Leech Tishman Cannabis Co-Lead Michael H. Sampson to Present Webinar on Leasing to a Cannabis-Related Business
June 20 @ 1:00 pm - 2:00 pm
On Tuesday, June 20, Leech Tishman Cannabis Co-Lead, Michael H. Sampson, will present for Strafford’s video webinar entitled, “Leasing to a Cannabis-Related Business: Banking, Permitting, Zoning, Rent, Indemnification, and Insurance.”
ABOUT THE EVENT:
This CLE course will advise counsel on preparing and negotiating commercial leases for the growing number of property owners seeking to lease to a cannabis-related business, as well as counsel for cannabis-related businesses who need to lease space, as the cannabis industry expands. The panel will discuss common issues that arise, including the structuring of rent, banking restrictions, permits, and zoning, as well as insurance and related risk management.
Description:
With some form of cannabis use legalized in most of the U.S., commercial property owners are increasingly presented with opportunities to lease to cannabis-related businesses. State regulations legalizing CBD, hemp, and recreational and medical cannabis and conflicting federal laws require real estate and business attorneys to consider a variety of complex rules to draft or modify cannabis-related commercial leases effectively.
The unique challenges and opportunities inherent in leasing to cannabis-related businesses require counsel to reevaluate standard commercial lease terms and amend provisions such as rent structuring, licensing, zoning, permitted use of the premises, compliance with laws, inspection rights, law enforcement, and personal guarantees.
Listen as our panel advises counsel on preparing commercial leases for the growing number of property owners seeking to lease to a cannabis-related business, as well as for cannabis-related businesses looking to lease space to operate, as the cannabis industry expands. The panel will discuss common issues that arise, including the structuring of rent, banking restrictions, permits and zoning, and insurance and related risk management, including, but not limited to, contractual risk-transfer provisions.
Outline:
1. Overview of federal and state laws related to leasing to cannabis-related businesses
2. Standard lease provisions to address
- Rent structuring
- Licensing
- Zoning
- Permitted uses
- Compliance with laws/representations and warranties
- Inspection rights
- Assignment and subletting
- Federal asset forfeiture
- Change of laws
3. Additional concerns
- Banking
- Insurance Coverage
4. Practical considerations
Benefits:
The panel will review these and other key items:
- Drafting and updating standard lease terms to reflect cannabis-related business tenant issues
- Developing a comprehensive plan to address specific issues relevant to cannabis-related businesses
- Lease terms that accurately reflect state regulations and the federal prohibition of cannabis