Stiiizy sues SF equity partner – Newsletter 10/23/26

Hi all,

Happy Friday. Let’s get to it.

Alex

FROM WEEDWEEK

BREAKING: Stiiizy sues SF equity partner

A Stiiizy affiliate sued a social equity partner alleging he is not owed any distribution payments for his ownership of a San Francisco dispensary because the store, which opened in 2021, has never made a profit.

Read the story

Also in WeedWeek:

• Newsbrief: Oregon CEO indicted for federal tax fraud
• Newsbrief: Polls suggest Massachusetts will keep REC legal
• Congressman asks FBI for help combating illegal NorCal grows

Send tips, press releases, concerns, feedback and criticism to hello@weedweek.com. Sensitive material to share? Contact Alex on Signal.

QUICK HITS

Federal:

• The DEA administrative law judge overseeing the rescheduling hearing denied rescheduling opponents’ request to reopen the hearing but will allow new briefs.
  Marijuana Moment
• The feds indicted Democrat L.Louise Lucas, president pro tempore of the Virginia senate, for drug trafficking “as part of a long running corruption investigation” involving a family cannabis business. U.S. Attorney General Todd Blanche emphasized that it was not an attempt to ‘micromanage’ state markets.
  Washington Post, Marijuana Moment
• The Supreme Court will consider the constitutionality of the federal ban on home distilling.

Business:

• A federal judge’s ruling that leading MSO Curaleaf doesn’t have to honor a $31.8M payment to a Michigan farm because cannabis is federally illegal, is forcing operators to assess their contracts. Norml has asked the court to reconsider the ruling.
  MJBiz, Detroit Metro Times
• Acquisitive MSO Vireo deepened its position in Florida.
  Palatka Daily News
• The National Restaurant Association has lobbied to modify the coming hemp ban, with hemp drinks creating an estimated $1.6B opportunity for restaurants. Some liquor stores say they plan to continue selling hemp drinks, and may make adjustments for federal illegality.
  The Marijuana Herald, KMSP (Fox, Minnesota)
• Struggling growers are betting on the AI data center buildout, Forbes reports.
• StockAlpha.ai weighed in on the 70% decline in Glass House stock since it uplisted to the New York Stock Exchange in June. Glass House reported earnings and said one of its directors has resigned.
• The Nasdaq extended Safe Harbor Financial’s compliance deadline by 180 days.
• A study suggests price is the deciding factor in where cannabis consumers buy.
  ABC (San Diego)
• You can now vote on Cannabis & Tech Today‘s Cannatech Innovation Award.

State and local:

• Colorado regulators failed to protect consumers from potential product contamination, an audit finds.
  Denver Gazette, ProPublica
• If Massachusetts repeals, what would it mean for industry relations with the music business?
  Boston Globe
• New York retailers are shrinking their orders due to the state requirement for unpaid net-30 invoices be reported.
  MJBiz
• Cultivated reports on New York regulator John Kagia’s bid to reshape the state market.
• Weeks before the federal hemp ban takes effect, Delaware allows liquor stores to sell THC drinks.
• Only one of four licensed Nebraska MED growers has plants in the ground. It might be two years before sales begin.
  Nebraska Public Media

Health and science:

• Reform advocate and Harvard physician Dr. Peter Grinspoon says it’s time to re-examine cannabis use disorder.

International:

• A study asks how many Europeans have tried cannabis, by country.
  European Drug Report

Upcoming:

• Law firm Blank Rome’s 10th annual state of the industry conference convenes Monday in Boston.

Fun and interesting:

• Many hotels avoid “this seemingly normal room number.” Bet you can guess it.
  Islands.com

CALIFORNIA HITS

State:

• Canna Law Blog looks at three new state laws, and how operators can stay compliant.
• Former director of the Department of Cannabis Control(DCC), Nicole Elliott, is leading gubernatorial candidate Xavier Becerra’s (D) transition planning, the New York Post reports.

Business:

• Equity licenses account for 17% of retailers in the state, a consultancy found.
• Sacramento-based Natura reached $100M in revenue.
  Sacramento Business Journal
• A California man is suing carmaker Rivian alleging his was wrongly fired for failing a pot test, despite not being impaired.
  Law360

Local:

• Siskiyou’s sheriff said the county wouldn’t receive state funding to fight illegal grows since the county, population 41,000, hadn’t authorized dispensaries in unincorporated areas. The sheriff has long highlighted problems with illegal grows in the remote region.
  KRCR (ABC), WeedWeek
• West Hollywood is hosting an event to celebrate thirty years of legal MED.
  WeHo Times
• National City bet on weed, but lawsuits and slow sales have posed challenges.
  Voice of San Diego
• Retailer Crystal Nugs is planning a lounge in Sacramento’s Midtown neighborhood.
  WhatNow