Medical Marijuana: A Florida Business Dilemma

Medical marijuana has been a hot topic for United States for years now. In 2014, Florida voters failed to approve a proposed constitutional amendment that would have legalized marijuana use across the state for medical purposes. The issue may pop up again on the 2016 ballot. As this issue arises, every Florida business must be wary in its dealings with vendors in the “medical marijuana” area.  It is important for businesses to double check their Orlando General Liability Insurance and follow these tips on staying legally aware and safe. 

In 2014, Deputy U.S. Attorney General James Cole issued a memorandum for all United States Attorneys which provided guidance for businesses on marijuana related financial crimes. The guidelines for federal prosecutors concerning marijuana-related conduct focused on the central issues of (among others): preventing distribution of marijuana to minors, preventing diversion of marijuana from states where it is legal under state law to other states, and preventing marijuana possession on federal property.

A company must engage in several areas of “due diligence” to ensure that working with another company is safe. Some areas of due diligence include verifying whether the vendor is duly licensed and registered, reviewing the the vendor’s license and related documentation, and continuously monitoring for suspicious activity.

Florida businesses should also be aware of “red flags” such as the business depositing more cash than is fitting and the business being unable to produce documentation that it is duly licensed and operating within state law. Florida businesses should avoid contracts with vendors that may cross the lines described in the Cole Memos.

At Newman Crane & Associates Insurance, we can help you understand the issues surrounding medical marijuana and your Orlando General Liability Insurance. Give us a call today at 407.859.3691

LEARN MORE ABOUT WHAT THE HILB GROUP CAN DO FOR YOU.

CONTACT US