The Scuttlebutt Featuring Articles About CA Senate Passes Bill To Stop Employers From Asking About Past Marijuana Use and More

In the days of the Armada, a fleet of warships, the scuttlebutt was the rumor or gossip that would spread throughout the ship. Today, Armada Law Corp presents The Scuttlebutt, a daily summery of news articles that people within the cannabis, hemp and plant medicine industries are chatting about along with links to the full articles.

In today’s news:


#californiacannabis – “The California Senate has approved a bill that would prohibit employers from asking job applicants about prior marijuana use.

After moving through four committees, the legislation from Sen. Steven Bradford (D) passed on the floor in a 29-9 vote on Tuesday, sending it to the Assembly for consideration.”


#californiacannabis – “In an opinion filed Wednesday, the three-justice panel sided with Rose II LLC, Oxnard Place LLC and Rose TIC LLC in their suit against cannabis retailer FGH LLC, saying the shops are likely to succeed on their claims, as the shopping center’s 1996 covenants, conditions and restrictions were never updated to take into account California’s legalization of cannabis.
According to the suit, FGH had been approved and licensed by the state to operate a dispensary, and intended to do so in the same mall in which the shops operate. They sued, alleging the center’s rules bar any business that would violate any law by any authority with jurisdiction over the mall.”

Shops Can Block Pot Retailer From Operating In Calif. Mall:


#californiacannabis – “California’s Department of Industrial Relations is alerting cannabis employers that they must follow wage and overtime laws to avoid possible citations, civil penalties or prosecution.
In a Wednesday statement, the agency also reminded the industry that labor protections apply to workers employed at licensed or unlicensed cannabis businesses.
It’s unclear why the DIR put out the notice, and a spokesperson for the agency did not immediately respond to a request for comment.
Failure to follow California labor law requirements can lead to citations for unpaid wages or civil penalties or criminal prosecution – or both, according to the DIR.”

Calif. Pot Employers Must Pay Legal Wages, Agency Warns:


#hemplawsuit – “A Washington state man who pled guilty to securities fraud after being accused of using deception to solicit investments in his hemp product business and using it to emulate a James Bond lifestyle was sentenced Wednesday to 12 years in federal prison after being apprehended while on the lam.
Justin Costello, 42, agreed to pay $35 million in restitution as part of his plea agreement in January and has forfeited other assets including $60,000 cash, gold bars, two designer watches and jewelry, according to prosecutors. However, U.S. District Judge Ricardo Martinez will determine the final restitution agreement in August.
“Mr. Costello had ‘big dreams’ — building a lifestyle that emulated his hero, 007 James Bond — but he did so by victimizing dozens of people and businesses who entrusted their personal savings to him,” Western District of Washington U.S. Attorney Nick Brown said in a statement.”

James Bond-Loving Hemp Fraudster Gets 12 Yrs. After Fleeing:


#cannabisindustry – “The problem with extending credit is that unless you evaluate the credit worthiness of a company you are extending credit to, you may be taking an unreasonable risk.
One issue is that most cannabis companies that are extending credit do not have a formal “accounts receivable” or “credit” department to help manage the order-to-cash process.

These facilities exist to ensure that customers are held to their credit terms and that payments are collected in a timely manner.

Not having these controls is probably the biggest mistake a cannabis company can make.

If you are extending credit, you must have a process in place to manage and ensure consistent cash flow to meet your company’s operating needs.”

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