Blog article part 1: Ten Myths About Cannabis Clubs and Why You Should Not Believe Them

Starting a cannabis club sounds exciting, but there are numerous myths that often discourage potential founders. These myths are often half-truths or deliberate misinformation stemming from political campaigns or a lack of understanding.

In this article, we’ll tackle ten of the most common myths and explain why they don’t hold up in reality.

Reality: The revocation of a cannabis cultivation license is only possible under strict legal conditions. From an administrative law perspective, cannabis cultivation licenses are considered favorable administrative acts that enjoy trust protection. Revocation is only possible under stringent conditions and even then, only for the future. Every decision would need to withstand judicial review.

Fact: A subsequent change in the law does not automatically invalidate existing cannabis cultivation licenses. As long as such licenses were granted lawfully, the cannabis club owners can be assured it remains valid.

Reality: Germany’s legalization aligns with the global trend toward progressive drug policies. Reversing legalization would be politically and legally challenging. The legislative process is lengthy and requires majority support in both the German parliament and state council (Bundestag and Bundesrat). A 180-degree shift in cannabis policy is unlikely, especially since CDU/CSU would likely need a coalition partner from the current governmental coalition, forcing them to make compromises. Campaign rhetoric does not necessarily translate into drastic policy changes.

Fact: “More bark than bite.” The CDU/CSU uses cannabis prohibition as an election issue, but actual changes are likely to be much more moderate, such as stricter controls or quantity limits. Existing cannabis cultivation licenses will remain unaffected.

Reality: The demand for safe, legal alternatives to the black market is steadily increasing. Cannabis clubs offer consumers an attractive, regulated environment to access tested cannabis.

Fact: It’s estimated that over 1,000 cannabis cultivation associations will be formed in Germany in the first year alone to meet the needs of approximately 1.48 million regular cannabis consumers. To reach the maximum membership limit of 500 people per club, at least 2,960 associations would be required. Including occasional users, this number could rise even further. Already, around 400 applications for cultivation licenses have been submitted, despite the regulations only taking effect on 1 July 2024.

Reality: License revocation is a case-by-case decision that is subject to administrative and judicial review. Courts evaluate whether the public interest in enforcing a new regulation outweighs the legitimate trust of cannabis cultivation license holders. Investments and other trust-worthy actions are carefully considered for the benefit of the club owner. A simple law change or government shift is not sufficient to justify the revocation of such a license.

Fact: Arbitrary revocations are not possible. Judicial oversight ensures that license holders are protected from unjustified actions, further solidifying the legal security of the cannabis cultivation license.

Reality: If financial losses occur due to the revocation of a valid cannabis cultivation license, authorities are required to provide compensation. Investments, as a form of legitimate trust, are particularly protected. The law ensures that associations are shielded from disproportionate interventions.

Fact: In the rare case of license withdrawal, compensation for financial losses is guaranteed under German administration law, especially if investment decisions have already been made.

Reality: While preparing to apply for a cannabis cultivation license requires effort, the requirements are clearly outlined. Key steps include forming a registered association and creating essential documents like youth and health protection plans for the license application.

Fact: With the tools and templates offered by the Cannabis Law Academy, every club owner can approach the process efficiently and at its own pace.
Need help starting your cannabis club? Book a free consultation at www.cannabis-law-academy.de/kontakt.

Reality: Cannabis clubs provide a legal and regulated alternative to the black market. Strict rules and regulatory oversight ensure quality and deter illegal practices. With growing public support for legalization, the scope for radical policy reversals is increasingly limited.

Fact: Cannabis clubs actively combat the black market by offering consumers a safe and trustworthy source.

Reality: As long as a cannabis club complies with the law, members face no legal risks. Clubs provide a secure and legal platform for collective cannabis cultivation and distribution among members.

Fact: Members who follow the rules are fully protected under the law.

Reality: Cannabis clubs adhere to strict cultivation methods and quality controls. In nearly all German states, cannabis clubs are required to submit quality assurance plans as part of their application process.

Fact: Cannabis grown in clubs often exceeds the quality of homegrown cannabis due to regulatory standards and professional cultivation practices.

Reality: Various institutions and platforms, such as the Cannabis Law Academy, offer legal guidance and practical templates for starting and running cannabis clubs.

Fact: With professional support, you can ensure your club meets all legal requirements. At the Cannabis Law Academy, we also help you establish and manage profitable third-party service companies to operate in compliance with the German Recreational Cannabis Act.
Want to learn more about founding a third-party service company? Book a free consultation with our experts at www.cannabis-law-academy.de/kontakt.

The myths surrounding cannabis clubs often stem from misinformation. Germany’s legal framework provides a solid foundation for starting and operating cannabis clubs. With the right preparation and support, you can confidently ensure your club’s success and compliance.
The Cannabis Law Academy is here to assist you—from founding your association to applying for your cannabis cultivation license. Visit us at www.cannabis-law-academy.de or email us at info@cannabis-law-academy.de, and let’s bring your cannabis club across the finish line to a cultivation license together.


Stay Tuned for Part 2
In the next article, we’ll explain why now is the perfect time to apply for a cannabis cultivation license and secure it for the next seven years. We’ll also show why these licenses will remain valid, even in the event of a government change. Stay connected for more insights on starting and running cannabis clubs!

German Version