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The author of this article is Richard Keyt, an Arizona business law attorney who is the creator of this Arizona medical marijuana law website. Connect with Richard at 480-664-7478 or on Google+

Marijuana Marketers Face Resistance From Google, Media Companies

Huffington Post:  “In spite of what you may think, legal pot doesn’t just sell itself, marijuana’s marketers are finding. . . . The marketers said they’re finding much of the media industry remains hostile to pot businesses. Online search giant Google wants nothing to do with them, as do many newspaper publishers. Billboard operators are reluctant to offer them space. Even some pro-marijuana activists said they worry that an out-and-proud embrace of marijuana advertising could spark a reactionary backlash.

By |2013-09-04T07:37:14-07:00September 4th, 2013|Legal Issues, Miscellaneous, Stories & Articles|Comments Off on Marijuana Marketers Face Resistance From Google, Media Companies

Denver’s Bad Spice Problem

CBS Denver:  “Health officials are continuing to see people being hospitalized with a bad reaction after taking ‘Spice.’ Police believe a bad batch of Spice is making its way around the Denver metro area and was responsible for sending dozens to the hospital last week. . . . Synthetic marijuana has been banned in Colorado.”

By |2013-09-02T16:17:04-07:00September 2nd, 2013|Colorado News, Stories & Articles|Comments Off on Denver’s Bad Spice Problem

20 States + D.C. Have Legalized Medical Marijuana

The ProCon.org website compiled a list of the 20 states that have legalized medical marijuana. The list contains a lot of specific information about the laws of each of the 20 states plus the District of Columbia.

The following states have legalized medical marijuana: Alaska, Arizona, California, Colorado, Connecticut, DC, Delaware, Hawaii, Illinois, Maine, Massachusetts, Michigan, Montana, Nevada, New Hampshire, New Jersey, New Mexico, Oregon, Rhode Island, Vermont, Washington.

By |2013-09-02T15:23:07-07:00September 2nd, 2013|Stories & Articles|Comments Off on 20 States + D.C. Have Legalized Medical Marijuana

Six People Who Have Been Screwed by Obama’s War on Marijuana

Huffington Post:  “Attorney General Eric Holder announced on Thursday that two states will be allowed to go forward with legalizing recreational marijuana use, a major move that could reshape the federal government’s policy on pot. Colorado and Washington state forced Holder’s hand when they made all marijuana use legal in November referendums — while 20 other states have some sort of medical marijuana laws on the books — but every single joint is still illegal under federal law.  Many marijuana reform advocates are hopeful, but they’ve had their hopes dashed before. . . . All along the way, every year since Obama was inaugurated in 2009, the casualties of the war on weed have kept piling up: Growers, patients and you, the American taxpayer.”

By |2013-09-02T07:25:25-07:00September 2nd, 2013|Federal Dispensary Attacks, Stories & Articles|Comments Off on Six People Who Have Been Screwed by Obama’s War on Marijuana

Arizona 5 Year Old Gets OK to Use Medical Marijuana

Breitbart.com:  “An Arizona couple was given the green light to use medical marijuana to treat their 5-year-old son who suffers from seizures caused by cortical dysplasia, a genetic brain defect. Jennifer and Jacob Welton recently contacted a naturopathic doctor and started the process to administer legal pot. Tuesday they learned their application had been approved.”

By |2015-04-06T18:57:49-07:00September 1st, 2013|Stories & Articles|Comments Off on Arizona 5 Year Old Gets OK to Use Medical Marijuana

Arizona Medical-Marijuana List of 48 State-Authorized Dispensaries Released by DHS

Phoenix New Times: “Dozens of medical-pot dispensaries dot the state from nearly every corner since the first one, Arizona Organix of Glendale, opened in November. A recent newsletter to patients released by the state Department of Health and obtained by New Times shows the addresses of 48 of these pioneering businesses, which teeter on the edge of a popular state law and a whimsically applied federal prohibition against cannabis.”

Here’s the ADHS list of licensed Arizona medical marijuana dispensaries.  Click on the link to get more information about the dispensary and the people or organizations involved with the entity.  Curious Note:  Three of the dispensaries (MMJ Apothecary, Overgaard Compassion Care and Superior Organix) have names that are not the names of an entity formed in Arizona or of an entity formed outside Arizona that is registered to do business in Arizona.

