the remaining two we'll keep pushing >> pushing that starteded with this letter mailed to dave armstrong at medimarts. it reads in part medimarts has been disqualified from the city's process to register and it must immediately cease all operations. >> i haven't seen it i haven't read it. it has not been served to me. we do not receive correspondence. via u.s. mail. >> across town at the all-american cannabis club city leaders earlier this month and following our official report issued a $30,000 citation for code violations. against the building's landlord. >> what they're trying to do is force our landlords to evict us so had he don't have to take legal actions. >> pressure on both pot shops stems from their decisions to not pay the required marijuana business tax. >> that's about the time in between harvest. >> both have made legal and semantic arguments that had paying the tax places them in violation are federal pot laws and opens the door for possible criminal hhharges. >> debit or credit? >> are you confident your doors will be open in 60, 90 days? >> no. you know it's really one o

we're just going to keep pushing. >> reporter: this was mailed to dave armstrong. it reads in mart, medimart has been disqualified from the city's process to register and, it must immediately cease all operations. >> i haven't seen it, i haven't read it. it has not been e-mailed to me, it has not been served to me. we do not receive correspondence via u.s. mail. >> reporter: across town at the all american cannabis club, city leaders earlier this month and following our initial report issued a $30,000 citation for code violations against the building's landlord. >> really what they're trying to do is trying to force our landlords to evict us so they don't have to take legal action. >> reporter: pressure on both pot shops stems from their decisions to not pay the required marijuana business tax. >> that's about the time in between harvest. >> reporter: both have made legal and semantic arguments that paying the tax places them in violation with federal pot laws and opens the door for possible criminal charges. >> debit or credit. >> reporter: are you confident your

. >> dave armstrong serves as president and ceo of medi marts, a marijuana collective on san jose's east side. >> there's a large population in the city of san jose who wants us here. and we're going to stay here. >> and dave founded the all-american cannabis club on san jose's west side. combined, both businesses owe the city more than a million dollars in unpaid marijuana business taxes and penalties. >> in the months since the mayor and the two pot shop owners made those statements, san jose has responded aggressively. increasing the pressure to put both pot shops out of business. >> they basically said in front of a camera just like that they're not going anywhere. >> we've been successful in shutting down 21 of the 23 dispensaries that are operating in locations where they're ineligible to under the rules. the remaining two, we're going to keep pushing. >> pushing that started with this letter written on march 9th and mailed to dave armstrong. it reads in part medimarts has been disqualified from the city's process to register and it must immediately cease all operations. >> i haven

. >> reporter: dave armstrong serves as the president and ceo of medi mart. >> there is a large population of san jose who wants us here and we are going to be staying here. >> reporter: and dave hodges founded the cannabis club on the east side and both owe the city in more than $1 million in marijuana taxes and penalties. in the month since the mayor and the two pot shopowners made those statements san jose has responded aggressively increasing the pressure to put both pots shops out of business. they have basically said in front of the camera just like that they are not going anywhere. >> and we have been successful in shutting down 21 of the 23 dispensaries that are operating in locations where they are in ineligible to in the rules, and the remaining two, we will keep pushing. >> reporter: and pushing with this letter march 9th, apdnd mailed to dave at medimart saying that they have been disqualified from registering to the city and must immediately cease all operations. >> i have not seen it or read it, and it has not been e-mailed to me or served to me, and we do not receive corresp

. >> reporter: dave armstrong serves as president and ceo of medi mart a marijuana collective on sanse's east side. >> there is a large population in the city of san jose who"h wants us here. and we're going to stay here. >> reporter: and dave hodges founded the all american cannabis club on san jose's west side. combined, both businesses owe the city more than a million dollars in unpaid marijuana business taxes and penalties. >> so we have very big -- >> reporter: in the month since the mayor and the two pot shop owners made those statements san jose:=cúç has responded aggressively, increasing the pressure to put both pot shops out of business. >> they basically said in front of a camera just like that, they're not going anywhere. we've been successful in shutting down 21 of the 23 dispensaries that are!"/ operating in locations where they're hcç-x ineligible to enter the rules. the remaining two, we're just going to keep pushing. >> reporter: pushing thatkk1 @&háhp &hc% started with this letter writteì reads in part they have been disqualified and mu immediately cease all opera