Child Safety Vs. Brand Identity: California Bill Sparks Controversy Over Cannabis Advertising Regulations

Assembly Bill 1207 (AB 1207) in California has ignited a contentious debate surrounding cannabis advertising regulations.

This legislation, currently awaiting Governor Gavin Newsom's decision, aims to address concerns about the appeal of cannabis products to minors, reported SF Gate.

About The Bill

• AB 1207 seeks to enhance child safety in the cannabis industry by prohibiting the sale, distribution and production of cannabis products, packaging or labeling that might appeal to children.
• This legislation aligns with the Control, Regulate, and Tax Adult Use of Marijuana Act (AUMA) and the Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA), which regulate and consolidate commercial cannabis activities while imposing specific packaging requirements.

See Also: Stirring The Pot In California: Historical Cannabis Sales $6B Lower Than Reported

Moreover, it would prohibit the use of cartoons, depictions of animals and most plants and vegetables on cannabis packaging and advertising. Small-scale cannabis farms are expected to be particularly affected, as they would face significant expenses in rebranding to comply with the new law.

The Ongoing Debate

AB 1207 has sparked a heated debate within California's cannabis industry, with concerns raised about its impact on small craft farms and minority-owned businesses.

Critics of the bill argue that its language, if enacted, could extend beyond child-friendly marketing, affecting businesses' ability to showcase their brands and identities. This includes the prohibition of images of humans on labels and social media posts.

What's Next?

Governor Newsom has until October 14, 2023, to make a decision on AB 1207. The Department of Cannabis Control (DCC) and the governor's office have not yet commented on the concerns raised by the cannabis industry.

If you are interested in learning more and discussing the cannabis-related landscape not just in California but in other states as well, consider joining us at the 17th edition of the Benzinga Cannabis Capital Conference, which is returning to Chicago on Sept 27-28. Get your tickets today before prices increase and secure a spot at the epicenter of cannabis investment and branding.

Read Next: Risk Or Reward? California's Move Towards Interstate Cannabis Trade

Image by El Planteo