Cannabis

From cultivation to distribution, cannabis businesses encounter the full spectrum of legal risks common to any commercial enterprise, plus additional challenges tied to licensing, regulatory compliance, taxation, and federal–state law conflicts.
Whether the issue centers on contracts, governance, or workplace matters, ADR Global offers cannabis companies a trusted path to resolving disputes swiftly and discreetly.

Cannabis

Cannabis Contract Clauses

ADR Clauses
Clear and enforceable arbitration clauses in your cannabis contracts are essential for resolving disputes efficiently. By establishing a defined forum, rules, and process upfront, cannabis businesses can avoid costly litigation, protect sensitive information, and maintain continuity in a highly regulated industry.
Commercial (U.S. domestic) – Any controversy or claim arising out of or relating to this contract, or the breach thereof, shall be settled by arbitration administered by the ADR Global in accordance with its Commercial [or other] Arbitration Rules, and judgment on the award rendered by the arbitrator(s) may be entered in any court having jurisdiction thereof.

Why Choose ADR Global?

Cannabis companies turn to ADR Global because we offer more than just ADR; we deliver trusted, business‑focused solutions tailored to the unique challenges of the industry
Proven alternative to litigation: With some federal courts declining to hear cannabis‑related cases, ADR Global offers a reliable, enforceable forum for resolving disputes. Our private, expert‑driven process ensures that cannabis businesses have a trusted path to resolution when traditional court options are limited or uncertain.
Faster, more cost‑effective outcomes: Streamlined procedures and focused case management allow many matters to be resolved early, significantly reducing time and expense.
Unmatched neutrality and expertise: Our arbitrators bring extensive experience across commercial sectors and are rigorously vetted to ensure impartial, industry‑agnostic decision‑making — including in cannabis‑related disputes.
Private proceedings: ADRGlobal safeguards sensitive business information through secure, confidential dispute‑resolution processes, ensuring that cannabis‑industry matters are handled discreetly and without public exposure.

Types of Cannibis Disputes We Handle

Cannabis Sales, Supply Chain & Cultivation ContractsIn the cannabis industry, the supply chain is a high-wire act. Between shifting state regulations, the lack of federal banking access, and the biological volatility of cultivation, a single breach in a supply or sales contract can jeopardize an entire business.
Cannabis Confidentiality & Non‑Disclosure Violations In the cannabis industry, confidentiality isn't just a preference—it’s a survival strategy. Because cannabis remains federally illegal, public disclosure of partnership disputes, investment terms, or trade secrets in a public courtroom can trigger regulatory scrutiny, banking "de-risking," or federal enforcement threats.
Construction and real estate disputesBuilding a cannabis facility isn't just a construction project; it’s a high-stakes race against licensing deadlines and regulatory inspections. In the cannabis real estate market, "standard" property disputes are amplified by federal illegality and the specialized technical requirements of cultivation and processing. 
Employment and separation agreementsThe cannabis labor market is at a crossroads. With the federal move toward Schedule III reclassification, the traditional "wild west" of cannabis hiring and firing is being replaced by a sophisticated, highly regulated landscape. Disputes over equity promises, misclassification, and off-duty use can now cost a company its license or its reputation if played out in a public court.
Licensing, joint ventures, and profit-sharingIn the cannabis industry, Joint Ventures (JVs) and Licensing Agreements are the primary engines of growth, allowing capital-rich investors to partner with "license-rich" operators. However, these arrangements are often built on a "handshake" or a rushed contract, leading to complex disputes over profit-sharing, operational control, and regulatory compliance.
Operating, management, and consulting agreements The shift toward Schedule III reclassification has turned the cannabis world upside down—particularly for Operating, Management, and Consulting Agreements. The old "tax-optimization" workarounds that defined the 280E era are becoming liabilities, and as the industry moves from "cowboy culture" to "institutional compliance," management disputes are skyrocketing.
Shareholder actions and IP issues The cannabis industry is undergoing a "Capital Clean-up." With Schedule III reclassification now formally in motion and the November 2025 Total THC Hemp Law tightening the market, shareholder disputes and Intellectual Property (IP) skirmishes have become the primary battlegrounds for corporate control.
Sales, supply chain, and cultivation contracts The cannabis supply chain is navigating a "compliance cliff." While the industry celebrates the December 2025 Executive Order to reschedule marijuana to Schedule III, the immediate reality is a surge in contract friction. With capital tight and pricing pressure at an all-time high, the efficiency of your sales and cultivation agreements is the difference between profitability and insolvency.
ADR Global provides arbitration and mediation services for a broad range of cannabis‑related disputes, including:

Efficient Conflict Resolution

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