It's Time™️

U.S. canna normalization continues.

Jul 13, 2026

MMJ Rescheduling Legal Update

MMJ International Holdings and co-petitioners are challenging the April 2026 Final Order rescheduling state-licensed medical marijuana and FDA-approved products to Schedule III in the U.S. Court of Appeals for the D.C. Circuit.

They filed a joint motion for stay pending review in June 2026, arguing the order bypasses proper procedures, conflicts with prior D.C. Circuit precedent (e.g., NORML v. DEA), and causes irreparable competitive harm to federally compliant pharmaceutical developers like MMJ who invested years in the FDA/DEA pathway.

State-licensed operators have moved to intervene in support of the DOJ. As of early July 2026, the court has the stay motion, petition for review, and statement of issues; no ruling yet. A granted stay would suspend the order, reverting cannabis to Schedule I and disrupting DEA registrations and 280E relief.

^ We should/could know on the ‘stay’ ruling as early as this/the next few weeks, which should/could be a structural positive.

ALJ Adult-Use Hearings Summary

The DEA’s Administrative Law Judge (Chief ALJ Derek C. Julius) hearings, which began June 29, 2026, in Arlington, VA, address whether remaining botanical cannabis (adult-use, beyond already-rescheduled medical/FDA products) should move to Schedule III.

Focused narrowly on “currently accepted medical use” (CAMU) and abuse potential under the CSA, the government presented science-based support first. Opponents (e.g., SAM, NDASA, states like Nebraska/Indiana, and Dr. Bertha Madras) raised concerns on addiction, youth risks, diversion, and variability, but faced limited cross-examination.

Hearings run through ~July 15, 2026 (no livestream), followed by post-hearing briefs. The ALJ’s non-binding recommendation goes to the DEA Administrator; it builds the record for potential challenges but does not directly legalize adult-use or grant immediate benefits.

These are separate but related federal processes: the stay targets the existing medical rescheduling order, while ALJ hearings examine broader (adult-use) rescheduling.

Stealth Tier-One: Vireo Growth

I had breakfast last week with Vireo Growth CEO John Mazarakis. It was the first time that I’ve had the opportunity to shake his hand. I left there pretty excited about what they’re building and how they’re building it.

I’ve described the C21 takeover (I am on the Board) as a screen pass that has beefy blockers ahead of a field of green. VREO isn’t just under-indexed by endemics, it’s well-positioned to flex when the remaining players in our circle do a 180-degree turn toward real money, who will do the math and sees a more fulsome picture.

Vireo is trading at less than 1x sales and 3x EBITDA, they’re integrating synergistic and accretive assets, and there are no signs that strategy will slow down.“Buy when there’s blood in the streets,” said a smart man once; Maz is doing just that.

Random Thoughts

We were told that $13M MSOS 0.00%↑ redemption last week was floating around for a week prior (we hadn’t heard about it). Was also informed that it “cleaned up” a long seller, although that last part is second-hand smoke.

Been adding VFF 0.00%↑ anywhere near $2. This was a $20-stock five years ago and it’s a better company now.

Ohio YoY growth post hemp ban, per Headset: April ‘26: 32% YoY growth, May ‘26: 22.5% YoY growth, June ‘26: 22% YoY growth.

^ Ohio-specific, or a precursor of 2027 growth across the curve after the Nov. ban?

MSOS 0.00%↑ 200-day morning average is at $4.43