203 Organix LLC
123 Merritt St.
Prescott, AZ 86301

AAA Medical Marijuana Dispensary LLC
11200 W. Michigan Ave. Ste 5
Youngtown, AZ 85363

All Greens Inc.
13431 W. Westgate Dr. Suite #103
Surprise, AZ 85378

Arizona Cannabis Society LLC
8376 N. El Mirage Rd. Bldg. 2, Ste. 2
El Mirage, AZ 85338

Arizona Natures Wellness
DBA: Bloom Sky Train
14 S. 41st Place
Phoenix, AZ 85034

Arizona Organix
5301 W. Glendale Ave.
Glendale, AZ 85301

Cannabis Research Group Inc.
DBA: Route 66 Wellness Center
341 E. Route 66
Williams, AZ 86046

Catalina Hills Botanical Care, Inc.
12152 N. Rancho Vistoso Blvd. C-140
Oro Valley, AZ 85737

Globe Farmacy Inc.
200 N. Broad St.
Globe, AZ 85501

CJK Inc.
(apparently this is not C.J.&K., Inc., another corporation that has the same name)
2095 Northern Avenue
Kingman, AZ 86409

Earth’s Healing Inc.
(not in good standing with the Arizona Corporation Commission due to delinquent annual report as of 8/19/13)
2075 E. Benson Highway
Tucson, AZ 85714

Encanto Green Cross Dispensary, LLC
(not in good standing with the Arizona Corporation Commission as of 9/1/13 because of no statutory agent)
2620 W Encanto Blvd.
Phoenix, AZ 85009

Greenmed, Inc.
1115 Circulo Mercado Rd.
Rio Rico, AZ 85648

Green Medicine
DBA: Southern Arizona Integrated Therapies
112 S. Kolb Rd.
Tucson, AZ 85710

High Mountain Health LLC
1250 S. Plaza Way Ste A
Flagstaff, AZ 86001

Medmar Tanque Verde LLC
8060 E. 22nd St.
Tucson, AZ 85710

MMJ Apothecary
(no entity exists in Arizona with this name, but there was a name reservation)
1175 W. Wickenburg Way Ste 4
Wickenburg, AZ 85390

Natural Herbal Remedies Inc.
752 Navajo Blvd.
Holbrook, AZ 86025

Natural Relief Clinic Inc.
DBA: Green Farmacy
1191 S. Naco Hwy
Bisbee, AZ 85603

Nature Med Inc.
(not in good standing with the Arizona Corporation Commission due to delinquent annual report as of 6/8/13)
5390 W. Ina Rd.
Marana, AZ 85743

Nature’s AZ Medicines Inc.
16913 E. Enterprise Dr.
Fountain Hills, AZ 85258

Nature’s AZ Medicines Inc.
2439 W McDowell Rd.
Phoenix, AZ 85009

Herbal Assist Inc.
DBA: Mohave Green
6870 S HWY 95 Ste 251
Mohave Valley, AZ 86440

Natural Relief Clinic Inc.
DBA: Green Farmacy
24 W. Main Street
Springerville, AZ 85938

Organica Patient Group Inc.
856 S. AZ Route 89
Chino Valley, AZ 86323

Overgaard Compassion Care
(no entity exists in Arizona with this name)
3838 State Route 277
Overgaard, AZ 85933

Phoenix Relief Center Inc.
6330 S. 35th Ave. Ste 104
Phoenix, AZ 85041

Phytotherapeutics of Tucson
1633 S. Highway 92, Suite 7
Sierra Vista, AZ 85635

Ponderosa Botanical Care Inc.
DBA Ponderosa Releaf
49237 W. Papago Rd. Ste. 3
Maricopa, AZ 85139

PP Wellness Center
DBA: The Greenhouse
8160 W. Union Hills Dr. Ste A 106
Glendale, AZ 85308

PurpleMed Inc.
1010 S. Freeway Suite 130
Tucson, AZ 85745

Rainbow Collective Inc.
(not in good standing with the Arizona Corporation Commission due to delinquent annual report as of 8/21/13)
4695 N Oracle Rd. Ste #117
Tucson, AZ 85705

Rainbow Collective Inc.
(not in good standing with the Arizona Corporation Commission due to delinquent annual report as of 8/21/13)
4120 E. Speedway Blvd.
Tucson, AZ 85712

RCH Wellness Center LLC
DBA: Greenhouse of Flagstaff
460 N. Switzer Canyon Dr, Suite 100
Flagstaff, AZ 86001

Salubrious Wellness Clinic Inc.
2009 E. 5th St. Ste. 11
Tempe, AZ 85281

Superior Organix
(no entity exists in Arizona with this name)
750 S. Belmont
Superior, AZ 85173

The Desert Valley Pharmacy Inc.
1302 W. Industrial Dr. Bldg #7
Coolidge, AZ 85128

The Health Center of Cochise, Inc.
DBA Cathy’s Compassion Center
1825 W. Dragoon Road
Cochise, AZ 85606

The Health Center of Cochise, Inc.
DBA Cathy’s Compassion Center
1825 W. Dragoon Road
Cochise, AZ 85606

The Giving Tree Wellness Center of North Phoenix Inc.
21617 N. 9th Ave.
Phoenix, AZ 85027

