The recent filing for Canadian bankruptcy by cannabis company Green Growth Brands is perhaps another sign that U.S-based multistate operators are looking north for potential solutions amid increasing distress in the industry.
While such protection remains out of reach in the U.S. because of marijuana’s federal illegality, Canadian law is an option to explore even as it remains unclear exactly what avenues are available.
Green Growth’s move appears to be based on the reality of its parent company being an Ontario-based entity even as the company’s assets are largely licensed in the U.S.
However, the ultimate exit from bankruptcy appears murky because of competing lawsuits and state bankruptcy cases for the company in places like Ohio and Florida, said Jeff Schultz, partner at New York-based Feuerstein Kulick.
Read more at cannatechtoday.com