Trulieve Cannabis Corp. announced that the company has filed a lawsuit suit to collect on a $23.8 million loan from two Ohio borrowers. “Trulieve is owed $23.8 million, and we will now exercise our right to collect it,” the company said in a statement. “We are acting to recover debt accumulated by Harvest of Ohio and Harvest Grows.”
“These companies entered into several agreements with Harvest Health & Recreation, Inc., a former public cannabis company acquired by Trulieve in October 2021,” said the company. “We agreed to loan them money, and they agreed to pay us back, yet they have not paid a penny.”
The first loans were originally agreed to on February 5, 2020, with a payment date of September 14, 2022, and the 15th extension of the loans expires this month. Trulieve said the debt includes expenses such as capital expenses, operating expenses, cash funding, payroll for employees, licensing fees, and rent for facilities.
The repayment obligation on the first promissory note matured in September 2022, and Trulieve said the company “agreed to extend the due date for the loans and gave these companies 15 extensions while attempting to negotiate a resolution.”
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