The Giving Tree Wellness Center of Mesa Inc.
938 E. Juanita Ave.
Mesa, AZ 85204

The Green Halo LLC
7710 S. Wilmot Rd.
Tucson, AZ 85756

The Kind Relief Inc.
1500 Coppermine Rd.
Page, AZ 86040

Valley Healing Group Inc.
2840 Highway 95, Ste. 422
Bullhead City, AZ 86442

Valley of the Sun Medical Dispensary Inc.
16200 W. Eddie Albert Way
Goodyear, AZ 85338

Verde Dispensary, Inc.
DBA: Harvest of Tempe
710 W. Elliot Rd. Ste 102
Tempe, AZ 85284

Wickenburg Alternative Medicine LLC
511 E. Main St.
Quartzsite, AZ 85346

Zonacare
DBA: Bloom Sedona
465 Jordan Rd.
Sedona, AZ 86336

By |2019-06-14T08:28:15-07:00September 1st, 2013|Stories & Articles|Comments Off on Arizona Medical-Marijuana List of 48 State-Authorized Dispensaries Released by DHS

Arizona Medical Marijuana Law Does Not Allow Possession of Resin Extracted from Cannibis in Food Products

On August 30, 2013, Will Humble, Director of the Arizona Department of Health Services, wrote a detailed article that concludes with the following statement:

“registered identification card holders and dispensaries may be exposed to criminal prosecution under the Criminal Code for possessing a narcotic drug if the card holder or dispensary possesses resin extracted from any part of a plant of the genus Cannabis or an edible containing resin extracted from any part of a plant of the genus Cannabis.’

Read also “Marijuana regulations might not cover all food products.”  The full text of the article is below.

“Are Marijuana and Cannabis the same thing when it comes to Arizona Law?  The short answer is no- and the distinction may be  an important one for Qualified Patients.

The Arizona Medical Marijuana Act provides registry identification card holders and dispensaries a number of legal protections for their medical use of Marijuana pursuant to the Act.  Interestingly, the Arizona Medical Marijuana Act definition of “Marijuana” in A.R.S. § 36-2801(8) differs from the Arizona Criminal Code’s (“Criminal Code”) definition of “Marijuana” in A.R.S. § 13-3401(19). In addition, the Arizona Medical Marijuana Act makes a distinction between “Marijuana” and “Usable Marijuana.” A.R.S. § 36-2801(8) and (15).

The definition of “Marijuana” in the Arizona Medical Marijuana Act is “… all parts of any plant of the genus cannabis whether growing or not, and the seeds of such plant.”  The definition of “Usable Marijuana” is  “…  the dried flowers of the marijuana plant, and any mixture or preparation thereof, but does not include the seeds, stalks and roots of the plant and does not include the weight of any non-marijuana ingredients combined with marijuana and prepared for consumption as food or drink.”  The “allowable amount of marijuana” for a qualifying patient and a designated caregiver includes “two-and-one half ounces of usable marijuana.”  A.R.S. § 36-2801(1).

The definition of “Marijuana” in the Criminal Code is “… all parts of any plant of the genus cannabis, from which the resin has not been extracted, whether growing or not, and the seeds of such plant.”   “Cannabis” (a narcotic drug under the Criminal Code) is defined as: “… the following substances under whatever names they may be designated: (a) The resin extracted from any part of a plant of the genus cannabis, and every compound, manufacture, salt, derivative, mixture or preparation of such plant, its seeds or its resin.  Cannabis does not include oil or cake made from the seeds of such plant, any fiber, compound, manufacture, salt, derivative, mixture or preparation of the mature stalks of such plant except the resin extracted from the stalks or any fiber, oil or cake or the sterilized seed of such plant which is incapable of germination; and (b) Every compound, manufacture, salt, derivative, mixture or preparation of such resin or tetrahydrocannabinol.A.R.S. § 13-3401(4) and (20)(w).

An issue the Department has been wrestling with for some time is how the definition of “Marijuana” and “Usable Marijuana” in the Arizona Medical Marijuana Act and the definition of “Cannabis” and “Marijuana” in the Criminal Code fit together.  This confusion, which appears to be shared by dispensaries and registered identification card holders alike, is not easy to clear up and has resulted in the Department receiving numerous questions regarding the interplay between the protections in A.R.S. § 36-2811 and the Criminal Code.  While we can’t provide legal advice as to whether a certain conduct is punishable under the Criminal Code (only an individual’s or entity’s legal counsel can do this), “Cannabis” is defined as the “resin extracted from any part of a plant of the genus cannabis” and “Cannabis” is listed as a narcotic drug according to the Criminal Code in A.R.S. § 13-3401(4) and (20)(w).

