Medical marijuana is currently legal in 23 states and Washington, DC. Recreational
marijuana is currently legal in two states (Colorado and Washington). In an effort to regulate the new businesses involved in this legalized yet controversial industry, several states have enacted laws that require marijuana surety bonds as a condition of business licensure. These commercial surety bonds are authorized by statute and reflect various regulatory schemes in the states and localities. This means that the bonds in each jurisdiction will have different penal sums and bond conditions. The scope of coverage for each bond will be interpreted consistent with the statute, ordinance, or regulation on which the specific bond is based.
This article briefly discusses some of the current “marijuana surety bond” requirements. What is clear is that various jurisdictions are struggling with how to regulate the industry and what kind of bond mandates should be implemented.