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Cannabis
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July 01, 2024
Court Tosses Constitutional Challenge To Pot Prohibition
A Massachusetts federal judge on Monday granted the U.S. Department of Justice's bid to dismiss a constitutional challenge to federal marijuana prohibition, delivering a blow to an effort brought by a group of cannabis companies represented by litigator David Boies.
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July 01, 2024
Starbucks Targets 'Starbuds' Marijuana Truck In IP Suit
Starbucks has filed a trademark suit against the operator of a repurposed New York City food truck that sells marijuana under the brand Starbuds Flowers and uses an altered image of the coffee giant's iconic siren logo smoking a joint.
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July 01, 2024
SD Ban On Modified Hemp Products Allowed To Take Effect
A new South Dakota state law prohibiting the processing of hemp derivatives into intoxicating products was allowed to go into effect Monday after a federal judge declined to grant an injunction halting its enforcement while a constitutional challenge played out.
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July 01, 2024
Catching Up With Delaware's Chancery Court
Two multimillion-dollar settlement approvals, a $25 million fee-shifting demand, and a biotech merger spoiled by murder: This was just the beginning of the drama last week in the nation's preeminent court of equity. Shareholders in satellite companies filed new cases, a cannabis company headed toward trial, and there were new developments in old disputes involving Tesla and Truth Social.
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July 01, 2024
Judge Won't Block Iowa Hemp Law Regulating THC Limits
An Iowa law that imposes new restrictions on products with hemp-derived THC went into effect Monday after a federal judge, who previously expressed "serious concerns" about the statute's constitutionality, declined to grant a temporary restraining order halting its enforcement.
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June 28, 2024
Chevron's End Is Just The Start For Energized Agency Foes
By knocking down a powerful precedent that has towered over administrative law for 40 years, the U.S. Supreme Court's right wing Friday gave a crowning achievement to anti-agency attorneys. But for those attorneys, the achievement is merely a means to an end, and experts expect a litigation blitzkrieg to materialize quickly in the aftermath.
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June 28, 2024
R.I. Pot Residency Rule Unconstitutional, Fla. Resident Claims
Rhode Island is hogging all the "enormous economic opportunities" associated with retail cannabis for state residents, according to a federal lawsuit filed by a Florida entrepreneur who claims the Ocean State's residency requirement is unconstitutional.
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June 28, 2024
Iowa's Hemp Law Could Be 'Unconstitutionally Vague'
A federal judge on Friday suggested she'd consider blocking an Iowa hemp law, set to go into effect Monday, which would impose new restrictions on THC levels and dole out criminal penalties, saying the statute "potentially raises due process concerns."
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June 28, 2024
In Chevron Case, Justices Trade One Unknown For Another
The U.S. Supreme Court's decision to overrule a decades-old judicial deference doctrine may cause the "eternal fog of uncertainty" surrounding federal agency actions to dissipate and level the playing field in challenges of government policies, but lawyers warn it raises new questions over what rules courts must follow and how judges will implement them.
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June 28, 2024
Conn. Court Shouldn't Hear Anti-Dispensary Appeal, City Says
A Connecticut appeals court should not hear a case brought by an anti-cannabis organization in Stamford that is trying to undo a court-approved settlement that allowed for the opening of a dispensary, the city's Zoning Board has argued.
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June 28, 2024
Chancery Court, Not Accountant, To Resolve Curaleaf Dispute
A post-merger dispute between cannabis dispensary giant Curaleaf and the former owner of a multistate cannabis operation it acquired in 2022 must be resolved by Delaware's Court of Chancery and not an independent accountant, the court's chancellor said Friday.
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June 28, 2024
Buttigieg Says Rescheduling Pot Would Not Alter DOT Policy
If the U.S. Department of Justice were to loosen federal restrictions on marijuana as it has proposed, it would not affect the U.S. Department of Transportation's authority to screen for the drug, Transportation Secretary Pete Buttigieg told members of Congress.
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June 28, 2024
Nationwide Cert. Rejected In Suit Over Stolen Curaleaf Tips
An Illinois federal judge conditionally certified a class of Curaleaf hourly employees in Illinois, Arizona and Massachusetts, but denied a bid to certify a nationwide class of all Curaleaf hourly employees "based on pure speculation," in a suit alleging managers at its cannabis dispensary locations around the country stole the contents of tip jars.
