or bill The effort to prevent the diversion of illegal cannabis products into New York’s regulated market has been approved by both the House and Senate, moving it to Gov. Kathy Hochul (D) for final approval.

The legislation defines “illegal cannabis” as any cannabis product on which taxes have not been paid, or proceeds from unlicensed individuals or entities. The bill prohibits the practice of subversion by licensees and testing facilities and includes protections for whistleblowers.

In a statement, state Sen. Jeremy Cooney (D), the bill’s sponsor, said the state has made significant strides in building a successful legal cannabis market…but that market can only continue to grow if New Yorkers can trust the source and safety of their products.

“Illegal products are dangerous and unreliable, which is why this bill says enough is enough. It’s time to make sure only legal products hit our shelves, hold bad actors accountable, and maintain the integrity of our legal marketplace.” – Cooney in one press release

The bill would authorize the Office of Cannabis Management to seek suspension orders against licensees or laboratories suspected of diverting cannabis and creates civil penalties of no more than five times the proceeds of the prohibited sale of cannabis.

Minnesota testing lab Legend Technical Services announced last week that it is shutting down its cannabis testing program after state cannabis regulators freeze the license last month, MPR News reports.

Legend was first licensed to test medical cannabis products in 2014, but in 2025, the state temporarily approved the lab to also test adult products to bolster the new market. Officials notified the lab in May that the grace period for its testing methodologies and safety practices had expired.

“We no longer see the Minnesota Cannabis Program fitting into our long-term corporate plans for laboratory and consulting services at LEGEND. Under the current regulatory framework, we do not foresee an ability to continue to meet our customers’ expectations in an economically sustainable manner.” — Written statement from the company, via MPR News

Legend’s cannabis and hemp program manager, Taylor Schertler, said in the report that the company’s decision to close the program came as a surprise, and that he was one of three employees laid off in the process.

Josh Collins, director of communications for Minnesota’s Office of Cannabis Management (OCM), said the agency was “disappointed” to hear the lab was closing its long-standing cannabis department, but said it was important that “all test facility licensees (are) held to the same standards.”

Legend Technical Services also performs testing for environmental purposes and medical devices.