Sandy and Trouble in the Grange by Frank Seltzer
I hope all of you are safe. I know I cannot get through to the mothership in Whippany, NJ…I am guessing the power is out. I do know they left the office early yesterday as Sandy was getting close. I heard Tommy Zman is ok but out of power.. he was helping a neighbor who had a tree fall. No word on the others yet.
But the blog must go on so here it goes.
The company Crowned Heads put out its latest cigar this summer at the IPCPR show. It is called Headley Grange named after a 19th century poorhouse later turned a rock recording studio where in 1971 Led Zeppelin recorded “When the Levee Breaks”. That song was what inspired the new Headley Grange cigar from Crowned Heads. Unfortunately the name is also causing some trouble.
While the company filed for a trademark on the cigar, just before the waiting time was over, someone filed an objection. The National Grange of the Order of Patrons of Husbandry objected. Really? Yup. Apparently this group is called the Grange generically and its main function these days is trying to blackmail coerce groups into paying them for use of the name Grange…never mind that the original Headley Grange was in England starting in the 1795, preceding the U-S grange by nearly 100 years and that the term grange, itself, is about 700 years older than the group. I doubt someone would confuse a cigar with a bunch of farmers…but you see the Grange’s membership is about 1/5th of what it was during its heyday so like patent trolls, the group bullies people with anything that sounds like theirs.
Crowned Heads has filed suit in federal court to fight this mess. The Grange says it has never lost a case and according to the article is spends about 20% of its annual expenses on legal fees or about $200k every year. Nice fee generation for the lawyer but ya know maybe that money could be better used elsewhere unless it generates that much income….but that is just me.
Jon Huber, co-owner of Crowned Heads, said he expects the standoff to be a long and costly process that he wishes could have been avoided altogether.
“It was not our choosing to get into a legal battle with this group,” Huber said. “However, our belief in fighting for what is right and not backing down has reinforced our commitment to stay the course.”
November First
This is the day Michigan’s tax cap on cigars takes effect. Previously, the tax was 32 percent and starting Thursday, the tax will cap out at 50-cents. That is good news.
Also on Thursday, there will unfortunately be a good-bye dinner in Carlsbad, California…good-bye to smoking that is. Starting Friday November 2nd, a new ordinance begin banning smoking on OUTDOOR patios. So on Thursday night, Dee Dee and Gregg Engles of the Oceanside store Cigar Grotto will host one last cigar dinner at Hennessey’s Tavern in Carlsbad.
“We have been hosting cigar socials on the third Thursday of the month for 11 years at (the) Carlsbad Hennessey’s,” said Dee Dee Engels…. The events attract 60 to 70 participants, she said, and for special occasions, sometimes it’s standing room only.
Ok so do the math, say 60 people a week for 11 years spending only $25…that is nearly a million in revenue. But yeah there is no economic impact for smoking bans. By the way, Dee Dee and Gregg also hold cigar dinners in four nearby towns and those will continue so only Carlsbad will be the loser. Sorry Hennessey’s.
One week and counting
Next Tuesday is Election Day. There are a couple of things you should be aware of. In Missouri, Proposition B calls for a 150% increase in the taxes on cigars and pipe tobacco. (There also is a 760% increase on cigarette taxes). The local pols say the tax increase will help fund education and healthcare….they always say that. But the reality is that these tax increases will kill local businesses and as other states have found, the tax increases will force Missouri consumers to buy their products elsewhere.
As I noted at the beginning of the month, it bears repeating for those in Arizona. Richard Carmona is running for the U-S Senate. He is a weasel and must be stopped. Carmona’s opponent is Jeff Flake. Consider helping. Why? Carmona was the Surgeon General under George W. Bush who said Secondhand Smoke is dangerous. (Even though there was not any evidence). Not only that, but Carmona told Congress in testimony that he saw no need for tobacco products in society, but because he wasn’t in Congress, that was not his field. If he gets elected, expect him to push this harder. If you thought S-CHIP and FDA regulation were bad…imaging what would happen if THIS guy got into Congress.
More Kalifornia Kapers
Well Santa Monica has done it. The city council last week approved an ordinance banning smoking in all apartments and condos. Well not really. Just kind of.
Under the law, building owners and condo associations must start conducting a smoking survey of current occupants, who must designate their units either “smoking” or “non-smoking.”
Theoretically, if the units are designated smoking you can continue. The law goes into effect November 22nd. This should be interesting.
