Chapter 16Records

Section § 26160

Explanation

If you hold a license for commercial cannabis activities, you're required to keep detailed records for at least seven years. The department in charge can look at these records and check your premises whenever they find it necessary, typically during regular business hours. You must keep identified records at your business location and provide copies if the department asks. If anyone connected to your business interferes with an inspection, you're breaking the rules. Not keeping or providing the required records can lead to fines up to $30,000 for each separate issue.

(a)CA Business and Professions Code § 26160(a) A licensee shall keep accurate records of commercial cannabis activity.
(b)CA Business and Professions Code § 26160(b) All records related to commercial cannabis activity as defined by the department shall be maintained for a minimum of seven years.
(c)CA Business and Professions Code § 26160(c) The department may examine the records of a licensee and inspect the premises of a licensee as the department, or a state or local agency, deems necessary to perform its duties under this division. All inspections and examinations of records shall be conducted during standard business hours of the licensed facility or at any other reasonable time. Licensees shall provide and deliver records to the department upon request.
(d)CA Business and Professions Code § 26160(d) Licensees shall keep records identified by the department on the premises of the location licensed. The department may make any examination of the records of any licensee. Licensees shall also provide and deliver copies of documents to the department upon request.
(e)CA Business and Professions Code § 26160(e) A licensee, or its agent or employee, that refuses, impedes, obstructs, or interferes with an inspection of the premises or records of the licensee pursuant to this section, has engaged in a violation of this division.
(f)CA Business and Professions Code § 26160(f) If a licensee, or an agent or employee of a licensee, fails to maintain or provide the records required pursuant to this section, the licensee shall be subject to a citation and fine of up to thirty thousand dollars ($30,000) per individual violation.
commercial cannabis accurate records seven years record maintenance inspection licensee premises department examination provide records interference violation citation fine $30 000 penalty business hours document delivery premises inspection
(Amended by Stats. 2021, Ch. 70, Sec. 77. (AB 141) Effective July 12, 2021. Note: This section was added on Nov. 8, 2016, by initiative Prop. 64.)

Section § 26161

Explanation

In California, whenever cannabis or cannabis products are sold or transported between licensed businesses, a detailed invoice or receipt must be created and kept. This record can be electronic, but it must be easily accessible for officials and separate from other types of sales records. The invoice should include seller and buyer names and addresses, date of sale, invoice number, the type and amount of cannabis, price and discounts, transport details, and whether the products are for medicinal donation, along with any other required details.

(a)CA Business and Professions Code § 26161(a) Every sale or transport of cannabis or cannabis products from one licensee to another licensee must be recorded on a sales invoice or receipt. Sales invoices and receipts may be maintained electronically and must be filed in such manner as to be readily accessible for examination by employees of the department or California Department of Tax and Fee Administration and shall not be commingled with invoices covering other commodities.
(b)CA Business and Professions Code § 26161(b) Each sales invoice required by subdivision (a) shall include the name and address of the seller and shall include the following information:
(1)CA Business and Professions Code § 26161(b)(1) Name and address of the purchaser.
(2)CA Business and Professions Code § 26161(b)(2) Date of sale and invoice number.
(3)CA Business and Professions Code § 26161(b)(3) Kind, quantity, size, and capacity of packages of cannabis or cannabis products sold.
(4)CA Business and Professions Code § 26161(b)(4) The cost to the purchaser, together with any discount applied to the price as shown on the invoice.
(5)CA Business and Professions Code § 26161(b)(5) The place from which transport of the cannabis or cannabis product was made unless transport was made from the premises of the licensee.
(6)CA Business and Professions Code § 26161(b)(6) Whether the cannabis or cannabis products are designated for donation to a medicinal cannabis patient.
(7)CA Business and Professions Code § 26161(b)(7) Any other information specified by the department.
cannabis sales invoice transport of cannabis licensee transactions electronic records invoice details purchaser information product donation California Department of Tax and Fee Administration sales record keeping cannabis products packaging invoice examination information accessibility transport location sale date and number invoice cost and discounts
(Amended by Stats. 2021, Ch. 70, Sec. 78. (AB 141) Effective July 12, 2021. Note: This section was added on Nov. 8, 2016, by initiative Prop. 64.)

