Cannabis Information by State: California

Learn how MaxQ Cannabis can help your business

Licensing

Like most states, California requires a state license to engage in commercial cannabis activity. The state also requires proof of approval from the local jurisdiction. The state will not issue a license for an applicant who is operating within a local jurisdiction that prohibits commercial cannabis activity.

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Regulations and Compliance

All commercial medicinal and adult-use cannabis in California must abide by the regulations provided by the Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA). 

The California Cannabis Track-and-Trace (CCTT) system requires all state-issued annual licensees are required to use Metrc. After applying for a license, the applicant will receive information for registering a CCTT-Metrc account and the designated account manager must complete the required training.

Additionally, these facilities must have all their inventory, including any immature lot, flowering plant, harvest batch, production batch, and distinct cannabis product, categorized and tracked with unique ID (UID) tags assigned with radio-frequency identification (RFID).

Because remaining compliant includes tracking and reporting everything down to the gram, automation is essential for saving time and cutting costs. Implementing an ERP system designed for the regulations and supply chain of the cannabis industry will help your business survive and thrive. 

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Metrc Certified

MaxQ Cannabis is a Metrc certified solution

Packaging and Labeling

All products and inventory that a cannabis business sells must ensure that all packaging and labeling of cannabis to be sold complies with California state laws. Moreover, these businesses must use the proper regulatory language.

The California Department of Public Health (CDPH) requires packaging to be:

  • Tamper evident
  • Child-resistant
  • Resealable (for products with multiple uses)
  • Opaque (for edibles)

The product’s packaging must also include California’s version of the universal symbol. The symbol is an exclamation point accompanied by a matured cannabis leaf all within a cautionary triangle. Virtually all cannabis products require this symbol, on the product and outer packaging.

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Business and Advertising

Businesses must be aware of restrictions on advertising and marketing. At this time, several factors limit the marketing and advertising of cannabis products.

License

Advertisements must accurately identify who is responsible for the content, including the company’s license number. The license number must be accurate and visible. Advertisements and marketing can not be distributed while the license is suspended.

Messaging

At this time, all advertising and marketing must be truthful and not misleading, including not misrepresenting any health claims of the product.

Age

Any advertising or marketing must be broadcasted or displayed where at least 71.6 percent of the audience is expected to be 21 or older. Direct marketing must use a method of age affirmation before engagement

Location

California prohibits advertisements on signs or billboards on any interstate or state highways that cross the California border. Additionally, Advertisements may not be displayed on a sign within 1,000 feet of a daycare, school, playground, or youth center.

Donation

No amount of cannabis, cannabis product, or cannabis accessory may be given as part of a business promotion or commercial activity. This does not include the donation of cannabis to a patient, as it is not considered a commercial activity.

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*Disclaimer: Cannabis laws vary by state and are subject to frequent changes. This article is intended to provide general information and is not a substitute for legal counsel or binding business advice. Please consider consulting a California lawyer for more information. 

See how MaxQ Cannabis can help your California cannabis company