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Cannabis
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February 23, 2024
NY Clerk Defends Barring Felons From Juries In Dismissal Bid
New York County's commissioner of jurors has urged a federal judge to dismiss a Black public defender's racial bias suit challenging the Manhattan court system's exclusion of people with felony convictions from juries, arguing the attorney fails to allege the exclusion was applied with a discriminatory motive or in a discriminatory way.
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February 23, 2024
Judge Bars Convicted Hemp Co. Exec From Securities Trade
A Manhattan federal judge has barred a hemp company executive from participating in securities trade, after the executive was convicted of fraud and as a suit by the U.S. Securities and Exchange Commission alleging he schemed to misappropriate $1.8 million in investor funds remains pending.
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February 23, 2024
Vaping Co. Attys Get $86K Fees For Contract Suit Win
A Los Angeles judge has awarded $86,334 in fees to attorneys for Germany-based Vaping360 GMBH following the company's $821,040 trial win in a contract dispute over website commissions.
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February 23, 2024
Pot Rescheduling Could Spur Inventory Accounting Change
If cannabis is reclassified to a lower tier under the Controlled Substances Act, it would unlock significant tax benefits for cannabis companies, such as allowing them to take standard business deductions, but they may need to account for their inventories differently to take full advantage.
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February 22, 2024
Bong Co. Can't Win Against Shop That Didn't Appear In Court
The maker of Stündenglass-branded glass infusers shouldn't get a win over a retailer that didn't bother to put up a defense against the manufacturer's trademark infringement suit, a federal court recommended, noting that this is at least the fourth time the company's claims against California smoke shop owners has missed the mark when seeking a default judgment.
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February 22, 2024
'Gullible' Lender Wins $2.8M Judgment Against Cannabis Co.
A businessman who pitched opening a "lucrative cannabis operation" to a lender must pay back the $2.8 million borrowed, a Los Angeles County judge ruled, saying the entrepreneur took "advantage of" the financier's "lack of business sophistication."
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February 22, 2024
Alaska Pot Dispensary Owner Charged With COVID Aid Fraud
An Alaska businesswoman has been indicted on allegations that she used misrepresentations to obtain forgivable loans meant to assist small businesses during the COVID-19 pandemic.
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February 21, 2024
Cannabis CEOs Wasted Wealthy Russian's Money, Suit Claims
Two California businessmen who were given $145 million by a now dead Russian billionaire to begin cannabis growing operations in the state are accused of gross mismanagement and squandering his investment, according to a lawsuit filed in Los Angeles County court.
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February 21, 2024
Judge Won't Strike 'Excessive' $2.3M Tobacco TM Verdict
A federal judge in Atlanta has said he won't reduce a $2.3 million verdict against two Georgia wholesalers of cigarette rolling paper accused of selling knockoffs, saying the jury's determination on the amount of the damages is "something the court cannot second-guess."
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February 21, 2024
Kratom Buyers Say Sellers Hid Opioid-Like Addiction Risks
A pair of kratom users are suing Ashlynn Marketing Group Inc., alleging the company hid the fact that its kratom-based products are addictive in a similar way to opioids while marketing them as safe and natural supplements.
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February 20, 2024
Calif. Tribe Looks To Undo Tobacco Noncompliance Listing
The Twenty-Nine Palms of Mission Indians is suing the U.S. government in California federal court over its decision to place the tribe on a "non-compliant list" under a law that targets illegal tobacco trafficking, arguing that its operations comply with all applicable state laws.
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February 20, 2024
Tenn. Jury Sides With Cops Over Raids On Legal CBD Shops
A Tennessee federal jury rejected claims that a county and local law enforcement engaged in a conspiracy to violate a CBD shop owner's civil rights by raiding and shuttering his and others' stores, despite allegedly knowing that the products he sold were legal under both state and federal law.
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February 20, 2024
Skipped Hearing Sinks Conn. Pot Store Fight, Court Told
A lawsuit seeking to revoke the approval of a cannabis retail permit in Stamford, Connecticut, cannot proceed because a coalition of anti-pot taxpayers followed the wrong process by skipping a public hearing and suing instead, the city's counsel told a state judge during an oral argument on Tuesday.
