This browser is not actively supported anymore. For the best passle experience, we strongly recommend you upgrade your browser.
viewpoints
Welcome to Reed Smith's viewpoints — timely commentary from our lawyers on topics relevant to your business and wider industry. Browse to see the latest news and subscribe to receive updates on topics that matter to you, directly to your mailbox.
| less than a minute read

Hemp in bankruptcy

As a followup to my February 5th posting (link), I wrote this yesterday: “Presumably, since industrial hemp is no longer a controlled substance under the Controlled Substances Act, the same result would not apply to a company working only with hemp, but so far I have not seen any reported cases.

Well, just this morning, the news has crossed the wires that GenCanna, a Kentucky-based hemp company, has filed for bankruptcy protection under Chapter 11 with the U.S. Bankruptcy Court in the Eastern District of Kentucky (link). I will be watching this case closely, as will my colleagues, to see if the Bankruptcy Court even addresses the question of whether a hemp-only company can take advantage of U.S. Bankruptcy protection.

Tags

cannabis, bankruptcy, restructuring & insolvency

Latest Insights