Our Cannabis Industry Group is a full service practice that works with entrepreneurs and companies of all sizes and at all life cycle stages. We work to identify strategies and solutions to help our clients achieve financial and structural growth, all while keeping a keen eye on the special risks and liability considerations inherent to a newly regulated industry.
Visit our Cannabis Industry Legal Services page for more information about our cannabis industry expertise.
Tonkon Torp Wins Arbitration for Cannabis Farm Manager
Tonkon Torp has secured an award of $647k for a cannabis farm management company based on its work in 2017. 2017 was the first year a large number of outdoor cannabis farms were licensed by the OLCC. This combined with favorable weather conditions resulted in a record bumper crop, and the wholesale price of sungrown cannabis dropped by more than half.
When outside investors flexed their power to terminate the founder of a vertically integrated Oregon cannabis company and maneuvered to make her shares worthless, Tonkon Torp brought claims for breach of fiduciary duty and shareholder oppression, ultimately obtaining a favorable buy-out for Tonkon's client.
LLC Member Dispute
When majority owners tried to squeeze Tonkon Torp's client out by forcing sale of the land where the company planned to obtain an OLCC cannabis producer's license, Tonkon brought counterclaims for minority oppression and obtained a settlement where Tonkon's client obtained all of the majority's interest in the company and the land.
Obtained dismissal of civil Racketeering Influenced & Corrupt Organizations ("RICO") Act claims asserted in federal court based on our clients' state law-compliant medical marijuana activities.
Breach of Contract
Obtained favorable settlement for landowner who provided land and financing for OMMP cannabis production operation after the grower failed to share profits as agreed.