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SB-1318 Cannabis or cannabis products.(2017-2018)

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Date Published: 02/16/2018 09:00 PM
SB1318:v99#DOCUMENT


CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Senate Bill
No. 1318

Introduced by Senator Mendoza

February 16, 2018

An act to amend Section 26052 of the Business and Professions Code, relating to cannabis.


LEGISLATIVE COUNSEL'S DIGEST


SB 1318, as introduced, Mendoza. Cannabis or cannabis products.
The Control, Regulate and Tax Adult Use of Marijuana Act of 2016 (AUMA), an initiative measure approved as Proposition 64 at the November 8, 2016, statewide general election, authorizes a person who obtains a state license under the AUMA to engage in commercial adult-use cannabis activity pursuant to that license and applicable local ordinances. The AUMA authorizes the Legislature to amend, by a majority vote, certain provisions of the act to implement specified substantive provisions, provided that the amendments are consistent with and further the purposes and intent of the act. 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.
The MAUCRSA prohibits a licensee from performing certain acts, including selling any cannabis or cannabis products at less than its cost for the purpose of injuring competitors, destroying competition, or misleading or deceiving purchasers or prospective purchasers.
This bill would make nonsubstantive changes to these provisions.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 26052 of the Business and Professions Code is amended to read:

26052.
 (a) A licensee shall not perform any of the following acts, or permit any of the following acts to be performed by any employee, agent, or contractor of the that licensee:
(1) Make any contract in restraint of trade in violation of Section 16600.
(2) Form a trust or other prohibited organization in restraint of trade in violation of Section 16720.
(3) Make a sale or contract for the sale of cannabis or cannabis products, or to fix a price charged therefor, or discount from, or rebate upon, that price, on the condition, agreement, or understanding that the consumer or purchaser thereof shall not use or deal in the goods, merchandise, machinery, supplies, commodities, or services of a competitor or competitors of the that seller, where the effect of that sale, contract, condition, agreement, or understanding may be to substantially lessen competition or tend to create a monopoly in any line of trade or commerce.
(4) Sell any cannabis or cannabis products at less than its cost for the purpose of injuring competitors, destroying competition, or misleading or deceiving purchasers or prospective purchasers.
(5) Discriminate between different sections, communities, or cities cities, or portions thereof, or between different locations in those sections, communities, or cities cities, or portions thereof in this state, by selling or furnishing cannabis or cannabis products at a lower price in one section, community, or city city, or any portion thereof, or in one location in that section, community, or city city, or any portion thereof, than in another, for the purpose of injuring competitors or destroying competition.
(6) Sell any cannabis or cannabis products at less than the cost thereof to such vendor, or to give away any article or product for the purpose of injuring competitors or destroying competition.
(b) Any person who, either as director, officer, or agent of any firm or corporation, or as agent of any person, violates the provisions of this chapter, or assists or aids, directly or indirectly, in that violation is responsible therefor equally with the person, firm, or corporation for which that person acts.
(c) Any person or trade association may bring an action to enjoin and restrain any violation of this section for the recovery of damages.