The Cannabis Laws of the 2025 California Legislative Session

Daily Journal — media coverage of Shay Aaron Gilmore.

In this bylined article for the Los Angeles / San Francisco Daily Journal, Shay Aaron Gilmore provides his annual authoritative review of the cannabis and hemp laws enacted during California’s 2025 legislative session — a session he characterizes as one of the most significant overhauls of the industry since legalization. Continuing a series of annual legislative reviews that have made Gilmore a go-to voice for California cannabis practitioners, the article analyzes each key bill that became law, notes the notable measures that did not, and explains what the changes mean for operators, investors, and their counsel.

The article’s centerpiece is AB 8, which delivers a fundamental reset on the rules for hemp-derived cannabinoids. Gilmore explains that, starting January 1, 2028, any product containing concentrated cannabinoids (except CBD isolate and CBN isolate) derived from industrial hemp must comply with full cannabis licensing, testing, and safety standards under MAUCRSA — a change that collapses much of the regulatory gap between hemp and cannabis and forces hemp operators to plan for a dramatically different compliance environment. He details the accompanying bans on most synthetic, inhalable, or psychoactive hemp products and the restrictions on the forms permitted in foods and beverages.

Gilmore then analyzes AB 564’s temporary excise-tax relief — reducing the state cannabis excise tax from 19% back to 15% from October 2025 until May 2028 — and its cash-flow significance for struggling operators. He devotes substantial attention to the new online-marketplace enforcement regime, which requires platforms to disclose their policies on unlicensed listings, provide public reporting mechanisms, and face civil liability (including treble damages where minors are harmed and penalties up to $500,000 per violation) when they substantially contribute to illegal transactions. The article also covers the expedited controlled-substances research framework and the temporary Bagley-Keene exemptions that accompany it.

Written for a legal audience, the piece combines precise statutory analysis with practical counseling insight, helping attorneys understand not just what the law now says but how to advise clients in light of it. It reflects Gilmore’s standing as a named authority whose annual Daily Journal legislative reviews are relied upon across the California cannabis bar.