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Contract dispute may prevent shop from staying open

In a state far west of Louisiana, there is a business cooperative facing challenges regarding its ability to remain open to the public. The contract dispute arose right when the time came for the medical marijuana and wellness center to renew its operational permit. It appears the center is located in a shop that is part of a strip of businesses, and the owner has not given the dispensary consent to continue its services.

Tahoe Wellness Cooperative was founded approximately seven years ago. The founder reportedly received a letter on a recent Monday saying he had 30 days to shut down and move on. The way the business permit for the medical marijuana dispensary is set up, the landlord of the strip shops must consent to the center’s continued operation in order for it to be eligible to renew its business permit.

California law requires medical marijuana dispensaries to renew their permits every two years. That process includes paying a non-refundable fee and submitting a letter of consent from a landlord. A city representative said the cooperative was late in filing its renewal application, and the application did not include the required items.

The city acknowledges that there is a contract dispute between the owner of the wellness center and the landlord of the strip shops where the center is located. The matter is now being addressed in court. Any Louisiana business owner who is having difficulty renewing a permit or operating license due to a dispute with a building manager or other party may seek advice from a business and commercial law attorney to determine what might be the best way to handle the problem.

Source:, “Lake Tahoe pot shop’s future uncertain after business permit expiration“, Claire Cudahy, Nov. 20, 2016