do so. Another four will also be able to do so at some point.
“We have — with very, very, very few exceptions — an industry and a group of licensees here that are working really hard to make it in this state, that are trying every day to do the right thing,” Santacroce told NBC 10.”