This bill is part of the 2023 Cannabis Bills section of our ongoing update on California Cannabis Legislation – see the full California Cannabis Law Legislative Update which includes information on cannabis bills from other years.
AB 1171 (Blanca Rubio D) Cannabis: private right of action.
Note: AB 1171 passed and was signed by the Governor.
Existing law, the Control, Regulate and Tax Adult Use of Marijuana Act (AUMA), an initiative measure, authorizes a person who obtains a state license under AUMA and any applicable local ordinances to engage in commercial adult-use cannabis activity pursuant to that license, if conducted as prescribed. Existing law, the Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA), among other things, consolidates the licensure and regulation of commercial medicinal and adult-use cannabis activities and, except as specified, prohibits a person or entity from engaging in commercial cannabis activity without a state license issued by the Department of Cannabis Control pursuant to MAUCRSA. Existing law provides that a person engaging in commercial cannabis activity without a license is subject to civil penalties, as specified, and authorizes the Attorney General, a county counsel, a city attorney, or a city prosecutor to bring an action, as specified.
This bill would authorize a licensee under MAUCRSA to bring an action in superior court against a person engaging in commercial cannabis activity without a license as required by MAUCRSA. The bill would require the licensee to demonstrate actual harm resulting from the unlicensed commercial cannabis activity. The bill would authorize a court in that action to enter an order enjoining the defendant from engaging in commercial cannabis activity without a license. The bill would entitle a licensee prevailing in that action to their reasonable attorney’s fees and costs and either actual damages or statutory damages not to exceed $75,000, as specified. The bill would provide that its provisions do not apply to a violation of the Labor Code and would prohibit the provisions from forming the basis for a cause of action under the Labor Code Private Attorneys General Act of 2004.
AUMA authorizes the Legislature to amend its provisions with a 2/3 vote of both houses to further its purposes and intent, except as specified.
This bill would declare that its provisions further the purposes and intent of AUMA.
Read more about California Cannabis Legislation – see the full California Cannabis Law Legislative Update.
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