Takeaways
- A federal court ruled that Oregon’s labor peace agreement requirement for cannabis businesses is preempted by the NLRA.
- This decision could prompt legal challenges to similar laws in other states.
In an ironic turn of events this week, the application of federal law benefited state-licensed cannabis businesses in Oregon—and potentially nationwide. Those involved with the cannabis industry often view federal law as an impediment to cannabis businesses, given the ongoing federal illegality of cannabis and the extremely burdensome federal tax obligations created by Section 280E of the tax code. However, the National Labor Relations Act (“NLRA”) and the body of federal case law that has sprung up around it worked to nullify an Oregon ballot initiative that would have improperly restricted licensed cannabis operators from discussing the pros and cons of unionization with their workforces.Continue Reading Federal Labor Law Preempts State’s Attempt to Regulate Union Activity in Cannabis Industry