In other words, registered identification card holders and dispensaries may be exposed to criminal prosecution under the Criminal Code for possessing a narcotic drug if the card holder or dispensary possesses resin extracted from any part of a plant of the genus Cannabis or an edible containing resin extracted from any part of a plant of the genus Cannabis.  If you’re concerned that your conduct may expose you to criminal prosecution, you may wish to consult an attorney.  We’ll be providing some specific guidance for dispensaries licensed by the ADHS next week.

Big Practical Problem:  How would a card carrying patient or a dispensary employee know if a food or beverage product contained resin extracted from a cannabis plant?

By |2017-02-11T20:47:07-07:00August 31st, 2013|Legal Issues, Marijuana Crimes, Stories & Articles, Will Humble Speaks|Comments Off on Arizona Medical Marijuana Law Does Not Allow Possession of Resin Extracted from Cannibis in Food Products

Vallejo Police Return Pot to California Dispensary Owner 18 Months after Raid

KTVU.com:  “A Vallejo man who once ran a successful marijuana dispensary had pot seized during a 2012 investigation returned to him on Thursday, but the move comes too late to save his business.  Matt Shotwell was the founder of the Greenwell Collective, a profitable Vallejo medical marijuana dispensary with 9,000 clients before the police investigation shut down the business 18 months ago.  The case against him has since collapsed.”

By |2015-04-06T18:57:48-07:00August 31st, 2013|California News, Stories & Articles|Comments Off on Vallejo Police Return Pot to California Dispensary Owner 18 Months after Raid

Obama Administration will not Block State Marijuana Laws if Distribution is Regulated

Washington Post:  “The Obama administration said Thursday that it would not challenge laws legalizing marijuana in Colorado and Washington state as long as those states maintain strict rules involving the sale and distribution of the drug.  In a memo to U.S. attorneys in all 50 states, Deputy Attorney General James M. Cole said the Justice Department is ‘committed to using its limited investigative and prosecutorial resources to address the most significant threats in the most effective, consistent and rational way.’ He stressed that marijuana remains illegal under federal law.”

See also LA Times‘ “Marijuana advocates cheer Obama administration stand” that says “Dale Gieringer, a leading marijuana advocate in California, said he is encouraged by the new U.S. Justice Department memo, but he notes he has been encouraged by past memos only to see federal enforcement increase.”

Phoenix New Times‘ Ray Stern’s article “Arizona’s Medical-Marijuana Law Safe From Federal Action, For Now, in New Obama Policy” that looks at the story from the Arizona and Maricopa County perspective.  He quotes Maricopa Attorney Bill Montgomery’s take on the new memo:

The new policy “has no impact on the White Mountain case and any suggestions to the contrary are a pipe dream. . . . we’ll just have to wait and see how things play out.”

By |2013-08-30T07:31:48-07:00August 30th, 2013|Colorado News, Federal Dispensary Attacks, Stories & Articles|Comments Off on Obama Administration will not Block State Marijuana Laws if Distribution is Regulated

Arizona Could Be First To OK Marijuana For Depression

Modern Times:  “Arizona would become the first state in the U.S. to approve marijuana use for depression if a petition requesting its addition to the Arizona Medical Marijuana Program is approved later this summer, according to Will Humble, director of the Arizona Department of Health Services.”

By |2013-08-29T08:10:17-07:00August 29th, 2013|Stories & Articles|Comments Off on Arizona Could Be First To OK Marijuana For Depression

Marijuana Advertising: The Federal Tax Stalemate

Huffington Post:  “‘Marijuana Industry Eager to Pay Taxes — and Cash in on Deductions’ says a recent McClatchy headline. There’s a conundrum: The state-legal marijuana industry (1) understands that a new federal excise tax would give it legitimacy, but (2) seeks repeal of the discriminatory Reagan-era statute saying that taxpayers ‘trafficking’ in ‘narcotics’ cannot deduct ordinary business expenses on their Federal income tax returns.  But that current no-tax-deduction rule makes marijuana advertising nondeductible – and that probably makes sense. For most proponents of marijuana legalization, advertising is a frill, not an essential. But for opponents of legalization, marijuana advertising is anathema.

By |2014-05-20T10:38:06-07:00August 25th, 2013|Stories & Articles, Tax Issues|Comments Off on Marijuana Advertising: The Federal Tax Stalemate

MedBox’ July 2013 S-1 Filed with the SEC

MedBox, Inc., filed its S-1 Form with the Securities & Exchange Commission as of July 17, 2013.  The S-1 says MedBox intends to raise as much as $98,000,000 from its securities offering.  Here are some statements made in the S-1:

Medbox, Inc. is a Nevada corporation. We currently operate through seven wholly-owned subsidiaries:

Prescription Vending Machines, Inc., a California corporation, dba Medicine Dispensing Systems in the State of California (“MDS”), which distributes our Medbox™ product and provides related consulting services;

Vaporfection International, Inc., a Florida corporation through which we distribute our medical vaporizing products and accessories pursuant to a recent acquisition;

Medicine Dispensing Systems, Inc., an Arizona corporation, which provides our consulting services in Arizona;

Mini-Storage Solutions, Inc., a California corporation that produces and will market our Safe Access Storage Locker product;

Medbox Rx, Inc., a California corporation that produces and will market our Rx product line including Lockbox Rx and Sample-Safe;

Medbox, Inc., a California corporation that is currently inactive and which has the same name as the Company; and

Medbox Leasing, Inc., a California corporation that is currently inactive. . . .

