State Supreme Court Hears Oral Arguments to Stop Local Government Prohibition of Marijuana Dispensaries

On February 5, 2013 The Supreme Court held their courtroom at the SF School of Law in honor of their 100th Anniversary.. Below please find the video of the oral arguments. The case is under submission and a ruling is expected shortly. We believe the court will decide local government DOES have the right to ban local distribution of marijuana. Such prohibition simply means the local agency does not want to collect the local sales tax associated with the sale of marijuana. The federal government has put many dispensaries out of business by threatening to seize the property where sales occur. The distribution of marijuana is primarily accomplished by local delivery service, where a physical location is only necessary for storage. Failure to approve a local dispensary does not prohibit the use of marijuana in such location. In locations where dispensaries are prohibited, pot is being delivered directly to the consumer anyway. The only result of the local prohibition is the refusal to accept sales tax associated with the sale. A business license is required for the sale of any product or service in each individual city. For unincorporated areas a county business license is required. However, enforcement to insure a local business license is obtained would be extremely difficult. .

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