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February 20, 2024
Pot Cos. Say They'll Be Ruined Unless Detroit Facility Opens
Four cannabis companies have urged a Michigan federal court to prohibit the city of Detroit from taking any action that would impede their $15 million marijuana processing facility from opening, saying they are "in immediate danger of financial ruin" unless they operate the site as planned.
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February 20, 2024
Pot Shop Says Trade Group CEO Bungled License Bid
The leader of a cannabis industry trade group is being accused in a lawsuit of convincing the owner of a dispensary to invest in what he was promised would be a "guaranteed" license to operate another retail location, only to mishandle the process.
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February 16, 2024
Drugs, Sex, Antisemitism Top Complaint Against Calif. Judge
A California state judge is facing an ethics complaint that accuses him of using a cannabis oil vape pen, pantomiming "something similar to a lap dance" on a woman married to a local public defender and repeatedly calling another public defender an antisemitic slur during a camping trip.
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February 16, 2024
ADA Does Not Protect Medical Pot Use, Vt. Court Says
A Vermont transit worker can't pursue a civil rights lawsuit against his employer who terminated him after he tested positive for marijuana, a Vermont federal judge has ruled, saying the Americans with Disabilities Act doesn't protect people with disabilities treated with medical marijuana.
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February 16, 2024
The Congressman Who Reps Cannabis Reform On Capitol Hill
Rep. Earl Blumenauer speaks to Law360 about the prospects for Congress enacting marijuana reform, why he supports moving cannabis to Schedule III and some of the drug policy triumphs and setbacks in his home state of Oregon.
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February 15, 2024
Colo. Cannabis Co. Says It Was Stiffed On $1.4M Seed Bill
A Colorado-based supplier of feminized cannabis seeds is claiming that an Oregon farming company and the private investment bank that backed it have skipped out on a $1.4 million bill, according to a complaint filed in Boulder County District Court.
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February 15, 2024
What Rescheduling Pot Would Mean For Criminal Justice Reform
While federal drug enforcers mull a recommendation from health regulators to loosen restrictions on marijuana, criminal justice reformers are warning that rescheduling the drug would not realize President Joe Biden's campaign promise to decriminalize marijuana.
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February 15, 2024
8 Men Get Jail Time In $2M Hemp Wine Pump-And-Dump Ploy
Ohio federal prosecutors have announced the convictions of eight men charged with participating in a pump-and-dump scheme meant to boost the Global Resource Energy Inc. stock price, which purportedly planned to offer hemp-infused wine.
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February 14, 2024
Energy Co. Says Tribal Court Being Used To Duck $12M Award
Merit Energy Operations is asking a federal district court to block two Wyoming tribes from using the tribal judicial system to vacate a $12.6 million arbitration award against them, saying the move is a blatant attempt to escape the ultimate result in the case.
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February 14, 2024
SEC Says Bankruptcy Doesn't Stop Crowdfunding Fraud Case
Securities regulators are urging a Michigan federal judge to allow them to press on with their claims against the alleged mastermind behind a $2 million crowdfunding scheme — who has since quietly changed his name and allegedly bilked his attorney — arguing that his recent bankruptcy filing shouldn't pause proceedings.
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February 14, 2024
Hemp Seller's Suit Over Ga. Sheriff's Raid Sent To State Court
A lawsuit alleging a Georgia sheriff illegally seized legal cannabis products from a hemp extract company has been sent back to state court after a district judge said a federal probe into the business did not justify keeping the case in his court.
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February 14, 2024
Juul Gets More Antitrust Claims To Arbitration
A California federal judge has sent two more claims against Juul to arbitration and dismissed a request for an injunction to block Altria's already-unwound investment in the company.
Expert Analysis
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How To Protect Atty-Client Privilege While Using Generative AI
When using generative artificial intelligence tools, attorneys should consider several safeguards to avoid breaches or complications in attorney-client privilege, say Antonious Sadek and Christopher Campbell at DLA Piper.
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NY Cannabis Licensing Row Compounds State Industry Woes
A New York trial court’s recent injunction, preventing state regulators from issuing any new cannabis retail licenses, is the latest setback in a program rollout riddled with legal challenges and other delays, and will likely have negative impacts on operators, applicants, consumers and the state economy, say Meaghan Feenan and William Wolfe at Harris Beach.
