New York
Group for small pot farmers sues N.Y. and warns industry ‘at risk of collapse’
The Cannabis Farmers Alliance says the rollout of the retail market “has been disastrous” for participants at all levels of the industry.
A lawsuit filed Monday on behalf of the Cannabis Farmers Alliance accuses the state Office of Cannabis Management and Cannabis Control Board of pushing growers with small operations to the brink of financial ruin as their industry faces potential collapse.
The lawsuit alleges that the “OCM’S rollout of legalized cannabis in New York has been disastrous” and that regulators ignored public concerns about its rules that have handicapped the industry’s early stakeholders, many of whom leveraged nearly all of their assets to invest in a share of the nascent market.
Despite licensed growers’ harvested products being ready for sale, a lack of sufficient retailers has contributed to their financial struggles while an illicit marketplace has boomed across the state over the past three years, even with increased enforcement efforts.
The goal had been for cannabis growers and state regulators to “move in lockstep. However, that is far from the case,” according to the lawsuit.
The distress of the farmers is not unknown to state cannabis regulators, who have previously learned of their troubles during numerous public hearings over the past several years. Many have also described how their mental health has been harmed by their stress that was exacerbated by the bungled rollout. [Read More @ The Albany Times-Union]
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