Connect with us

adult use

Class Action Lawsuit Claims ‘Cartel’ Manipulates Missouri Cannabis Industry 

Published

on

Class Action Lawsuit Claims ‘Cartel’ Manipulates Missouri Cannabis Industry 

A class-action lawsuit filed in Missouri alleges that a “cartel” owns, controls or manages an unlawfully high portion of the state’s dispensary licenses and uses that market power to manipulate the market for its own benefit.

The lawsuit by licensed cannabis growers CPC of Missouri-Smithville, LLC and GF Saint Mary LLC alleges that Good Day Farm and a network of companies and investors conspired to invest in limited liability companies that then obtained additional cannabis industry licenses that are actually owned, managed or controlled by Good Day Farm.

Missouri there is a 10% licensing cap written into the adult-use cannabis law, but plaintiffs allege the so-called cartel operates under five different brand names and operates 61 dispensaries in total. The lawsuit alleges that Good Day Farms has 21 distribution licenses and is working with CODES, which operates 20 dispensaries; Greenlight, which operates 10 dispensaries; Fresh Karma, which operates six dispensaries; and 3Fifteen Primo, which operates four dispensaries.

The lawsuit alleges that the companies buy cannabis from unrelated firms at artificially low prices, but their stock from companies they are affiliated with and shut down independently manufactured products from their dispensaries unless the companies agree to their demands.

In a statement, Bob Hoffman, one of the lead lawyers for the lawsuit, said the companies’ actions are “suppressing competition in the wholesale cannabis market and enriching themselves with illegal profits through an unconstitutional and clandestine business conspiracy.”

“Missouri’s growers and producers have suffered under this scheme for too long – many of them know something is wrong, but don’t understand the extent of the Cartel’s market manipulation,” Hoffman said in a press release. “We filed this lawsuit to restore the fair and competitive marketplace that Missourians voted for when they legalized recreational cannabis in 2022.”

The lawsuit names 50 businesses and individuals as accomplices.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

adult use

Missouri Gov. Signs Bill to Align State Hemp Rules with Federal Changes 

Published

on

By

Missouri Gov. Signs Bill to Align State Hemp Rules with Federal Changes 

Missouri Governor Mike Kehoe (R) last week signed into law the Intoxicating Cannabinoid Control Act. In a statement, the governor said “the legislation ensures that Missourians know that products sold in their communities are safe, regulated and kept out of the reach of children.”

“For too long, bad actors have exploited loopholes to market intoxicating products — including candy-like candy or similar products — without meaningful oversight or accountability.” – Kehoe, in one press release

The bill aligns the state definition of hemp with the new federal definition, bringing the regulation of hemp-derived cannabinoid products under existing cannabis regulations.

President Donald Trump (R) on Nov signed an expense bill which included new federal regulations on hemp products that effectively criminalize hemp-derived THC and redefine hemp as “grown for the use of the whole grain, oil, cake, nut, husk, or any other non-cannabinoid compound, derivative, mixture, preparation or manufacture of the seed” and “grown for the purpose of human consumption or other products made from its flesh.” an immature hemp plant grown from seeds that do not exceed” 0.3% THC. The new regime will take effect this November.

Missouri law requires unlicensed entities to cease manufacturing or selling hemp-derived cannabinoid products.

The bill also prohibits cannabis distributors or other authorized parties from keeping records or sharing identifying information of regulated consumers of cannabis products, unless the consumer consents to the creation or retention of records in writing.

TG joined Ganjapreneur in 2014 as a news writer and began hosting the Ganjapreneur podcast in 2016. He is based in upstate New York, where he also teaches media at a local university.

Continue Reading

adult use

Virginia Lawmakers Reject Governor’s Amended Cannabis Sales Proposal

Published

on

By

Virginia Lawmakers Reject Governor’s Amended Cannabis Sales Proposal

The Virginia General Assembly on Thursday rejected changes proposed last week by Gov. Abigail Spanberger (D) to the state’s bill on the sale of adult cannabis. 13 News Now reports.

Instead of adopting the governor’s amendments, lawmakers decided to send the bill back to her desk without making any changes, potentially risking a veto.

Lawmakers approved the proposal in March. However, last week, on the last possible day to take action on the bill, Governor Spanberger, rather than sign or veto the proposal, chose to attach several amendments to the bill and send it back to lawmakers.

The governor’s changes included delaying the market’s opening by six months, until July 1, 2027, reducing the number of retailers initially allowed to open and increasing penalties for criminal behavior.

Meanwhile, lawmakers have complained about the governor’s decision to return a replacement bill rather than line-by-line amendments, as they were forced to consider the changes from an all-or-nothing perspective.

It is not clear whether Spanberger will sign or veto the cannabis sale proposal at this point, or allow it to become law without her signature.

The governor said during her gubernatorial campaign last year that she would sign an adult-use cannabis bill into law if one reached her desk while she was governor.

All previous proposals to legalize the sale of cannabis to adults Virginia were vetoed by former Gov. Glenn Youngkin (R).

Continue Reading

adult use

Massachusetts Cannabis Regulators Pass Cultivation Licensing Freeze

Published

on

By

Massachusetts Cannabis Regulators Pass Cultivation Licensing Freeze

The Massachusetts Cannabis Control Commission (CCC) has voted to implement a four-month moratorium on new cannabis cultivation licenses. Axios reports.

of licensing freezewhich begins June 16, aims to address a trend of falling cannabis prices in the state. The average price of cannabis flowers recently dropped to about $14 for an eighth of an ounce.

The changes will not affect cannabis retailers or microbusiness applications that participate in the state’s social equity program. The licensing freeze will also not apply to existing operators who may wish to increase or decrease their cultivation cover.

The commission voted 3-1 to approve the changes, with Commissioner Bruce Stebbins casting the lone no vote.

Meanwhile, Massachusetts lawmakers recently passed a bill that contains big changes in the cannabis industry’s regulatory structure that includes doubling the purchase limit for adult use and shrinking the CCC to just three members.

Based in Portland, Oregon, Graham is the editor-in-chief of Ganjapreneur. He has been writing about the legalization landscape since 2012 and has contributed to Ganjapreneur since our official launch in…

Continue Reading
Advertisement

Trending

Copyright © 2021 The Art of MaryJane Media