The cannabis industry is booming now that several states have legalized recreational and medicinal-use marijuana. With the legalization efforts have also come laws and regulations that guide the sale of cannabis products. Remaining in compliance with this legislation is one of the biggest cannabis industry product risks. Here are a few areas where business owners have the most trouble.
Top Compliance Concerns
- Noncompliance with product safety laws. Dispensaries must issue products that are childproof and have warnings or symbols clearly seen and marked. The packaging, labeling, and safety requirements vary according to state.
- Allowing customers to loop. There is a limit to how much cannabis an individual can purchase at one time. Not catching a customer that buys the maximum allowed and returns the next day for another maximum purchase could create legal trouble for your dispensary.
- Not catching fake I.D. There is an age requirement for the purchase of cannabis, and you are held liable for sales made to those who are underage. Not being able to discern a fake I.D. is a major compliance concern.
Your company could lose its operating license and you could potentially end up in jail if you don’t remain compliant with governing laws. These issues of liability are costly, so do yourself a favor and purchase a liability insurance plan to help cover you if something happens.