Who requires a Medical Marijuana Surety Bond in Louisiana?
The Louisiana Board of Pharmacy has been mandated by Act 261 of the 2015 Louisiana Legislature and Act 96 of the 2016 Louisiana Legislature to regulate medical marijuana distribution. Pharmacies that wish to dispense marijuana for therapeutic use must apply for a license from the board. A medical marijuana pharmacy is defined as a facility, or an area within a facility, that stores, dispenses and sells marijuana. Pharmacies are authorized to sell medical marijuana only to qualifying patients and primary caregivers.
What is a Louisiana Medical Marijuana Surety Bond?
A Louisiana Medical Marijuana Surety Bond, also known as a Louisiana Marijuana Pharmacy Bond, is a $100,000 bond that is required to be posted by medical marijuana pharmacies before a permit to conduct business in the state of Louisiana can be issued. The penal sum can be reduced by $25,000 if certain milestones are achieved. These include providing uninterrupted services without violation for a period of time, as outlined by Chapter 24 – Limited Service Providers, Subchapter E – Marijuana Pharmacy.
What is the purpose of a Louisiana Medical Marijuana Surety Bond?
These license and permit surety bonds guarantee the principal (Marijuana Pharmacy) completes the construction of the pharmacy in a timely manner and operates the pharmacy in accordance with all rules, regulations and laws that govern their operation.
These bonds provide compensation if the marijuana pharmacy does not abide by the terms of the bond. If a claim is filed against the bond and it is found to be valid, the surety company will pay out up to the penal sum of the bond to resolve the claim. Any monies paid out by the surety, including attorney’s fees, must be reimbursed by the principal (marijuana pharmacy) to the surety.
How much does a Louisiana Medical Marijuana Surety Bond cost?
Pricing for Louisiana Medical Marijuana Surety Bonds will differ from applicant to applicant. Your premium will be based on a number of different factors, including:
- Personal credit of the applicant
- Business credit
Individuals with excellent credit can expect to pay 1%-5% of the bond amount. To find out how much your Louisiana Medical Marijuana Surety Bond is going to cost, please complete our online application for your free, no obligation price quote.
Can I get a Louisiana Medical Marijuana Surety Bond with bad credit?
Pacific Surety offers a wide range of approvals, regardless of credit, for Louisiana Medical Marijuana Surety Bonds. With our strong surety relationships, we have the ability to approve 99% of applicants regardless of how bad their credit is, and our knowledgeable underwriting staff will work with you to ensure you receive the lowest possible pricing for your bond. To see what rate you will qualify for, please complete our online application for your free, no obligation price quote.
How do I get a quote for Louisiana Medical Marijuana Surety Bond?
The first step is to complete our quick online application for your free, no obligation bond quote. Submission takes only five minutes, and our underwriting staff will be in contact with you within a couple of hours with pricing. If you prefer to speak with our knowledgeable staff, please call 1-866-722-7873 and one of our Underwriters will assist you in applying for your bond.
After you receive approval, you must sign an indemnity agreement with the surety and provide payment for your bond premium. In most cases, we can issue bonds the same day we receive your signed documents and payment.
How do I get a permit to operate a marijuana pharmacy in Louisiana?
The following is a partial list of items that will need to be submitted to the Louisiana Board of Pharmacy to obtain your permit:
- Completed Application(s)
- Application Fees of $450
- Provide the applicant’s qualifications, experience and industry knowledge developing and operating a marijuana pharmacy
- Criminal background check (CBC)
- Certificate of Authority from the Louisiana Secretary of State
Please consult the Louisiana Board of Pharmacy for a full list of items needed to complete the permitting process.