A court case in Pennsylvania involving the medical marijuana industry could possibly cause ripple effects for cannabis businesses around the country.
Pharma Cann obtained a license from the state of Pennsylvania to open a medical marijuana dispensary near a mall in Philadelphia. However, the owners of the mall sued the company to prevent the dispensary from opening. In their lawsuit, they state that the deed for the property where the dispensary is going to be states that "illegal activity" is not allowed. The mall owners claim that since marijuana is illegal at the federal level, the dispensary would be in violation even if it's permitted under state law.
The thing that's problematic is that the mall owners are attempting to get this case decided in federal court. If the case were to be decided in federal court and Pharma Cann were to lose, that would put marijuana businesses throughout the country in jeopardy. Suddenly any company whose deed contains a similar clause about illegal activity would be at risk to lose their properties..
Pharma Cann is attempting to get the case moved to a lower court for a ruling that wouldn't involve setting federal precedent.
A judge in the case has heard oral arguments and will accept written arguments this week before issuing a ruling.
(h/t CBS Philly)