The U.S. Court of Appeals for the Ninth Circuit rejected a request by the Department of Justice to dismiss a bankruptcy filing for a Washington state landlord who rented property to a state-licensed cannabis cultivator.
The trustee noted that cannabis remains federally illegal.
The appeals court, however, affirmed Cook’s filing in a ruling that could provide some guidance about how companies that serve the marijuana industry might navigate the bankruptcy process, the Journal noted.
This bankruptcy case and an earlier one involving an Oregon woman who worked for a cannabis staffing agency reflect some of the larger questions swirling around the DOJ’s overall policies as they apply to individuals whose income is connected to the cannabis space.
To read more about the ruling, click here.