BFD Alert: Coronavirus Cannabis Scams and Pitfalls
The rapid and devastating proliferation of COVID-19 has affected businesses worldwide, and cannabis is no exception. Here in California (and in other states), the state announced that medical cannabis dispensaries are essential and may remain open as part of the state’s Stay-At-Home order. The medical cannabis businesses that supply those dispensaries are also essential under that order. In addition, certain cities in California (like Los Angeles and San Francisco) have their own shelter-in-place or stay-at-home orders that also identify medical cannabis businesses and the businesses that supply them as essential. Unless a city or a county says otherwise, the state’s Stay-At-Home order protects the operation of medical cannabis businesses throughout the state.
With medical cannabis businesses allowed to stay open and operational across the country during COVID-19, sales of medical cannabis to consumers has been on a tear. While increased medical cannabis sales and production is a great economic boon to the industry in a time where most businesses are suffering or are on the road to disaster, it’s not all roses for the cannabis industry.
COVID-19 is breeding all kinds of scams and pitfalls for the unwary. From defective medical equipment (like the coveted N95 masks) being imported