We expect to receive net proceeds from this offering of approximately $75 million . . . . We intend to use the net proceeds of the offering: (i) to expand the marketing of our existing products and services; (ii) to expand our product lines, including further development and marketing of our new products, initially our Rx line of products and acquiring additional licenses to enhance our existing products or develop new products; (iii) for research and development, including the development of new products; and (iv) for working capital and other general corporate purposes, including purchasing inventory. . . .

If any of the following events occur, our business, financial condition and results of operations could be materially adversely affected.  In such case, the value and trading price of our common stock could decline, and you may lose all or part of your investment.

  • Our continued success is dependent on additional states legalizing medical marijuana and additional counties in California passing legislation to allow dispensaries. . . .
  •  The alternative medicine industry faces strong opposition. . . .
  •  Marijuana remains illegal under federal law. . . .
  • Our clients may have difficulty accessing the service of banks, which may make it difficult for them to purchase our products and services. . . .
  • We have a limited operating history and may not succeed. . . .
  • We may require additional capital to finance our operations in the future, but that capital may not be available when it is needed and could be dilutive to existing stockholders. . . .
  • Our financial statements may not be comparable to those of other companies. . . .
  •  The success of our new and existing products and services is uncertain. . . .
  • Our business is dependent upon continued market acceptance by consumers. . . .
  • If we are able to expand our operations, we may be unable to successfully manage our future growth. . . .
  •  We primarily depend on a single product for our revenue. . . .
  •  We may be unable to adequately protect or enforce our patents and proprietary rights. . . .
  • We do not have and independent board of directors which could create a conflict of interests and pose a risk from a corporate governance perspective. . . .
  •  We depend upon key personnel, the loss of which could seriously harm our business. . . .
  • Our management controls a large block of our common stock that will allow them to control us. . . .
  • We do not expect to pay any cash dividends in the foreseeable future. . . .

Our revenues increased a modest 2.4%, to $3.53 million, during the year ended December 31, 2012 . . . . (more…)

By |2014-04-27T11:18:17-07:00August 23rd, 2013|Medbox, Stories & Articles|Comments Off on MedBox’ July 2013 S-1 Filed with the SEC

1st Pothead Opposed to Legalizing Marijuana

Huffington Post:  “President Barack Obama does not support changes to the legal classification of marijuana, the White House said Wednesday, despite growing evidence of its medical benefits.  White House spokesman Josh Earnest was asked for the second day in a row if CNN chief medical correspondent Sanjay Gupta’s recent reversal on medical marijuana use and apology for misleading the public had had any bearing on Obama’s position on the issue.

Here’s what the White House said:

“The administration’s position on this has been clear and consistent for some time now, that while the prosecution of drug trafficking remains an important priority, the president and the administration believe that targeting individual marijuana users, especially those with serious illnesses and their caregivers, is not the best allocation of federal law enforcement resources. I looked it up and the president last talked about this in an interview he had with Barbara Walters in December when she asked a similar question. The president acknowledged that the priority, in terms of the dedication of law enforcement resources, should be targeted toward drug kingpins, traffickers, and others who perpetrate violence in the conduct of the drug trade … that that is the best use of our law enforcement resources. But at the same time, the president does not at this point advocate a change in the law.”

By |2013-08-23T08:06:37-07:00August 23rd, 2013|Federal Dispensary Attacks, Stories & Articles|Comments Off on 1st Pothead Opposed to Legalizing Marijuana

MedBox Machines – Helpful or Hype?

Toke of the Town:  “MedBox is a publicly traded company (MDBX) that specializes in the development, sales and service of automated, biometrically-controlled dispensing systems for medicine and merchandise. They claim to currently have over 150 pieces of technology out in the field. . . . [MedBox has] gone so far as to publicly lobby against the placement of public marijuana vending machines . . . . Critics of MedBox seem to be growing louder by the day, voicing complaints not just about the technology itself and what it means for the medical marijuana industry”

MedBox news:

  • “Medbox Supports an Outright Ban on Marijuana Vending Machines in San Diego”
  • “Medbox Posts 2nd Quarter Results”

See also “MedBox’ July 2013 S-1 Filed with the SEC.”

