BCC Announces Proposed Regulations re: AB 1525 and Financial Services

On January 14th, the California Bureau of Cannabis Control (BCC) issued an announcement of proposed regulations pursuant to AB 1525, which was approved by the Governor in September 2020. The purpose of AB 1525 was to: provide that an entity, as defined, that receives deposits, extends credit, conducts fund transfers, transports cash or financial instruments,

megaphone saying well done

California Cannabis Banking: Financial Institutions Get Some Cover

In a step towards achieving the goals of the SAFE Banking Act, California Governor Gavin Newsom approved Assembly Bill 1525, which importantly provides that banks, credit unions, and other financial servicers to cannabis businesses do not violate California law “solely by virtue of the fact that the person receiving the benefit of any of those

New FinCEN Hemp Banking Guidance

ICYMI: The New FinCEN Hemp Banking Guidance

Last week, the Financial Crimes Enforcement Network (FinCEN), issued new guidance (the “FinCEN Guidance”) for financial institutions working with hemp-related businesses. The FinCEN Guidance centers on due diligence requirements as related to the Bank Secrecy Act (BSA). This guidance follows closely on the new National Credit Union Administration (NCUA) guidance for federally-chartered credit unions, which

American one hundred dollar bills with cannabis leaves

Credit Unions and Hemp: New Federal Guidance is Here!

Last week, the National Credit Union Administration (NCUA) issued new guidance (“Guidance”) for federally-chartered credit unions serving the hemp industry. All of us at Harris Bricken were excited to see the Guidance released: NCUA retained us last fall to advise the government on this project, and we have always represented credit union clients as to

Cannabis insurance

Anatomy of a Cannabis Insurance Policy: Exclusions

Previously I wrote about insurance generally (see here) and products liability insurance specifically (see here). Today I want to look at some policy exclusions to point out potentially problematic terms that you may notice when reviewing your insurance contract during your annual insurance audit. First, I need to mention some truths that I believe are

Cannabis in California

Receivership and Distressed Cannabis Assets in California

Succeeding in the cannabis industry is not easy, especially in California. Complex regulation, high taxes, expensive real estate, and competition with the black market are just a handful of factors that challenge cannabis businesses. The majority of players lack sufficient reserves and agility to stay in the game. Due to the substantial upfront costs required

Top Canna Law Blog Posts of 2019

Happy New Year! Before we cue up our favorite version of Auld Lang Syne, pop the CBD-infused champagne, and begin to celebrate the roaring 20s, we’d like to take a look back. 2019 was another big year for cannabis, and another busy year for the Canna Law Blog. We dove deep into our archives on Facebook,

Banking Woes and Wins for Hemp-CBD

Our firm represents a number of financial institutions and even a federal agency on banking state-legal cannabis. We have practiced in the space ever since the 2014 FinCEN guidelines were issued and it’s been slow going for the most part. The number one question we have received lately is: “do you know a bank or credit union

Risky Business: Cannabis Security Interests and Secured Transactions

As a corporate and transactional attorney focused mostly on cannabis, I see my fair share of financing documents and transactions involving cannabis operators. It’s no secret many cannabis businesses can’t get bank accounts or loans or lines of credit from financial institutions because of the Bank Secrecy Act and federal anti-money laundering laws — despite