vape liquid

Minnesota Supreme Court Reverses Vape Liquid Conviction

As Minnesota approaches the legalization of marijuana, the Minnesota Supreme Court has just ruled on a case we covered in September 2021.  The case involves the difference between hemp and marijuana and a state prosecutor’s burden to prove what side of the line a leafy or liquid cannabis substance falls. As we explained two years

ada ucra cannabis litigation

California Cannabis Retailer Faces Costly ADA and UCRA Claims

A recent lawsuit filed in California federal court serves as a good reminder to all our readers that it’s so important to be mindful of Title III of the Americans with Disabilities Act (the “ADA”). For the past several years, we’ve seen a steady flow of cases filed against cannabis companies for their alleged failures

cannabis stock promotion scheme

Defendants Move to Dismiss SEC’s Stock Promotion Scheme Lawsuit

Last November, I wrote this post about a recent case filed by the Securities and Exchange Commission naming cannabis industry players for an alleged stock promotion scheme (or, as some call them, anti-touting violations). Last month, the primary individual defendant, Jonathan Mikula, filed a Motion to Dismiss the claims against him. The other individual defendant,

rico

Ninth Circuit Affirms Dismissal of RICO Claims Relating to Cannabis

Well, it looks like cannabis RICO lawsuits are not going to happen any time soon. As an update to this post I wrote in 2020, the Ninth Circuit has just affirmed the dismissal of two RICO claims brought by a cannabis business owner. Background of Shulman v. Kaplan As a quick recap, Plaintiff Francine Shulman

COGS

Oregon Tax Court Rules on Marijuana Grow COGS

For several years one of the biggest problems the cannabis industry has faced is I.R.C. Section 280E. It suffocates the regulated marijuana industry. A recent decision by the Oregon Tax Court addresses Section 280E and what may properly fall under Cost of Goods Sold (“COGS”) in the context of a marijuana grow operation. (See here, here, here, here and here

trademark parody

Cannabis Branding: U.S. Supreme Court Agrees to Hear Parody Trademark Case

Cannabis brands are known for clever branding and advertising. In some instances, this gets cannabis companies in trouble. See Cannabis Trademark Litigation: Wrigley Wins. Sometimes cannabis companies try to hew the parody line when riffing on an existing trademark. See Reminder: The Parody Defense to Trademark Infringement is Tricky. As my cannabis litigation colleague, Jihee

trademark infringement

Edible Arrangements v. Green Thumb Industries: Voluntary Dismissal, For Now

We regularly cover intellectual property disputes on the blog, and the Edible Arrangements v. Green Thumb Industries trademark infringement case is one we covered two years ago when filed. Since then, this case appears to have been moderately active, with the parties engaging in the usual discovery and related motion practice. However, things did take

stock promotion scheme

SEC Targets Cannabis Industry Stock Promotion Scheme

It looks like the Securities and Exchange Commission (SEC) has its eye on the cannabis industry and specifically stock promotion schemes. Last month, the Commission announced charges against two cannabis companies and associated individuals for their involvement in “a fraudulent scheme to promote the securities.” The companies at issue are Elegance Brands Inc., Emerald Health

customs

Court of International Trade OKs “Drug Paraphernalia” Import to Washington

The U.S. Court of International Trade (“CIT”) issued a recent opinion that indicates the import or export of “drug paraphernalia” to or from states where cannabis is legal represents an exception to the federal ban imposed by the Controlled Substances Act (“CSA”). Under 21 U.S.C. § 863(d), “drug paraphernalia” is broadly defined as: any equipment,

illegality defense cannabis litigation

Cannabis Litigation: The Illegality Defense and Damages

Around this time last year, my colleague, Jesse Mondry, wrote about a District of Colorado case, entitled Sensoria, LLC et al. v. Kaweske, et al. , which involved a group of plaintiffs who sought to recover their investment in a cannabis business, Clover Top Holdings. The underlying set of facts involve an all-too-familiar cannabis investment