Marc Hauser, Reed Smith.

Reed Smith has brought on Marc Hauser, who recently chaired Napa Valley boutique GVM Law's cannabis law department, to help grow its cannabis law practice.

Hauser moved from Chicago to California's Napa Valley during the winter of 2017, drawn by the Golden State's better weather and thriving wine industry. However, as more states legalize the use of cannabis, the self-proclaimed "wine nerd" has also found himself getting more involved in deals relating to the cannabis industry.

"The legal cannabis industry is still relatively new in this country and quickly changing," Hauser said. "As more investment capital comes in, as competition from the legal Canadian companies comes in, as companies are quickly trying to gain a national presence, as a result, there is a lot of consolidation."

Hauser joined Reed Smith last week as counsel in its global corporate group, and co-vice chair of the global firm's cannabis law team. At Reed Smith, Hauser will represent businesses and investors in the cannabis and hemp industries, advising on transactions and risk-related matters.

"Deals are getting bigger and bigger, the industry is now solidly in the middle market," he explained. "There is an opportunity for national and international firms to help out and provide the kind of legal work that is necessary to get a large deal done.

Hauser began his legal career at Goldberg Kohn in Chicago in 1998, later moving to Sachnoff & Weaver, which merged with Reed Smith in 2006. He then joined Equity Group Investments in 2002, a Chicago-based private investment company founded by Sam Zell, as associate general counsel. He spent 15 years at the investment firm before moving over to Napa's GVM Law.

"I've known Marc for nearly two decades, and I'm thrilled that he has joined Reed Smith," Matt Petersen, co-head of the firm's global corporate group, said in a statement. "Marc is a corporate attorney who has structured and advised on all types of complex transactions, bringing a practical approach to business and risk issues that impact all businesses and investors. His dual perspective, coming from both in-house and in private practice, is a great addition to our strong transactional practice."

Reed Smith, which has been expanding its cannabis law practice on both coasts, now has a total of 19 lawyers advising the cannabis industry, including 16 partners, according to its website.

It's one of several Pennsylvania-based Am Law 100 and Am Law 200 firms that have spent the past few years honing their abilities to service clients in the marijuana industry. Cozen O'Connor, Fox Rothschild, Duane Morris, Pepper Hamilton and Buchanan Ingersoll & Rooney all have formalized cannabis practices.

Last October, Duane Morris announced a partnership with the American Trade Association of Cannabis and Hemp. ATACH promotes the expansion of legal marijuana sales for industrial, medical and adult recreational use, and its members include businesses in the marijuana and hemp industry, as well as established companies looking to enter it. According to both sides, it was the first time a national cannabis trade organization has teamed up with an Am Law 100 law firm.

And late last year, Cozen represented cannabis company Acreage Holdings Inc. in its $160 million acquisition of cannabis manufacturer Form Factory Inc.

But not every Big Law firm has been as eager to jump into the fray.

When Philadelphia-based attorney Alva Mather left Pepper Hamilton for DLA Piper last year, she brought her alcoholic beverage industry practice with her, but left the aspect of her work that had focused on the cannabis industry behind—at least for the time being.

She said at the time that DLA Piper as a firm had decided not to become involved in the growing cannabis industry, as state and federal marijuana laws differ.

"I hope I will just be delaying my involvement in that industry," she said. "Eventually the laws will have to come to some better structure than they are now."

Zack Needles contributed to this report.