Business Law News Politics State

California marijuana growers association drops suit over loophole for mega-farms

The California Growers Association (CGA) has dropped a lawsuit it filed a year ago against the state over a regulatory loophole that allowed commercial-scale cannabis farms to begin operating in 2018.

In a Jan. 8 court filing in Superior Court of California in Sacramento, the CGA asked for the case to be dismissed. In a press release, CGA said the move was made to “create a clean-slate and increase engagement with the incoming administration of (Gov.) Gavin Newsom.”

The suit’s dismissal was first reported by the Sacramento Business Journal.The CGA board approved a resolution to dismiss the suit to “maximize existing Association resources and engage CDFA in 2019.”

Former CGA Executive Director Hezekiah Allen told Marijuana Business Daily last year that he was “torn” about the lawsuit’s chances, however, and said, “I don’t want to fight with growers.”

The case, which never gained much traction in court, focused on a sudden change in course by the CDFA in late 2017 when the agency decided to allow cannabis companies to obtain unlimited numbers of “small” MJ grow permits. Such licenses have a maximum capacity of 10,000 square feet – essentially opening the door to immense cannabis grows.

To Read The Rest Of This Article By John Schroyer on Marijuana Business Daily

Click Here

Published: January 22, 2019

SHARE
RELATED POSTS
Your Uber Driver Can Secretly Report You On The App For Weed
Ancillary cannabis companies hit by declining economies pivot to emerging MJ markets
3 Marijuana Stocks to Watch in February

Leave Your Reply

*