As the legality of cannabis products becomes more complex with differing state and federal regulations, the experts at Ritter Spencer PLLC are able to provide insight and guidance on reorganization and bankruptcy proceedings for cannabis companies. David Ritter is thrilled to share his expertise in cannabis law in an exclusive article on The Deal discussing the challenges faced by cannabis companies considering bankruptcy. This article highlights the complicated landscape of cannabis under federal and state laws, which is especially important as businesses in this industry attempt to restructure or file for bankruptcy.
When business disputes arise, owners and managers must determine the method of resolution that is most likely to produce a compromise between the two disputing parties. Arbitration and mediation are two alternative dispute resolution (ADR) strategies that are designed to resolve conflict outside of the court system. Read below to learn more about the difference between arbitration and mediation and the advantages of each. For businesses interested in alternative dispute resolution, you can rely on Dallas commercial business litigation attorney, David Ritter, to guide your business through this complex process and find the best outcome.
A variety of different business structures exist to offer owners higher degrees of flexibility and organization within their company. Deciding on a business’s structure is one of the most important decisions a business owner makes, as it impacts everything from taxes to daily internal operations. Read below to learn about one of the most popular structures–a limited liability company, or LLC.
Recently, Ritter Spencer’s Chelsie Spencer sat down with Texas based tax attorney Vu Le to discuss cannabis law and its interaction with IRS 280E. As you will hear Vu discuss in the video, Section 280E of the Internal Revenue Code prohibits medicinal and recreational marijuana companies from deducting normal business expenses, such as payroll and monthly rent costs, from gross income.
HB 1325 (or, “Bill”) is still pending in the Texas Legislature. The Bill will allow hemp growth in Texas for licensed hemp growers and will legalize hemp products, including CBD. HB 1325 will have an impact on manufacturers of hemp-derivative products in Texas and on hemp products in Texas. Today, we review what this impact will be and take a closer look at some of the pertinent provisions of the Bill.
Yesterday, the Texas House of Representatives took a historic voice vote on HB1325 (the “Bill”). HB1325 is an act which, if passed, will permit growth of hemp as an agricultural commodity in Texas and will allow sale of hemp products in Texas. At the voice vote, Representative King offered a floor amendment making minor changes to the Bill’s text, which was passed. Today, the House entered its formal vote for passage of HB1325.
What is one of the biggest problems facing cannabis businesses today? What to do with the money. Currently, most banks are reluctant to service cannabis businesses as such activity could threaten the bank’s charter since marijuana remains a Schedule I substance federally. Cannabis banking is certainly a risk for a chartered bank. Cannabis businesses cannot generally use credit cards or electronic funds transfers. Cash, which is fraught with risks, is sometimes the only way to operate.
Hemp will be descheduled in Texas on April 5, 2019 by the Texas Department of Health Services. If you have been following the blog, then you know that hemp and CBD are both considered illegal substances under current Texas statutory law. However, we have some clarity and action from the Texas Department of State Health Services (“SHS”) in relation to its scheduling of controlled substances. The Department has descheduled hemp in Texas from its list of controlled substances. The Drugs and Medical Devices Division of SHS is responsible for the scheduling of controlled substances for SHS. SHS has the power to amend its scheduling of controlled substances anytime that a change in federal scheduling has occurred. Tex. Health & Safety Code § 481.034 (g) (available here).
Chelsie Spencer’s article regarding the United States Patent and Trademark Office’s treatment of cannabidiol (“CBD”) and hemp-derivative goods trademark applications has been published today in The Tipsheet. To view a copy of the article on CBD trademarks, continue reading below or click here: Cannabidiol: The Disjointed Stance at the USPTO Continues.
Attorney Chelsie Spencer was featured in Forbes this morning for her work as a hemp lawyer in the hemp, medical marijuana, and cannabidiol industries. To read the feature article, please click here to be taken to the Forbes website: Meet the Fearless Lawyer Saving the CBD Industry.