The owners of medical marijuana delivery service SpeedWeed insisted on Monday that their business remains operational.
The company sent out a press release in response to an announcement Friday from Los Angeles City Attorney Mike Feuer that his office would shut down the service in early June because it violated Prop D, a voter-approved initiative from 2013. SpeedWeed agreed to the injunction that shuts the business down as of June 6, a spokesman for the city attorney's office said.
Proposition D, put on the ballot by action of the Los Angeles City Council, limits the number of dispensaries to the 135 that have been in continuous operation since September 2007 and bans home delivery of medical marijuana.
The company’s response took issue with Prop D, which it said puts the medical marijuana industry in Los Angeles in the hands of a limited number of dispensaries and is inconsistent with state laws, including the Medical Marijuana Regulation and Safety Act signed into law last year.
“L.A. citizens are unaware of the unintended consequences of this unjust, obscure and very dangerous zoning rule,” the release said.
SpeedWeed, founded in 2011 as a co-op, has about 25,000 customers in Los Angeles and Orange counties to whom it delivers medical marijuana from dispensaries.
At the end of March, SpeedWeed announced it would be acquired by Aquarius Cannabis, in Woodland Hills. Since then, however, that deal has been cancelled.
“We decided to step away from the deal with Aquarius because the timing wasn’t right,” SpeedWeed co-founder AJ Gentile said in an email to the Business Journal. “However, we still believe in Aquarius’ vision and will continue to carry their products on our menu.”
Aquarius licenses out its brand name to marijuana growers who sell the pot directly to dispensaries.