Mar 28

California takes aim at online ads from illegal pot shops

“That’s Weedmaps’ business model, to confuse the difference between legal and illegal,” said Jerred Kiloh, a licensed dispensary owner in Los Angeles who heads the United Cannabis Business Association, an industry group. “It’s an unfair playing field. They are pitting us against each other.”

Weedmaps operates in over two dozen states, but the issue is coming to a head in California, which in January became the nation’s largest legal marketplace. State regulators last month warned Weedmaps to stop advertising shops operating outside the law.

In a response, Weedmaps executives said they are eager to work with the state but asserted that the online directory doesn’t fall under state authority and is shielded by provisions in federal law.

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