The fire season is coming-Canna Law Blog™
Summer is here, a huge heat wave has just hit the west coast, and the fire season is approaching. This is a harsh reality for West Coast residents, and it does not seem to change anytime soon. Wildfires have a serious impact on the entire community, and everyone can be affected. However, in this article I will discuss some unique issues of cannabis companies.
First of all, cannabis companies are different from many other companies because they are isolated in specific locations and have many regulatory restrictions on the transportation of goods in the event of natural disasters such as fires. Fortunately, regulatory agencies in many states have the foresight, and in some cases, when natural disasters strike, they can include relief clauses required by the regulatory authorities.You can check our posts Oregon with California Read more about their respective regulations and I will not repeat them here.
Second, cannabis companies are easily damaged by fires. Outdoor field cultivators are usually the hardest hit-even if the fire does not damage their crops, smoke and other particulate matter (even a seemingly distant fire) will destroy outdoor crops. I saw many such examples last year. Therefore, even if the fire may not be at the door of the cultivator’s house, they need to consider things like air conditioning and whether they need to contact the state to seek any of the above remedies.
For any cannabis company, the actual fire is the most serious problem that people may face.This is a special challenge for companies that may store large amounts of cash and valuable products but may not Adequate insurance coverage (Usually) to make up for the losses caused by the fire. In addition, the loss of business ability due to fires may be a major, even fatal setback for many cannabis companies.
The third is public utilities. For example, if a fire or overheating damages the power lines (this happened in Los Angeles County during the heat wave last year), indoor growers may not be able to get the electricity needed to grow plants—and they need a lot of electricity. Although we are on the brink of another drought, farmers across the state will face a decline in the amount of water available as resources are diverted for fire fighting. We have seen water supply problems all over the state.
For many cannabis companies in cities or other non-rural areas, the fire will not have a direct impact.But it’s entirely possible that we will see prices soar again Along the supply chain Because of the fire’s impact on cannabis growers. The key is that cannabis companies need to remain vigilant and consider any regulatory measures that can be taken to reduce the damage caused by the fire.