The California Dept. of Food and Agriculture is suing California brand Lowell Herb Co. and associated entities for allegedly engaging in commercial cannabis activity without a license.
- The suit alleges that between December 2018 and March 2019 Lowell had been processing cannabis without a license at a site in San Luis Obispo County. In March the CDFA and the California Department of Fish and Wildlife seized approximately 17,772 pre-rolls, 7,162 jars of flower and more than 1,400 pounds of product.
- The suit says such actions harm California’s licensed cannabis market and helps the illegal market.
- Those in violation can be subject to penalties of up to three times the cost of the license and be forced to pay the costs of destroying unlicensed product. “Each day of operation shall constitute a separate violation,” which could cost more than $27,000/ day. The complaint was posted online by Instagram account @theblacklistxyz.
- Update: Lowell responds “During the industry’s transition in 2018, Lowell was working through a licensed third-party operator who had a lapse in their license. Thankfully the state is now caught up issuing new licenses, and we are currently operating in Los Angeles with both our Distribution and Type 6 Manufacturing licenses. Our team will be reaching out to the CDFA to address their concerns for the issues that arose from the lapse in this license.”
Lowell attracted attention this year for opening California’s first cannabis restaurant. Before the suit landed, it said it was dropping “Lowell” from the restaurant’s name.
Founder & Interim Editor of L.A. Cannabis News