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June 28, 2024
IRS Reminds Marijuana Businesses They Can't Get Tax Breaks
The Internal Revenue Service sought to remind taxpayers Friday that businesses selling marijuana, even in states where it's legal, are not entitled to federal tax deductions, saying some taxpayers are filing invalid claims for refunds through amended returns.
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June 28, 2024
High Court Enters July With 3 Rulings To Go
In a rare move, the U.S. Supreme Court will issue opinions into the beginning of July as the court tries to clear its merits docket of three remaining cases dealing with presidential immunity, whether governments can control social media platforms' content moderation policies and the appropriate deadline to challenge agency action.
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June 28, 2024
Supreme Court Strikes Down Chevron Deference
The U.S. Supreme Court on Friday overturned a decades-old precedent that instructed judges about when they could defer to federal agencies' interpretations of law in rulemaking, depriving courts of a commonly used analytic tool and leaving lots of questions about what comes next.
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June 27, 2024
Roche Freedman, Ousted Ex-Partner Settle Ahead Of July Trial
The law firm formerly known as Roche Freedman LLP and ousted partner Jason Cyrulnik informed a New York federal judge Thursday they've cut a confidential deal to resolve their contentious legal battle over Cyrulnik's departure, ending the litigation weeks before the case was set to go to a jury trial.
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June 27, 2024
CBD Cos. Say Iowa Hemp Law Could Destroy State Industry
A slew of hemp retailers, farmers, manufacturers and distributors urged a federal judge to block a law allowing the state to impose new rules over the hemp industry, set to go into effect Monday, saying the regulations would wipe out "the entire consumable hemp industry in Iowa."
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June 27, 2024
NY Regulators Say Pot Companies' Bid Would Ruin Industry
New York's cannabis authority has urged a state court to toss a lawsuit seeking to invalidate hundreds of retail permits over claims that the agency gave special treatment to certain applicants, arguing that granting such a request would be "financially ruinous" for many and detrimental to the "emerging retail cannabis industry."
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June 27, 2024
SD State's Atty Agrees Not To Enforce Hemp Law
A South Dakota hemp company challenging a new state ban on the processing of hemp derivatives into intoxicating products has agreed to drop its claims against a local state's attorney in exchange for her agreement not to enforce the policy while the lawsuit plays out.
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June 27, 2024
Cannabis Co. Settles Lender Suit After Regulator Delays
Troubled cannabis company Parallel settled a suit with three lenders who alleged a "self-dealing scheme" within the company after spending about a year trying to finalize the agreement and clear regulatory hurdles in various states.
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June 26, 2024
Gas Co. Settles Fired Hemp User's Disability Bias Suit
An industrial gas manufacturer agreed to settle a worker's suit previously revived by the Sixth Circuit claiming he was illegally fired after he tested positive for marijuana, results that he said were false and derived from his use of legal hemp to treat pain following cancer surgery.
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June 26, 2024
Calif. Investors Drop Fraud Suit Against Cannabis Group
Three Southern California businessmen who claim to have invested $9.1 million into a cannabis operation only to see no returns have pulled back their lawsuit against the company before it had a chance to answer.
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June 26, 2024
Disabled Patients Can't Access Psilocybin, Ore. Suit Claims
A group of psilocybin facilitators are suing the Oregon Health Authority in federal court, alleging that the state's treatment program's refusal to let them administer the drug in places other than specific service centers violates the Americans with Disabilities Act.
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June 26, 2024
Akerman Adds Foley Hoag Corporate Atty In DC
Akerman hired a competition counsel from Foley Hoag LLP in Washington who spent the past four and half years representing clients in a range of antitrust matters.
Expert Analysis
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What Justices' Pork Ruling Means For Interstate Cannabis
The U.S. Supreme Court’s recent National Pork v. Ross ruling added a new wrinkle to dormant commerce clause jurisprudence as the nation’s federal courts grapple with a novel paradox raised by interstate cannabis commerce, and pending appellate cases may shed additional light on these issues later this year, say Tommy Tobin and Andrew Kline at Perkins Coie.
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In-Office Engagement Is Essential To Associate Development
As law firms develop return-to-office policies that allow hybrid work arrangements, they should incorporate the specific types of in-person engagement likely to help associates develop attributes common among successful firm leaders, says Liisa Thomas at Sheppard Mullin.
