Verano Holding Corp., along with Massachusetts-based companies Canna Provisions, Wiseacre Farms, and cannabis courier Gyasi Sellers (Plaintiffs) sued the government in the U.S. District Court of Massachusetts on October 26, 2023, arguing that the Controlled Substances Act (CSA) should no longer apply to cannabis because of the federal government’s growing acceptance of legal state markets over the last decade.

Plaintiffs claim that the CSA leaves them unfairly susceptible to legal scrutiny, while also arguing that the CSA should no longer apply to cannabis because of the federal government’s growing acceptance of legal state markets over the last decade.

At the same time, the plaintiffs argue that the law unfairly limits access to federal grants, banking services, payroll services and investments, as well as processing credit cards for purchases. Cannabis operators are often required to deal in large sums of cash, which they argue makes them ripe for robbery, potentially creating a public safety risk.

Last week, the First Circuit Court of Appeals ruled against the group, upholding a lower courts rejection of their lawsuit challenging the federal prohibition of cannabis. 

It is highly likely this matter will be appealed and could be heard by the US Supreme Court. As recently reported in Forbes, Justice Clarence Thomas “has made clear that he thinks it is time the highest court in the land reconsiders the legality of cannabis.”

We will continue to monitor this lawsuit and provide you with updates as they become available.