BCC Regulates Technology Platforms
BCC Regulates Technology Platforms –
California moved a step closer Friday to allowing marijuana deliveries in communities that have banned retail sales of the drug as regulators rebuffed cities and police chiefs who are opposed to the rule.
The proposal is a major issue that could ultimately end up in court as the state continues to set myriad rules for how pot is grown, tested, packaged and delivered since recreational sales became legal Jan. 1.
Cities have been able to ban retail sales, but state law says local governments cannot prevent cannabis deliveries on public roads so the state — at this point — rejected the plea from opponents who said it would jeopardize public safety and cause other problems.
However, they did drop a bomb with respect to technology platforms such as Weedmaps and Eaze. Well…here is the new proposed regulation.
§ 5415.1. Deliveries Facilitated by Technology Platforms
(a) A licensed retailer or licensed microbusiness shall not sell or otherwise transfer any cannabis goods to a customer through the use of an unlicensed third party, intermediary business, broker, or any other business or entity.
(b) Notwithstanding subsection (a) of this section, a licensed retailer or licensed microbusiness may contract with a service that provides a technology platform to facilitate the sale and delivery of cannabis goods, in accordance with all of the following:
(1) The licensed retailer or licensed microbusiness does not allow for delivery of cannabis goods by the technology platform service provider.
(2) The licensed retailer or licensed microbusiness does not share in the profits of the sale of cannabis goods with the technology platform service provider, or otherwise, provide for a percentage or portion of the cannabis goods sales to the technology platform service provider.
(3) The licensed retailer or licensed microbusiness shall not advertise or market cannabis goods in conjunction with the technology platform service provider, outside of the technology platform, and shall ensure that the technology platform service provider does not use the licensed retailer’s or licensed microbusiness’s license number or legal business name on any advertisement or marketing that primarily promotes the services of the technology platform
(4) The licensed retailer or licensed microbusiness shall ensure the following information is provided to customers:
(A) Any cannabis goods advertised or offered for sale on or through the technology platform shall disclose, at a minimum, the licensed retailers or licensed microbusiness’s legal business name, and license number.
(B) Customers placing an order for cannabis goods through the technology platform shall be able to easily identify the licensed retailer or licensed microbusiness that each cannabis good is being ordered or purchased from. This information shall be available to the customer prior to the customer placing an order or purchasing the cannabis goods.
(5) All required sales invoices and receipts, including any receipts provided to the customer, shall disclose, at a minimum, the licensed retailer’s or licensed microbusiness’s legal business name and license number.
(6) All other deliveries, marketing, and advertising requirements under this division are complied with.
It will certainly be interesting to see how Weedmaps, Eaze, and other players adapt to this proposal.