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How New Lawyers Can Leverage Feedback For Growth
Embracing constructive criticism as a tool for success can help new lawyers accelerate their professional growth and law firms build a culture of continuous improvement, says Katie Aldrich at Fringe Professional Development.
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Series
ESG Around The World: Australia
Clive Cachia and Cathy Ma at K&L Gates detail ESG-reporting policies in Australia and explain how the country is starting to introduce mandatory requirements as ESG performance is increasingly seen as a key investment and corporate differentiator in the fight for global capital.
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In Ga., Promptness Is Key To Setting Aside Default Judgments
The Georgia Court of Appeals' recent vacating of a lower court's decision to set aside a default judgment against Samsung Electronics America is a reminder of the processes and arguments provided by Georgia's statutes for challenging default judgments — including the importance of responding quickly, says Katy Robertson at Swift Currie.
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Twitter Legal Fees Suit Offers Crash Course In Billing Ethics
X Corp.'s suit alleging that Wachtell grossly inflated its fees in the final days of Elon Musk’s Twitter acquisition provides a case study in how firms should protect their reputations by hewing to ethical billing practices and the high standards for professional conduct that govern attorney-client relationships, says Lourdes Fuentes at Karta Legal.
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Opinion
Laws Based On Rapid Drug Tests Are Unscientific And Unfair
Given the widespread legalization of marijuana, states are increasingly implementing laws to penalize drivers under the influence of drugs, but the laws do more harm than good as the rapid tests they rely on do not accurately measure impairment, say Josh Bloom and Henry Miller at the American Council on Science and Health.
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Avoid Telehealth Pitfalls In A Post-Pandemic Environment
As federal and state governments roll out various changes to regulation of telehealth services, health practitioners should remain vigilant and ensure that necessary professional standards — such as proper note-taking and documentation — are not neglected in a remote environment, say attorneys at Kaufman Borgeest.
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3rd Circ. Ruling Fine-Tunes The 'But It's Hemp' Defense
The Third Circuit’s recent U.S. v. Rivera decision, upholding the appellant’s conviction for marijuana possession, clarifies that defendants charged with trafficking marijuana have the burden of proving that the cannabis is actually federally legal hemp under the 2018 Farm Bill, say attorneys at McGlinchey Stafford.
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ABA's Money-Laundering Resolution Is A Balancing Act
While the American Bar Association’s recently passed resolution recognizes a lawyer's duty to discontinue representation that could facilitate money laundering and other fraudulent activity, it preserves, at least for now, the delicate balance of judicial, state-based regulation of the legal profession and the sanctity of the attorney-client relationship, say attorneys at Ballard Spahr.
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Law Firm Professional Development Steps To Thrive In AI Era
As generative artificial intelligence tools rapidly evolve, professional development leaders are instrumental in preparing law firms for the paradigm shifts ahead, and should consider three strategies to help empower legal talent with the skills required to succeed in an increasingly complex technological landscape, say Steve Gluckman and Anusia Gillespie at SkillBurst Interactive.
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Conn. Regulators Are Coming For Unlawful Cannabis Sales
Regulatory and enforcement efforts against unlicensed cannabis sales in Connecticut have been ramping up this year, so it behooves retailers to prioritize compliance with all relevant statutes, lest they attract unwelcome scrutiny, says Eric Del Pozo at Shipman & Goodwin.
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Potential Marijuana Status Change Would Shift Industry Risks
Cannabis companies and their insurers should pay close attention to how the U.S. Department of Health and Human Services' move toward marijuana reclassification plays out, and the potential for a shakeup in the landscape for cannabis regulation at the state and federal levels, says Ian Stewart at Wilson Elser.
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The Basics Of Being A Knowledge Management Attorney
Excerpt from Practical Guidance
Michael Lehet at Ogletree Deakins discusses the role of knowledge management attorneys at law firms, the common tasks they perform and practical tips for lawyers who may be considering becoming one.
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What Big Tobacco's Cannabis Investments Mean For Market
The tobacco industry appears to be shoring up investments in the cannabis market, most recently with Philip Morris’ purchase of an Israeli cannabis tech company, pointing to a bright future for vaped and noncombustible products, and signaling that marijuana rescheduling may be on the horizon, say Slates Veazey and Whitt Steineker at Bradley Arant.