California’s cannabis delivery ban is being challenged by 24 cities in an attempt to give their new businesses a fighting chance.
California has been plagued with many issues since it legalized cannabis in January last year. First, there was the issue of overwhelming amounts of illegal cannabis.
Then the growers complained how the laws were basically making it hard for them to participate in the legal industry if they didn’t have a big startup investment to cover all the costs of going legal.
Another issue that’s been making it hard on the cannabis industry to get those profits was the fact that municipalities and cities had a right to choose whether they will allow sales and delivery of cannabis within their limits.
Many cities decided to opt-out as they believed this to be a good way to get some hindsight from those that didn’t opt-opt.
Violation of Proposition 64
Now, 24 cities are fighting in the courts, claiming that the State’s decision to allow door to door cannabis delivery is in violation of the Proposition 64.
Seeing how Proposition 64 gave local governments a wide range of rights over how to regulate the newly legal industry, it is expected to be challenged more than just a couple times in the next several years.
So far, nearly 80% of California’s 482 municipalities have decided to opt-out, and with the additional 24 fighting to disallow cannabis delivery, this might seriously endanger the market size in Cali.
However, that also leaves room for cities to opt-in, and quickly increase the size of the market – something that is expected over the course of next 3-5 years.
Cannabis supporters in Canada pointed out how the Proposition 64 already established that “a local jurisdiction shall not prevent delivery of cannabis or cannabis products on public roads,” meaning that this court ruling should be a fairly easy one.
The lawsuit specifically argues that even though cities can’t regulate deliveries on public roads, they still have the power to decide what happens at private addresses – which is still outrageous in itself.