Section § 26161.5

Explanation

This law says that if you hold a license, you can't give a customer's personal information to someone else unless it's needed to process their payment, or the customer has agreed to it. You also can't treat a customer badly or refuse them products or services just because they didn't agree to share their information. Personal information here means what is described in another specific law. Certain contractors that provide software services to help complete transactions or check if customers are eligible aren't considered 'third parties' as long as they don't misuse or further distribute personal details. These rules offer more protection for personal data than another related law.

(a)CA Business and Professions Code § 26161.5(a) A licensee shall not disclose a consumer’s personal information to a third party, except to the extent necessary to allow responsibility for payment to be determined and payment to be made or if the consumer has consented to the licensee’s disclosure of the personal information. This section does not prohibit the disclosure of nonpublic personal information to the State of California or a city, county, or city and county to perform official duties pursuant to this division or a local ordinance.
(b)CA Business and Professions Code § 26161.5(b) A licensee shall not discriminate against a consumer, or deny a consumer a product or service, because the consumer has not provided consent, pursuant to subdivision (a), to authorize the licensee to disclose the consumer’s nonpublic personal information to a third party not directly related to the transaction.
(c)CA Business and Professions Code § 26161.5(c) For purposes of this section, “personal information” has the same meaning as defined in subdivision (d) of Section 1798.81.5 of the Civil Code.
(d)CA Business and Professions Code § 26161.5(d) For the purposes of this section, “third party” does not include a contractor providing software services to a licensee for the purpose of conducting a transaction or verifying eligibility, provided that the contractor does not use or retain a consumer’s personal information for any other purpose or share a consumer’s personal information with any party other than the contracting licensee.
(e)CA Business and Professions Code § 26161.5(e) This section provides greater protection to personal information than that provided by Section 1798.81.5 of the Civil Code, which does not apply to licensees under this division pursuant to paragraph (5) of subdivision (e) of Section 1798.81.5 of the Civil Code.
consumer consent personal information protection payment responsibility nonpublic information third-party disclosure discrimination customer information sharing software services contractors greater protection transaction eligibility verification licensee obligations Civil Code Section 1798.81.5 non-discrimination local ordinance compliance contractor usage restriction
(Added by Stats. 2018, Ch. 583, Sec. 1. (AB 2402) Effective January 1, 2019.)

Section § 26162

Explanation

This California law section emphasizes that any information about patients, their medical conditions, and their caregivers collected for specific administrative purposes is confidential and not open to public record requests. However, there are certain exceptions where this information may be shared, such as when state or local authorities need it to fulfill their duties, suspect fraud, or are responding to court orders. Additionally, any disclosure of information should be limited only to what is necessary for an investigation or legal purpose.

(a)CA Business and Professions Code § 26162(a) Information identifying the names of patients, their medical conditions, or the names of their primary caregivers received and contained in records kept by the office or the department for the purposes of administering this chapter are confidential and shall not be disclosed pursuant to the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code), except as necessary for authorized employees of the State of California or any city, county, or city and county to perform official duties pursuant to this chapter, or a local ordinance.
(b)CA Business and Professions Code § 26162(b) Information identifying the names of patients, their medical conditions, or the names of their primary caregivers received and contained in records kept by the department for the purposes of administering this chapter shall be maintained in accordance with Chapter 1 (commencing with Section 123100) of Part 1 of Division 106 of the Health and Safety Code, Part 2.6 (commencing with Section 56) of Division 1 of the Civil Code, and other state and federal laws relating to confidential patient information.
(c)CA Business and Professions Code § 26162(c) Nothing in this section precludes the following:
(1)CA Business and Professions Code § 26162(c)(1) Employees of the department notifying state or local agencies about information submitted to the agency that the employee suspects is falsified or fraudulent.
(2)CA Business and Professions Code § 26162(c)(2) Notifications from the department to state or local agencies about apparent violations of this division or applicable local ordinance.
(3)CA Business and Professions Code § 26162(c)(3) Verification of requests by state or local agencies to confirm licenses and certificates issued by the department or other state agency.
(4)CA Business and Professions Code § 26162(c)(4) Provision of information requested pursuant to a court order or subpoena issued by a court or an administrative agency or local governing body authorized by law to issue subpoenas.
(d)CA Business and Professions Code § 26162(d) Information shall not be disclosed by any state or local agency beyond what is necessary to achieve the goals of a specific investigation, notification, or the parameters of a specific court order or subpoena.
confidential patient information medical conditions confidentiality primary caregivers California Public Records Act falsified information fraudulent records patient privacy protection official duties exemptions state and local agencies court orders subpoenas health and safety code notification to agencies confidentiality exceptions patient records administration
(Amended by Stats. 2022, Ch. 28, Sec. 19. (SB 1380) Effective January 1, 2023.)