By |2019-06-18T19:57:10-07:00August 23rd, 2013|Medbox, Stories & Articles|Comments Off on MedBox Machines – Helpful or Hype?

New Jersey’s Failed Medical Marijuana Law

philly.com:  “New Jersey’s medical marijuana program is a failed experiment but one that Delaware and other states seem enthusiastic to repeat. The reality is that after years of delays and harsh over-regulation, NJ residents with serious illnesses and even state-issued marijuana ID cards continue to be arrested. Limited or no access is the issue.”

There is only one operational medical marijuana dispensary in New Jersey and it is not open on a regular basis.  The dispensary is GreenLeaf Compassion Center in Montclair, New Jersey.  Patients cannot grow marijuana so any card-caring patient who possesses pot not purchased from GreenLeaf Compassion Center is subject to criminal arrest.`

By |2015-04-06T18:56:52-07:00August 23rd, 2013|Stories & Articles|Comments Off on New Jersey’s Failed Medical Marijuana Law

Arizona Medical Marijuana Card Holders Sue to Grow within 25 Miles of a Dispensary

Court House News Service:  “Medical marijuana advocates claim in court that Arizona unconstitutionally bars some patients from growing the drug at home if they live less than 25 miles from a licensed medical marijuana dispensary.  Plaintiffs Keith Floyd and Daniel Cassidy claim the Arizona Department of Health Services denied them cultivation rights when they applied for renewal of their Arizona Medical Marijuana registry cards.  They sued Arizona and DHS Director Will Humble, in Maricopa County Court.”

The case is Maricopa County Superior Court case number CV2013-011447, Keith Floyd and Daniel Cassidy v. State of Arizona and Will Humble.  Read the Notice of Claim, Summons, and Complaint.

Update:  See “Suit argues measure allows for growing of own medicinal marijuana.”

By |2017-10-07T09:56:01-07:00August 22nd, 2013|AZ Marijuana Law Lawsuits, Stories & Articles|Comments Off on Arizona Medical Marijuana Card Holders Sue to Grow within 25 Miles of a Dispensary

Arizona Medical Marijuana Dispensaries Unduly Burdened by State Rules, Judge Says

Phoenix New Times:  “Another favorable court ruling for the Arizona Medical Marijuana Act means that would-be dispensaries have much more time to set up operations.  Maricopa Superior Court Judge Randall Warner’s July 29 ruling, released Wednesday, stops the state from denying dispensary approvals because of failure to meet a set deadline. . . . The case, brought by Total Health & Wellness and other Medbox-affiliated dispensary companies”

The case is Total Health & Wellness, Inc., vs. State of Arizona.

By |2014-04-27T11:20:13-07:00July 31st, 2013|AZ Marijuana Law Lawsuits, Medbox, Stories & Articles|Comments Off on Arizona Medical Marijuana Dispensaries Unduly Burdened by State Rules, Judge Says

Will Humble Comments on Court Ruling

Will Humble, Director of the Arizona Department of Health Services said on July 31, 2013:

“The Superior Court judge ruled this morning that our requirement for Registration Certificate holders (dispensaries) to get an approval to operate within one year in order to renew their certificates is unreasonable.  Because of today’s ruling, we’re going to accept renewal requests for all the current dispensaries in the state, whether they’re open or not.  The initial year for dispensaries is over next week.

The ruling also means we’ll need to rewrite our rules – but that’s not a simple process.  We’ll begin the process of adjusting our regulations to be in accordance with today’s ruling, but it will likely take several months to have everything in line.  Today’s ruling will also delay our decision about how to proceed with ‘year 2’ dispensary applications.”

By |2013-08-27T07:08:31-07:00July 31st, 2013|AZ Marijuana Law Lawsuits, Stories & Articles, Will Humble Speaks|Comments Off on Will Humble Comments on Court Ruling

Billy Hayes, Marijuana Activist, Busted Again in Vapor Lounge Raid

Phoenix New Times:  “Phoenix police have busted marijuana activist Billy Hayes for the second time in two years in connection with running an unauthorized medical-marijuana dispensary. . . . Hayes was behind the Arizona Cannabis Society, a caregiver collective we wrote about in February of 2012 that grew buds for patients in an El Mirage warehouse. A few weeks after our article appeared, Phoenix police raided the place and claimed the co-op had exceeded the number of marijuana plants allowed by state law.  Hayes was never charged in that case.

See “Medical-Marijuana “Vapor Lounge” Allows Patients to Toke Up.”

