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DOJ Seeks Dismissal Of Cannabis Industry Lawsuit Challenging Federal Marijuana Prohibition

Author: Nina Zdinjak | January 23, 2024 11:16am

In response to a lawsuit against U.S. Attorney General Merrick Garland challenging federal marijuana prohibition in state markets, the Justice Department (DOJ) plans to request dismissal. The lawsuit argues that continued prohibition harms businesses and public safety, while denying them financial services and tax benefits granted to other industries, reported Marijuana Moment.

The lawsuit seeks to confirm the rights of Massachusetts and other states to regulate cannabis within their borders and to confirm the corresponding limits on the federal government’s power to regulate commerce. It argues that prohibition in state markets is unconstitutional and creates public safety risks among many other concerns. 

The plaintiffs consist of local independent operators in Massachusetts, whose operations have been challenged due to federal prohibition. Those include Gyasi Sellers, CEO and founder of Treevit, Canna Provisions and Wiseacre Farm as well as Verano Holdings (OTCQX:VRNOF), Ascend Wellness Holdings Inc (OTCQX:AAWH), Green Thumb Industries Inc (OTCQX:GTBIF) and TerrAscend (OTCQX:TSNDF), Eminence Capital and Poseidon Investment Management. 

The DOJ further noted in the motion that it is asking permission to submit a 25-age memorandum, five pages longer than the general rules. 

"The memorandum will present legal argument on multiple issues of constitutional law," it says. "Defendant respectfully submits that the five additional pages will allow Defendant to present this case in a manner that permits meaningful review of the issues and will assist the Court in its resolution of this matter."

The latest development on this important battle for the marijuana industry comes amid the Drug Enforcement Administration's (DEA) review of cannabis status in the Control Substances list, following the recent revelation that the Department of Health and Human Services (HHS) has recommended the DEA reschedule cannabis as Schedule III under the Controlled Substances Act.

Read more at Marijuana Moment

Related links: Marijuana Reclassification And DEA: Congressional Report Outlines Rescheduling Limits

Photo: Benzinga edit with images by United States Department of Justice via Wikimedia Commons, KATRIN BOLOVTSOVA via Pexels, and Clker-Free-Vector-Images via Pixabay

Posted In: AAWH GTBIF TSNDF VRNOF

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