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Complex Hemp Processes Need Nimble Regulatory Approach
Since the 2018 Farm Bill legalized hemp and certain hemp-derived products, THC limits have presented different issues at each stage of the complex production process, revealing the need for continued adjustments and flexible regulations as Congress deliberates the 2023 Farm Bill, says David Kouba at Arnold & Porter.
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Perspectives
A Judge's Pitch To Revive The Jury Trial
Ohio state Judge Pierre Bergeron explains how the decline of the jury trial threatens public confidence in the judiciary and even democracy as a whole, and he offers ideas to restore this sacred right.
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Opinion
Calif. Policymakers Should Aid Crashing Cannabis Market
As California’s cannabis sector nears the brink of financial collapse, it may be time for the state government to seriously consider potential bailout programs for the embattled industry — though the crisis also presents strategic buying opportunities for those with a high tolerance for uncertainty, says Michelle Mabugat at Greenberg Glusker.
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How To Recognize And Recover From Lawyer Loneliness
Law can be one of the loneliest professions, but there are practical steps that attorneys and their managers can take to help themselves and their peers improve their emotional health, strengthen their social bonds and protect their performance, says psychologist and attorney Traci Cipriano.
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Opinion
Litigation Funding Disclosure Should Be Mandatory
Despite the Appellate Rules Committee's recent deferral of the issue of requiring third-party litigation funding disclosure, such a mandate is necessary to ensure the even-handed administration of justice across all cases, says David Levitt at Hinshaw.
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Recalling USWNT's Legal PR Playbook Amid World Cup Bid
As the U.S. Women's National Soccer Team strives to take home another World Cup trophy, their 2022 pay equity settlement with the U.S. Soccer Federation serves as a good reminder that winning in the court of public opinion can be more powerful than a victory inside the courtroom, says Hector Valle at Vianovo.
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NYC Cannabis Landlord Accountability Law Has Limitations
A recently passed bill in New York City, aiming to crack down on the illegal cannabis market by levying fines against landlords who knowingly lease to unlicensed sellers, contains loopholes that may potentially limit the bill’s impact and lead to unintended consequences, say attorneys at Falcon Rappaport.
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Perspectives
Mallory Gives Plaintiffs A Better Shot At Justice
Critics of the U.S. Supreme Court's recent decision in Mallory v. Norfolk Southern claim it opens the door to litigation tourism, but the ruling simply gives plaintiffs more options — enabling them to seek justice against major corporations in the best possible court, say Rayna Kessler and Ethan Seidenberg at Robins Kaplan.
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Cannabis Cos. Must Heed PFAS Risks In Products, Packaging
Cannabis businesses and ancillary service providers will have to grapple with evolving PFAS enforcement, litigation and regulations – most recently enacted in Minnesota – and take steps to mitigate risks posed by forever chemicals in their products and packaging, say Malina Dumas and Amy Rubenstein at Dentons.
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Courts Can Overturn Deficient State Regulations, Too
While suits challenging federal regulations have become commonplace, such cases against state agencies are virtually nonexistent, but many states have provisions that allow litigants to bring suit for regulations with inadequate cost-benefit analyses, says Reeve Bull at the Virginia Office of Regulatory Management.
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Tales From The Trenches Of Remote Depositions
As practitioners continue to conduct depositions remotely in the post-pandemic world, these virtual environments are rife with opportunities for improper behavior such as witness coaching, scripted testimony and a general lack of civility — but there are methods to prevent and combat these behaviors, say Jennifer Gibbs and Bennett Moss at Zelle.
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Employer Drug-Testing Policies Must Evolve With State Law
As multistate employers face ongoing challenges in drafting consistent marijuana testing policies due to the evolving patchwork of state laws, they should note some emerging patterns among local and state statutes to ensure compliance in different jurisdictions, say attorneys at Troutman Pepper.
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Blunders That Made 'Bakked' Cannabis TM Go Up In Smoke
The Trademark Trial and Appeal Board’s recent denial of National Concessions Group’s application to register the mark “BAKKED” illustrates mistakes that cannabis companies must be wary of in pursuing federal registration as examiners may look beyond the four corners of an application, say attorneys at Seyfarth.