X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.
marijuana growth Source: Shutterstock.

Despite its illegality on the federal level, and a patchwork of legislation at the state and local level, the business of cannabis appears to be booming.

By some estimates, the sector is expected to balloon to $26 billion by 2025. As the industry matures, it has experienced some familiar growing pains: aggressive marketing, overly optimistic projections and some garden variety fraud. This in turn has attracted the attention of both government regulators and private plaintiffs’ lawyers. Investors and industry participants should be aware of these types of claims, as they are not going away any time soon.

Securities Class Actions 

It is a fact of life that publicly traded companies regularly face shareholder securities class actions.  The cannabis industry, including the federally legal (but still regulated) hemp and cannabidiol (CBD) sub-sector, is no different. As cannabis companies mature and leave the hands of early stage private investors to tap the public markets, they will face such claims.

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?

 

Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.