Legal Issues

The U.S. Supreme Court declined to hear an appeal case brought by California cannabis companies seeking to challenge their severe tax bills under Section 280E due to delayed paperwork.

An appeal of Section 280E of the Internal Revenue Code filed by California-based Harborside Health Center was rejected in the U.S. Circuit Court of Appeals on Thursday.

A federal U.S. Court of Appeals upheld the firing of a Chicago-based former Postal Service employee after they appeared to make an illegal cannabis purchase in 2017.

New Jersey’s highest court ruled this week that a construction company must comp the monthly medical cannabis bill of an injured employee, upholding an appellate court ruling from last year.

Green Thumb Industries is reportedly the subject of a federal investigation over possible pay-to-play violations during the licensing process. The company called the allegations baseless and said it is unaware of any such investigation.

A trademark dispute is brewing between California-based Farmacann, which was founded originally under California’s medical cannabis law, and the Chicago-based multi-state cannabis operator Pharmacann.

Verano Holdings in Chicago is facing a RICO lawsuit for allegedly having an employee illegally transport cannabis clippings from Illinois to Arkansas. The company has called the charges “totally false and absurd.”

California Attorney General Xavier Becerra claimed in a recent court filing that the vast majority of California cannabis companies have no right to due process because they are still operating on provisional licenses.

The maker of Kool-brand cigarettes has sued cannabis company Capna Intellectual, which does business as Bloom Brands, alleging logo infringement and violations of trademark law.

Metrc has lost a second court challenge against the state of Missouri as the company pushes for the right to charge medical cannabis providers for each RFID tracking tag.

South Dakota Gov. Kristi Noem issued an executive order on Friday contending that the cannabis legalization initiative passed by voters in November violated the state’s constitution.

The State Bar of South Dakota said in its latest newsletter that attorneys in the state are not allowed to provide legal services to cannabis industry clients.

The Mississippi Attorney General’s office has submitted court arguments slamming a lawsuit seeking to overturn the state’s massively successful bid to legalize medical cannabis.

Tim Fair is the founder of Vermont Cannabis Solutions and an attorney who advises hemp and cannabis businesses in Vermont and defends individuals accused of cannabis-related crimes.

Colorado CBD firm Folium Biosciences is being sued for allegedly dumping hemp waste including ethanol into the grounds surrounding its facility.

A CBD company is using the famed nature documentary narrator Sir David Attenborough’s name and likeness to promote its company and products without permission.

The FBI last week raided the offices and homes of several California officials as part of an investigation into cannabis-related corruption.

Anti-cannabis activists in Montana have filed a post-election lawsuit against the state’s successful adult-use cannabis legalization ballot measure, claiming its allocation of new funding violates the state constitution.

Under a Michigan Court of Appeals ruling, individuals cannot make butane cannabis extractions and the practice — when done without a license — constitutes the manufacturing of a controlled substance.

A lawsuit against Missouri’s medical cannabis system claims the state-imposed license caps violate Missourians’ constitutional right to farm.

The Massachusetts Supreme Court has ruled that employees who use medical cannabis to treat a work-related injury cannot rely on workers comp insurance to cover it.

Purdue Pharma, the manufacturer of OxyContin, pleaded guilty this week to illegally marketing its deadly and addictive opioid products. As part of its federal settlement, the company faces over $8 billion in penalties.

More cannabis companies are being targeted by class-action lawsuits over automated calls and text messages made potentially in violation of the Federal Telephone Consumer Protection Act.

Colorado cannabis security firm Helix must pay overtime wages after its case was declined by the Supreme Court. The firm had argued that, because cannabis was federally illegal, industry workers were not protected by federal law.