Take the strain out of your search...tm

Lawsuit alleges California cannabis tech firm Eaze broke US law with marketing solicitations

mjbizdaily.com
Date:
Wednesday, May 16, 2018

One of the biggest facilitators of marijuana deliveries in California faces a possible class-action lawsuit that one Bay Area attorney says could threaten the company’s existence.

Farrah Williams, of San Diego, filed suit against San Francisco-based Eaze Solutions on May 2, alleging the delivery business violated federal law by spamming her and other customers with unsolicited text-message marketing.

Eaze is a technology company that is not licensed to engage in commercial cannabis activity but, rather, contends it acts as an intermediary by taking orders online from customers and facilitating deliveries from retail partners.

The firm operates in more than 100 cities in California and has reached over 300,000 customers since its founding in 2014, according to the lawsuit.

The company has raised $52 million – much of that through venture capital financing – and turned itself into a cannabis industry force.

But Eaze’s status could be jeopardized if Williams’ lawsuit succeeds – although success isn’t a sure bet.

The case also could have wide-ranging ramifications for an industry whose marketing avenues already are limited and heavily scrutinized.

Bank of America agreed to a $32 million TCPA settlement in 2014. 81