In a case of first impression, a federal court in Arizona is being asked to appoint a receiver for a company that is involved in the cannabis industry and is operating legally under state law but is arguably operating illegally under federal law.  The defendant in that litigation, a company that facilitates credit card payments for cannabis businesses, is arguing that the federal district court should follow the line of bankruptcy cases which have held that relief under the Bankruptcy Code, whether under chapter 11 or chapter 7, is unavailable to companies that are in the non-hemp based cannabis industry.  The plaintiff makes a compelling argument that federal courts have appointed receivers for other companies that are in violation of the law but the distinguishing feature here may be that the industry itself is violating federal law, not simply the specific defendant that is the subject of the lawsuit.  At any rate, it will be interesting to see what this court does and of course we will report as soon as we have a decision.