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Torts
Public Nuisance
Unfair Competition

The People of the State of California v. Tony Tsungcheng Huang (aka Tony Huang and Tsungcheng Huang), individually and as managing director of TNS Management Group LLC, et al.

Published: Jan. 26, 2024 | Result Date: Aug. 24, 2023 | Filing Date: Jul. 27, 2022 |

Case number: 22STCV24221 Settlement –  $450,000

Judge

Michael C. Small

Court

Los Angeles County Superior Court


Attorneys

Plaintiff

Anne C. Tremblay
(Office of the City Attorney Los Angeles)

Jennifer A. Lam
(Office of the Los Angeles City Attorney)


Defendant

James W. Spertus
(Spertus, Landes & Umhofer LLP)

Christine M. Adams
(Adams, Duerk & Kamenstein LLP)

Michael G. Freedman
(The Freedman Firm)


Facts

The Los Angeles City Attorney filed suit in Los Angeles Superior against the multiple individual and corporate owners of an unlicensed commercial cannabis store located at 2138 W. Florence Avenue in Los Angeles. The store, located within 700 feet of two elementary schools and a library, received numerous complaints for its illegal sales' activities. The complaint sought abatement, injunctive and equitable relief along with civil penalties for violations of the Los Angeles Municipal codes, public nuisance, health and safety codes, and unfair competition laws.

Contentions

PLAINTIFF'S CONTENTIONS: Plaintiff contended that certain defendant owners hid behind shell entities in order to continue their unlicensed commercial cannabis activity on the property. A series of owners and operators used shell companies and LLCs to shield their involvement.

DEFENDANTS' CONTENTIONS: Defendants denied all material contentions.

Result

The case settled. Defendants were permanently barred from selling cannabis illegally, and ordered to pay $450,000 in civil penalties.


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