Section § 26162.5

Explanation

This section says that medical marijuana ID cards and physician recommendations are considered confidential medical information under California law. They cannot be shared by licensees unless it's for government or official duties, or with a software contractor for verifying transactions. Even then, contractors must not misuse or retain this information for any other purpose or share it with anyone except the licensee who provided it.

(a)CA Business and Professions Code § 26162.5(a) Identification cards issued pursuant to Section 11362.71 of the Health and Safety Code are hereby deemed “medical information” within the meaning of the Confidentiality of Medical Information Act (Part 2.6 (commencing with Section 56) of Division 1 of the Civil Code) and shall not be disclosed by a licensee except as (1) necessary for the State of California or any city, county, or city and county to perform official duties pursuant to this chapter, Part 1 (commencing with Section 6001) and Part 14.5 (commencing with Section 34010) of Division 2 of the Revenue and Taxation Code, or a local ordinance, or (2) to a contractor providing software services to a licensee for the purpose of conducting a transaction or verifying eligibility, provided that the contractor does not use or retain medical information for any other purpose or share information with any party other than the contracting licensee.
(b)CA Business and Professions Code § 26162.5(b) Information contained in a physician’s recommendation issued in accordance with Article 25 (commencing with Section 2525) of Chapter 5 of Division 2 and received by a licensee, including, but not limited to, the name, address, or social security number of the patient, the patient’s medical condition, or the name of the patient’s primary caregiver is hereby deemed “medical information” within the meaning of the Confidentiality of Medical Information Act (Part 2.6 (commencing with Section 56) of Division 1 of the Civil Code) and shall not be disclosed by a licensee except as (1) necessary for the State of California or any city, county, or city and county to perform official duties pursuant to this chapter, Part 1 (commencing with Section 6001) and Part 14.5 (commencing with Section 34010) of Division 2 of the Revenue and Taxation Code, or a local ordinance, or (2) to a contractor providing software services to a licensee for the purpose of conducting a transaction or verifying eligibility, provided that the contractor does not use or retain medical information for any other purpose or share information with any party other than the contracting licensee.
medical marijuana ID cards Confidentiality of Medical Information Act physician's recommendation patient privacy disclosure restrictions government duties software contractor transaction verification licensee obligations medical information confidentiality software services patient data protection
(Amended by Stats. 2019, Ch. 837, Sec. 7. (SB 34) Effective January 1, 2020.)

Section § 26163

Explanation

This section states that if the CalSavers Retirement Savings Board requests it, the department must provide them with specific information about licensees. This includes things like the licensee's name, addresses, tax identification numbers, type of license, license dates, and status. However, the information shared with the Board can only be used to manage the CalSavers Retirement Program.

(a)CA Business and Professions Code § 26163(a) The department shall, upon the request of the CalSavers Retirement Savings Board, furnish to the board, as applicable, the following information with respect to every licensee:
(1)CA Business and Professions Code § 26163(a)(1) Licensee.
(2)CA Business and Professions Code § 26163(a)(2) Licensee’s physical and mailing addresses.
(3)CA Business and Professions Code § 26163(a)(3) Federal employer identification number if the licensee is a partnership, or the licensee’s individual taxpayer identification number or social security number for all other licensees.
(4)CA Business and Professions Code § 26163(a)(4) Type of license.
(5)CA Business and Professions Code § 26163(a)(5) Effective date of license or a renewal.
(6)CA Business and Professions Code § 26163(a)(6) Expiration date of license.
(7)CA Business and Professions Code § 26163(a)(7) Whether license is active or inactive, if known.
(b)CA Business and Professions Code § 26163(b) Information shared with the CalSavers Retirement Savings Board shall be used only for the purposes of administering the CalSavers Retirement Program.
CalSavers Retirement Savings Board licensee information physical and mailing addresses federal employer identification number individual taxpayer identification number social security number type of license license effective date license expiration date active or inactive license CalSavers Retirement Program
(Amended by Stats. 2021, Ch. 70, Sec. 80. (AB 141) Effective July 12, 2021.)