CANNABIS

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In a highly regulated and fast-paced industry, cannabis businesses face both unique challenges and opportunities. At WLG Firm, PLLC, we take a holistic view of a client’s business, focusing not just on the immediate needs around tax and regulatory issues, but also on long term strategy as it relates to corporate planning, real estate and intellectual property needs. 

We provide a full range of corporate services to our cannabis clients, including:

• Corporate Finance and Securities Transactions;
• Joint Ventures and Strategic Alliances;
• Restructuring and Workouts;
• Complex Commercial Agreements;
• Corporate Entity Formation and Corporate Governance

Corporate Finance and Securities Transactions:

As most new businesses require capital to grow, cannabis ventures are no exception.  At WLG Firm, PLLC we significant experience with all types of financing transactions, including private placements of debt, equity and convertible/hybrid securities, leveraged recapitalizations, and reverse mergers or reverse takeovers (RTOs).  Our attorneys have participated in financing transactions in all major industries, including the rapidly growing legal cannabis industry, from the “seed” stage to the venture capital stage.

Joint Ventures and Strategic Alliances:

Sometimes two is better than one, and many cannabis businesses are finding strategic opportunities that are best pursued through a joint venture or strategic alliance.  At WLG Firm, PLLC, we have structured highly complex joint ventures and strategic alliance transactions, and we are seeing an increasing number of these types of transactions in the legal cannabis industry.

Restructurings and Workouts:

As cannabis companies grow, more often than not, it becomes necessary to restructure certain financial obligations.  Restructuring the obligations of a cannabis client can pose unique challenges and as such, WLG Firm, PLLC is called upon to advise creditors in the cannabis space in the restructuring of these obligations.

Complex Commercial Agreements:

Cannabis as an industry is growing very fast, and our clients are increasingly turning to us for assistance in structuring complex commercial transactions among cultivators, manufacturers, distributors, retailers, vendors and other service providers.  At WLG Firm, PLLC, we are able to draw from our experience in other industries to craft agreements to meet our clients’ commercial needs.

Corporate Entity Formation and Corporate Governance:

Good corporate hygiene is the backbone of any high growth company – particularly in the cannabis industry.  At WLG Firm, PLLC, our experienced attorneys can help your business, no matter what the size, build and maintain a strong corporate foundation. We advise cannabis companies on their day-to-day operations as well as on their most sophisticated transactions. 

Employee Related Matter(s): 

Just like traditional businesses, cannabis businesses need advice and help with employment related issues. At WLG Firm, PLLC we help cannabis businesses navigate the myriad of state and federal employment laws to ensure that employees are safe and compliant while preventing unnecessary liability on behalf of the employer. 

Whether you are a budding business or are already established, WLG Firm, PLLC can help you with a wide range of employment issues including:

• Employee handbooks;
• Employment and independent contractor agreements;
• Non-compete and non-disclosure agreements;
• Employment litigation;
• Workman’s compensation claims;
• OSHA, BOLI and other agency complaints;
• Wrongful discharge and termination claims;
• Staff and employee trainings;
• Separation agreements and claims release;
• Cannabis related investigations and employee incidents;
• Disciplinary proceeding and HR guidance

As the industry navigates the “new normal” regulatory environment, it is more important than ever to have experienced legal advisors on your team. 

Intellectual Property:

With over 80% of a company's value stemming from its intangible assets, intellectual property protection is often one of the most critical, and most overlooked, competitive advantages. 

While obtaining federal trademark protection for cannabis-related goods and services will continue to have its challenges until marijuana is legal at the federal and state level, it is critical for business owners to consult with experienced attorneys who can advise on the most strategic and cost-effective options. With this in mind, it may be advisable to pursue state trademark protections only, which, along with common law rights, afford some protection of a cannabis company’s brand. 

Fortunately for cannabis companies, marijuana’s Schedule 1 status is not relevant to protection of trade secrets or copyrights, as each of these types of intellectual property can be used to protect your company.

Licensing:

In the states with recreational cannabis legalization that allow some form of commercial activity, licenses to operate are required. Many states have open application programs that are considered noncompetitive, like California and Oregon, while other states have only a small number of licenses to operate being issued.

By having dedicated drafting teams and institutional application experience, WLG Firm, PLLC can help you submit the best possible application while also providing assistance with all parts of the back end legal work including real estate, land use and corporate formation.

Compliance:

Because of the contradictions between state legalization and federal law, running a compliant cannabis business is extremely important. At WLG Firm, PLLC we work hard to be consistently on top of the ever-changing rules cannabis businesses must follow. In doing so, we provide a wide range of compliance services including:

• Local government compliance
• Compliance audits
• Inspection readiness walkthroughs
• Compliance education services
• Employee and staff training
• Coordination with contractors and service providers
• Representation at license violation and revocation hearings
• Rules updates
• Advocacy at state and local hearings
• Representation at state legislative hearings

FEDERAL LAW NOTICE: The possessing and selling of marijuana is a federal crime. We express no opinion on the legality of any clients’ operations under federal law and none of our advice is meant to aid you in the violation of any law. Only you can decide what level of federal criminal risk you are willing to take. 

Running a compliant cannabis business can feel daunting, but we are here to help. At WLG Firm, PLLC, we focus on developing strategies that help our clients' business grow while minimizing interruptions, so that our clients can focus on what they do best – running their business.