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New Cannabis Litigation Questions New York’s Compliance with Governing Laws

A new lawsuit recently commenced within the Onondaga County Supreme Court alleges the New York State Office of Cannabis Management (“OCM”) and the New York State Cannabis Control Board (“CCB”) have allegedly handled New York...more

Due Process Arguments in NY Illicit Cannabis Shop Closures May Be Resurrected

Two recent Queens County Supreme Court decisions have shed new light on a business’s due process rights in the circumstance of alleged illicit cannabis sales, store closures and Operation Padlock. Operation Padlock is a...more

NY’s Crackdown on Illicit Cannabis Shops Also Hurting Legitimate Businesses

New York’s recent crackdown on illicit cannabis retailers is achieving its goal of aiding legal cannabis operators, but those being targeted are saying the state is violating their right to due process and killing legitimate...more

Rule Would Subject More Real Estate Transactions to Review

On July 8, 2024, the U.S. Department of the Treasury issued a Notice of Proposed Rulemaking that would expand the geographical areas in which real estate transactions would be subject to Committee on Foreign Investment in the...more

New Marketing and Advertising Rules for New York Cannabis Retailers

New York’s Cannabis Control Board recently approved new rules around cannabis marketing and advertising in a bid to provide legal marijuana operators an advantage over illegal operators. The new rules, which are subject...more

New York’s Crackdown on Illegal Cannabis Sellers Faces Federal Lawsuit

Less than two months after the state unveiled several initiatives to crack down on illegal cannabis sellers, a group of New York City shop owners has filed a class-action lawsuit, claiming the heavy-handed tactics violate...more

Does Rescheduling Cannabis Make it Eligible for Interstate Commerce?

Even with the expected rescheduling of cannabis from a Schedule I drug to a Schedule III drug, it will take more for it to be eligible for interstate commerce. Marijuana would remain subject to provisions of the Food,...more

Hochul Implements Sweeping Leadership Changes at Office of Cannabis Management

Gov. Kathy Hochul has overhauled leadership at the state’s Office of Cannabis Management in an effort to speed up the licensing process, improve communication with applicants and licensees, and reaffirm the state’s commitment...more

Cannabis Receiverships: Alternative Pathway to Bankruptcy in New York

Many cannabis and cannabis-ancillary businesses that have been navigating this newly legal industry have been financially hammered by the years-long delay in the completion of the New York State legal cannabis supply chain....more

DEA Seems Set to Reclassify Cannabis, Help Legal Marijuana Businesses

In a boon to the cannabis industry, the federal government is reclassifying cannabis and easing federal restrictions on the drug, according to news reports. The Drug Enforcement Administration will approve a recommendation...more

NY to Get Aggressive with Illegal Cannabis Shops to Help Legal Retailers

Saddled with court challenges slowing the rollout of its legal cannabis program, New York now wants to move fast when it comes to the illegal marijuana market. Gov. Kathy Hochul recently unveiled several initiatives to...more

President Biden’s Proposals to Spur Affordable Housing Development

More Americans than ever are priced out of the housing market and President Biden has outlined steps his administration is taking to increase development of affordable housing. In the 2024 Economic Report of the...more

Judge Strikes Down New York’s Cannabis Marketing Rules

In a sharp rebuke to New York’s Cannabis Control Board, state Supreme Court judge Kevin R. Bryant dealt a blow to the adult-use cannabis industry when he issued a decision in Leafly Holdings, Inc. et al. v. NYS Office of...more

Can Cannabis Companies Deduct Business Expenses? Two Operators Say Yes

Federal tax relief could be on the horizon for New York cannabis companies with two multistate cannabis operators claiming to have found the secret to escaping the tax obligations imposed by Section 280E of the Internal...more

Real Estate May be the Next Barrier to New York’s Adult-Use Cannabis Market

Despite the approval of 109 new adult-use business licenses Feb. 16, New York’s legal cannabis program continues to face criticism, including backlash that the requirement retailers be 1,000 feet apart is a barrier,...more

More Lawsuits Threaten New York’s Cannabis Licensing Program

A group of women-owned businesses hoping to obtain a retail or microbusiness permit to sell cannabis has asked a court to immediately stop New York state’s current licensing program for retail dispensaries and microbusinesses...more

Yet Another Lawsuit Filed to Temporarily Halt Cannabis Licensing in New York

On December 18, 2023, the day New York’s cannabis regulators wrapped up their initial cannabis licensing application period, the state was hit with yet another lawsuit seeking to halt the licensing of adult-use retail...more

New York’s Cannabis Settlement Blocks New CAURD Licenses Until April 2024

A New York judge approved settling a lawsuit filed by a group of service-disabled veterans, granting the group a provisional license and paving the way for more than 400 provisional licensees to open marijuana dispensaries....more

Cannabis on a Craft Scale: “Microbusiness” License Opens Pathways to Growing Industry

You likely have heard of a craft brewery before. But what about a craft business for cannabis and cannabis products? Enter the “microbusiness”: a unique opportunity for those without access to significant capital to enter New...more

New York State Issues Guidance for Measuring Flowering Plant Canopy by Adult-Use Cannabis Cultivators

The Office of Cannabis Management in New York state has provided further guidance on how adult-use conditional cultivators (AUCCs) must measure and report the square footage of their flowering canopy to remain compliant with...more

Class Action Filed Against One of Country’s Leading Cannabis Real Estate Investment Trusts

Innovative Industrial Properties, Inc. (“IIPR” as listed on the NYSE) is a real estate investment trust (“REIT”) focused on the acquisition, ownership and management of specialized industrial properties leased to experienced,...more

Information Released on Adult-Use Cannabis Excise Tax for Distributors, Retailers

The New York State Department of Taxation and Finance (the “Department”) has created a new webpage addressing the adult-use cannabis product taxation structure, including how to register with the Department, the Department’s...more

New Year’s Eve Marks End of Municipality Opt-Out Window for Cannabis Retail Dispensaries, Consumption

Though New York state’s cannabis market has stalled in recent months, Gov. Kathy Hochul’s arrival in Albany has sparked hope that appointments to the Office of Cannabis Management and Cannabis Control Board will drive the...more

"Opting Out" of Dispensaries and Consumption Sites and Permissive Referendums Under New York’s Marijuana Regulation and Taxation...

The Marijuana Regulation and Taxation Act (“MRTA”) provides towns, villages, and cities an opportunity to opt out of allowing retail dispensaries and on-site consumption licensees to operate within the municipality’s...more

Municipal Guidance On Land Use and Zoning, Cannabis and the Marijuana Regulation and Taxation Act

In a prior legal alert, we explained that under the Marijuana Regulation and Taxation Act (“MRTA”), the Legislature afforded towns, villages, and cities an opportunity to opt-out of allowing retail dispensaries and on-site...more

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