By |2013-08-29T07:45:24-07:00July 26th, 2013|Marijuana Crimes, Stories & Articles|Comments Off on Billy Hayes, Marijuana Activist, Busted Again in Vapor Lounge Raid

Arizona DHS Issued 61 Medical Marijuana Dispensary Permits

The Director of the Arizona Department of Health Services said the following on July 26, 2013:

“We’ve issued 61 medical marijuana dispensary operating licenses so far with only 2 weeks left on the 52 week time-clock.  We have 21 more inspections scheduled between now and August 6, which is the deadline for Registration Certificate holders to get their Approval to Operate License so they can renew their Certificate (a 1-year timeframe).   The biggest hang up with the remaining certificate holders seems to be their city occupancy approval (we don’t give operating licenses without a certificate of occupancy from their local jurisdiction).

I was a witness in court a couple of times last week testifying in a case in which the Plaintiffs argue that our requirement that Registration Certificate holders (the lottery winners) get their Approval to Operate within 1 year is unreasonable.  Under our regulations, the Approval to Operate is required in order to renew a Registration Certificate.  Of course, there’s more to the lawsuit than that- but that’s a core issue.

We’re awaiting the Superior Court Judge’s ruling in the next week or so.  We expect the ruling to provide some clarity about whether and how we’ll proceed when it comes to renewing Registration Certificates.  The decision may also influence the timeline for the “second round” issuance of Certificates.”

By |2013-08-27T07:11:07-07:00July 26th, 2013|Stories & Articles, Will Humble Speaks|Comments Off on Arizona DHS Issued 61 Medical Marijuana Dispensary Permits

Phoenix Police Still Responding to Craigslist Ads for Medical Marijuana “Donations”

Phoenix New Times:  “Despite New Times’ discovery last month that Phoenix police are routinely using Craigslist to bust people offering to sell ‘medical marijuana’ for the price of a ‘donation,’ the busts continue.  Even though some people post lengthy disclaimers in their ads, claiming that there’s no pot sale going on, it’s just a transfer of medical-marijuana between patients — with a donation involved — it’s not preventing the busts.”

SeeEarth to Pot Dealers: Selling “Medical Marijuana” on Craigslist Not the Greatest Idea.”

By |2013-08-29T07:37:03-07:00July 17th, 2013|Stories & Articles|Comments Off on Phoenix Police Still Responding to Craigslist Ads for Medical Marijuana “Donations”

Vincent Mehdizadeh Pleads Guilty to Two Felony Grand Theft Counts

The following is the text of a June 28, 2013, press release issued by the Los Angeles County Department of Consumer Affairs about Pejman Vincent Mehdizadeh, a founder and CEO of Medbox:

“Father and Son Team of Phony Immigration Consultants Convicted of Fraud, Must Pay Nearly One Half Million Dollars in Restitution to Victims

LOS ANGELES – A father and son team who pretended to be a law firm and defrauded dozens of victims seeking immigration help have pled guilty to multiple charges of grand theft.

Brian J. Stiger, Director of the County of Los Angeles Department of Consumer Affairs (DCA ), has announced today that Pejman Vincent Mehdizadeh and Parviz Paul Mehdizadeh were ordered to pay full restitution to victims who reported their losses to DCA.

The Mehdizadehs took money for immigration cases and either did not file or filed fraudulent documents with U. S. Citizenship and Immigration Services (USCIS). They are responsible for defrauding victims out of hundreds of thousands of dollars while offering services in areas such as immigration, bankruptcy, divorce, and mortgage modifications, often without providing any services.

Many of the Mehdizadehs’ victims were forced to leave the country because of their failure to file appropriate documents. Pejman Vincent Mehdizadeh, 34, of Los Angeles, pled to two felony grand theft counts and Parviz Paul Mehdizadeh, 78, of Calabasas, pled to one misdemeanor count. [emphasis added]

Restitution will approach a half a million dollars, not including money distributed from the State Bar of California Restitution Fund, most of which has already been collected and distributed to the known victims.

“Immigration consultants often tell consumers that they have ‘ special connections ’ or know about secret programs to help immigrants become legal citizens,” Director Stiger said. “They will say anything to gain your trust and take your money. Consumers should remember that if it sounds too good to be true, it probably is.”

The Mehdizadehs also ran a lawyer referral service, under the name Active Lawyer Referral Service, and referred clients to themselves. The prosecutors were Dana Aratani and Kathleen Tuttle of the Los Angeles County District Attorney’s office

Update: See Mr. Mehdizadeh’ statement about his felony convictions in a press release entitled “Target of LA Criminal Investigation Has 13 Felony Counts Dismissed and Walks Away Vindicated.”

By |2015-04-06T18:57:50-07:00June 28th, 2013|Medbox, Stories & Articles|Comments Off on Vincent Mehdizadeh Pleads Guilty to Two Felony Grand Theft Counts

Earth to Phoenix Pot Dealers: Selling “Medical Marijuana” on Craigslist Not the Greatest Idea

Phoenix New Times:  “Despite the fact that Arizona has a medical-marijuana law, that law does not turn a neighborhood weed dealer into a bona fide medical-marijuana salesman.  This apparently comes as news to several Phoenix residents, as a New Times review of superior court filings shows that police have busted several dealers over the last few weeks, and were discovered by police because they offered ‘medical marijuana’ for sale on Craigslist.”

