Rudy J. Cerone

Jul 26, 2024 | jdsupra.com | McGlinchey Stafford |Rudy J. Cerone

With few exceptions, a cannabis-related business (CRB) will be denied access to relief under the U.S. Bankruptcy Code (11 U.S.C. § 101, et seq.) (Bankruptcy Code) because marijuana remains a controlled substance under the federal Controlled Substances Act (21 U.S.C. 801, et seq.) (CSA). Even if cannabis is rescheduled from Schedule I to Schedule III, the rationale of the cases denying bankruptcy access still would apply.