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Writer's pictureDavid B. Feder, Esq

You can't have your cake and eat it too.



You can't have your cake and eat it too. If you're doing business based upon the LEGAL status of #cannabis, don't expect to also remain protected from lawsuits based upon the ILLEGAL status of cannabis.


While Federal courts continue to be a dicey place for Plaintiffs suing on cannabis related disputes, some Fed courts are starting to shift in the right direction.


"Helix moved to dismiss the claim, arguing that its employee was not entitled to protection under the FLSA because cannabis is illegal under the CSA. The court disagreed, holding the FLSA indeed applies to cannabis businesses: “employers are not excused from complying with federal laws just because their business practices are federally prohibited.” The court further noted that its holding was consistent with that of Greenwood v. Green Leaf Lab LLC (D. Or. July 13, 2017), which addressed precisely the same issue."


This Judge should get a lot of credit for being bold, and hopefully paving the way for other Judges to follow in suit.


As long as the Federal government is not actively shutting down cannabis businesses, it is CRITICAL that the Federal courts remain available as an option to enforce cannabis-related business agreements and prevent bad people and bad companies from getting away with bad behavior.


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