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Buyer Beware: Five Key Due Diligence Items When Buying a Cannabis Business

Canna Law Blog

While we can’t cover everything in this blog post, below are vie key due diligence items you must understand to help protect yourself and your investment. State and local law and compliance This is the number one priority.

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Why Cannabis LLCs Need Operating Agreements

Canna Law Blog

In states where operating agreements are optional, companies without them are governed by default state law , which may not reflect the members intent, is often much more rigid, and may lead to uncertainty in situations not exactly addressed by state law. Ownership and management confusion is common.

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Cannabis Transactions: I ❤️ Letters of Intent

Canna Law Blog

It’s very important, though, to be clear about the status of an agreement: state law varies on the enforceability of LOIs when the status is not clear. Binding versus nonbinding versus hybrid LOIs LOIs are usually nonbinding, or nonbinding with just a couple of binding terms (e.g., confidentiality, exclusivity).

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Licensing Cannabis Trademarks: What You Need to Know

Canna Law Blog

You might still get some coverage under state trademark laws, or for federally legal products like hemp-based cosmetics or branded merchandise but it takes a strategic approach. Each state has its own rules, and they vary widely. Some states require trademark license agreements to be disclosed.

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Cannabis Taxation: C Corp, S Corp, LLC, LLP, Partnership, Nonprofit, or Something Else for Your Cannabis Business?

Canna Law Blog

Feature LLC S Corporation C Corporation Nonprofit Corporation Liability Protection Yes Yes Yes Yes Taxation Pass-through (default); can elect C or S tax status Pass-through (must file IRS Form 2553) Double taxation (corporate and dividend levels) Exempt from federal income tax; must operate for charitable purposes Ownership Flexibility Unlimited members; (..)

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Navigating Medical Marijuana and Employment in Massachusetts: What You Need to Know

Canna Care Docs

The National Conference of State Legislatures provides a good overview of how federal and state laws intersect. For more tips, visit the Boston Lawyer Blog. Employees in federally regulated industries or working for federal contractors should be cautious.

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America’s Missed Opportunity in the Global Marijuana Market

Canna Law Blog

Unfortunately, state-legal U.S. Of note, in this blog post I use the word cannabis when referring to the entire plant; it is also the word used in the 1961 Single Convention. Much of it was driven by Germanys newly formed government keeping its quasi-legalization policy intact, even if adult-use trials remain uncertain.

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