By |2013-08-29T07:32:29-07:00June 13th, 2013|Stories & Articles|Comments Off on Earth to Phoenix Pot Dealers: Selling “Medical Marijuana” on Craigslist Not the Greatest Idea

Another Arizona Medical Marijuana Lawsuit

Will Humble, Director of the Arizona Department of Health Services said on May 30, 2013:

“We got sued again this week regarding our Medical Marijuana Program.  This time we’re getting sued because the Plaintiffs think that our 1-year deadline for getting a dispensary up and running is too restrictive.  Basically, the Plaintiffs allege that the legal issues that have arisen in response to the White Mountain Health Center, Inc. (a prospective dispensary) case have made it unreasonably difficult for the Plaintiffs to be able to get their dispensaries up and running in the 1-year timeframe allowed under our regulations.

We have a court hearing on Friday morning (May 31, 2013) in which the Plaintiffs are asking for a Temporary Restraining Order delaying at least the June 7 deadline for submitting their application for an Approval to Operate.  Ultimately, they’re looking to extend our final deadline for actually getting their Approval to Operate past our August 7 deadline (after which their Registration Certificate expires).

BTW…  We have about 20 or so dispensaries already up and running across the state and another dozen or so have already filed their request for an Approval to Operate.  Also, you can see links to the other 12 lawsuits that have been filed on our website.”

By |2013-08-27T08:06:13-07:00May 30th, 2013|AZ Marijuana Law Lawsuits, Stories & Articles, Will Humble Speaks|Comments Off on Another Arizona Medical Marijuana Lawsuit

IRS Targets Medical Marijuana Businesses In Government’s Ongoing War On Pot

Huffington Post:  “the Internal Revenue Service has been systematically targeting medical marijuana establishments, relying on an obscure statute that gives the taxing agency unintended power. The IRS has been functioning as an arm of justice, employing the U.S. tax code as a weapon in the federal government’s ongoing war against legal cannabis.  The majority of Americans favor legalization of marijuana, while 18 states and the District of Columbia have already legalized medical marijuana. But pot businesses in those states are vulnerable to the federal government’s strategic application of IRS Code Section 280E, a law enacted in 1982 after a drug dealer claimed his yacht and weapons purchases as legitimate business expenses — and long before medical marijuana was first legalized in California in 1996.  Now the IRS is applying a rule originally aimed at illegal (and often violent) drug trafficking to businesses that are entirely legal under their states’ laws. Medical marijuana dispensaries are facing audits and heavy tax bills that could force them out of business.

By |2014-05-20T10:34:20-07:00May 29th, 2013|Stories & Articles, Tax Issues|Comments Off on IRS Targets Medical Marijuana Businesses In Government’s Ongoing War On Pot

Arizona Medical Marijuana Going to Young, Healthy

CBS5AZ:  “Data from the state Department of Health Services show nearly half of the recipients of medical marijuana cards in Arizona are younger than 40. . . . ‘About 90 percent of our qualifying patients have cards because of severe and chronic pain,’ said Will Humble, the director of the Arizona Department of Health Services.”

In this video a reporter for CBS5AZ goes undercover and visits a chiropractor and a doctor and obtains a medical marijuana patient card from the Arizona Department of Health Services.

CBS 5 – KPHO

By |2019-06-14T08:26:17-07:00May 16th, 2013|Stories & Articles, Video|Comments Off on Arizona Medical Marijuana Going to Young, Healthy

Former U.S. Attorney Assists Arizona Medical Marijuana Dispensary

The Daily Courier: “Chino Valley’s new medical marijuana growing facility would be hard-pressed to find a better lawyer and adviser than a former U.S. Attorney for Arizona. . . . ‘I’m of the belief that the feds aren’t going to do anything to an operation that’s legitimate, that follows the rules,’ [Mel] McDonald said. He knows current U.S. Attorney for Arizona John Leonardo well, since Leonardo used to work for him.”

By |2017-02-12T07:40:00-07:00May 14th, 2013|Stories & Articles|Comments Off on Former U.S. Attorney Assists Arizona Medical Marijuana Dispensary

Chino Valley Medical Marijuana Dispensary Opens this Week

The Daily Courier:  “the first MMJ dispensary in Yavapai County is set to open this week.   Organica Patient Group is scheduled to open as early as Wednesday at 856 Highway 89 in Chino Valley, said R.J. Alarcon, president of the company.”

By |2017-02-12T07:40:00-07:00May 12th, 2013|Stories & Articles|Comments Off on Chino Valley Medical Marijuana Dispensary Opens this Week
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