Honestly this is ridiculous that CGC is basically allowed to do whatever they decide in these situations with no legal responsibility or hard rules to follow.
To my knowledge, zero other industries allow the company to temporarily take possession of your goods and not be legally responsible for the damages.
I asked CGC months ago to clarify their damage policy for my business plan and they still haven't answered. I stopped submitting due to that and (mainly) horrible, unaddressed quality control issues.
Industry leader, indeed.
Not for long at this rate.