The Los Angeles-based company, MedMen, recently completed an acquisition in Emeryville, California and now has one of only two adult-use licenses in the Emeryville area. They are planning further expansion in 2019. The Emeryville dispensary plans to open in East Bay in 2019. In addition to eight other dispensary listings in Southern California, MedMen operates in: Arizona, Nevada (3 locations), and New York (4 locations). The company also holds licenses that give them the power to operate up to 70 facilities in 12 different states. They aggressively support progressive marijuana laws and lead the industry in terms of assets and operations in the U.S.
The company is also facing their fair share of trouble; listed as the defendant in a class action suit filed on behalf of two former employees of the West Hollywood dispensary located at 8208 Santa Monica Boulevard. The class action lawsuit could potentially include about 100 employees (current and former).
The West Hollywood location holds a medical cannabis license has been granted a temporary license to sell recreational marijuana pending the allocation of permanent recreational cannabis licenses that are scheduled for December 18th, 2018. The lawsuit alleges that the business violated a number of employment laws regarding employee work hours, wages and required breaks. For instance, the company required that their workers work overtime hours without paying them overtime wages. The company also allegedly failed to give breaks required by California state employment law. Workers also allege that the company failed to provide accurate payroll records.
The lawsuit holds the potential for fines/payouts to employees totaling $50 for their first pay period during which they were underpaid and $100 for each additional pay period during which they were underpaid. MedMen has faced similar claims of employment law violations in the past. In fact, California MedMen employees have also filed claims that the company made paycheck deductions for tips paid by credit/debit cards. In some cases, the practice even resulted in negative paychecks.
If you are not being paid overtime wages or if you need to discuss California wage and hour law with an experienced California employment law attorney, please get in touch with us at Blumenthal Nordrehaug Bhowmik De Blouw LLP.