California’s Cannabis Cafes: The Legal and Insurance Concerns Behind AB 1775

Assemblymember Matt Haney (D-San Francisco), who championed the bill, believes cannabis cafes will not only normalize cannabis consumption but also invigorate struggling downtown areas. “This couldn’t be happening at a better time for California. Our downtowns are struggling, and new, innovative businesses, especially in hospitality, nightlife and the arts, are among the best ways to reinvigorate them,” said Haney. “California should be excited for the jobs, culture, and tourism that cannabis cafes are going to bring to our state.”

The enthusiasm is palpable, but with it comes a slew of legal and insurance challenges.

Legal Liabilities and Compliance Concerns

With the introduction of cannabis cafes, legal professionals must now navigate a labyrinth of new regulations. Local governments have been granted the authority to oversee these cafes, but what happens when something goes wrong? For instance, what liability does a café owner face if a patron over-consumes cannabis and is later involved in an accident?