Boies in the Hood

U.S. canna brings out the big dog.

Daily Recap

A federal judge scheduled oral arguments in a case filed by U.S. cannabis companies seeking to shield in-state cannabis activity from federal enforcement. The businesses said in their lawsuit that the prohibition of marijuana has “no rational basis,” pointing to officials’ hands-off approach to state-level legalization.

Litigator David Boies, whose prior clients include the Justice Department, former Vice President Al Gore and plaintiffs in the case that led to the invalidation of California’s ban on same-sex marriage, is leading the suit and in-court arguments begin on May 22.

Days of our Lives

The Biden reelection campaign says the Trump administration “took marijuana reform backwards” by rescinding Justice Department guidance that promoted discretion in federal cannabis prosecutions.

The Biden email omitted the fact that cannabis guidance has not been reissued under the current administration despite Attorney General Merrick Garland saying 680 days ago that the DOJ would address the issue “in the days ahead.”

Flight Delay

Congressional lawmakers have abandoned plans to attach a cannabis banking bill to unrelated must-pass aviation legislation, determining that it’s “insufficiently germane,” according to a top industry association that cited sources familiar with the decision.

That might come as a crotch-kick for canna advocates but there are other legislative paths for SAFER Banking this session, including the continued—if not telegraphed—possibility of advancing it as a standalone measure.

“It’s disappointing to be sure, but there will be ample opportunities to pass SAFER in this Congress. Leadership will now reassess and consider whether to advance the bill as a standalone or through one of the lame duck legislative vehicles.” -David Culver

Bhang for the Buck-eye

Ohioans will likely be able to buy recreational marijuana as soon as mid-June, earlier than the timeline outlined by the initiated statute they voted to pass last fall, and the existing medical dispensaries are actively preparing for the state’s green light.

“I've been assured they’ll be reviewed very quickly once they’re filed out and returned, and they will be fairly straightforward applications. That being the case, we could have recreational sales as early as the second week of June.”

Stocks & Stuff

It was an odd day in Cannaland as the space braced for a five-finger Sally that never quite arrived. U.S. cannabis ETF MSOS finished the session +4% to eek out a small gain for the week while the Canucks enjoyed some seasonally green screens, as well.

Below, we’ll chew through today’s price action, preview U.S. canna’s Q124 earnings, dig into the latest SAFER Banking plot twist, check on our levels and otherwise ready for a well-deserved respite, some killer college lacrosse and a Verilife site visit. 🙌

All that and more, just scroll down.

SPY 0.00%↑ QQQ 0.00%↑ IWM 0.00%↑ MSOS 0.00%↑ PT Notional: $113M/$65M

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