Las Vegas Cannabis Testing Lab Loses License

Less than three months into its legal status, Nevada has suspended the license of a cannabis testing laboratory.

G3 Labs LLC, an analytical testing laboratory focusing on cannabis samples, became the first cannabis industry company to lose its license since recreational cannabis sales went into effect. The Department of Taxation suspended G3’s license last month because the laboratory failed to comply to state law. The suspension is not permanent and licensing can be reinstated with renewed compliance.

“Based on all the information we’ve gathered through the investigation, we’re working with the license to address the issues and get them back into compliance,” said Stephanie Klapstein, spokeswoman for the Department of Taxation, in a statement for The Las Vegas Review-Journal. “Until then, their license will remain suspended, and they cannot operate.”

Klapstein told The Las Vegas Review-Journal that the Nevada Department of Agriculture tested cannabis samples from G3 Labs and found product recalls to be unnecessary. However, further details regarding cannabis products and the license suspension were not provided.

Nevada state law requires that all cannabis industry companies provide product samples for routine testing by licensed independent laboratories. As a process of quality control, the samples are screened for fungi, pesticides and toxic metals. Samples are also tested for potency, ensuring products are consistent for consumers.

The temporary suspension of a cannabis testing lab might be concerning to Las Vegas residents, but Deonne Contine, Executive Director of the Nevada Department of Taxation, says it is a testament to state diligence.

“This is exactly what we were tasked with doing—regulating marijuana businesses to make sure everyone is complying with the laws and rules,” Contine said in a statement for The Las Vegas Review-Journal. “Most of the public focus up to this point has been on who’s getting licensed, but enforcement is a critical part of our work as regulators, and it’s central to the tightly regulated industry the governor has called for.”