Good morning and happy Monday.
Back at it! We’ve got a jam-packed newsletter for you to start off the week.
First, Chris breaks down Curaleaf’s legal victory and what it means for labor in cannabis. And then, we have an exclusive on Platform Cannabis Advisor’s $1.2 million funding round.
All that, plus our webinar with Sweed coming up on Thursday. Be sure to register: From first visit to repeat customer - a playbook for dispensary growth »
-JB, JR, CC
Today’s newsletter is 1,207 words or about a 10-minute read.
THIS NEWSLETTER MADE POSSIBLE BY:
💡 What’s the big deal?
UNIONS
Federal judge hands Curaleaf key victory in labor peace fight
What happened: A U.S. District Court judge in New Jersey last week handed Curaleaf a key victory that could cause widespread changes regarding labor agreements in the industry.
Judge Michael A. Shipp ruled that New Jersey cannabis businesses were forced to waive certain federal rights under the National Labor Relations Act (NLRA) as part of the process to renew annual licenses in the state.
That includes requirements for cannabis businesses to sign labor peace agreements with labor unions and to negotiate collective bargaining agreements within 200 days of opening, the Cannabis Business Times reports.
Zoom in: Curaleaf cited federal law under the NLRA, arguing it was required to stay neutral to union organizing, couldn’t make negative comments about unions, and had to allow unions at its work sites and access to employees.
Curaleaf operates three dispensaries in the state and has both processing and cultivation licenses. It employs about 200 full-time workers and 40 part-time employees, according to Cannabis Business Times.
Why it matters: The ruling could clear the way for other cannabis businesses in the state and elsewhere to file similar challenges, which could ultimately lift labor union pact requirements in several states with sizable retail operations, including California, New York, Connecticut and Rhode Island, among others.
The New Jersey Cannabis Regulatory Commission filed a notice late last week planning to appeal the decision, Law360 first reported.
Curaleaf filed a lawsuit against the CRC last year after the regulator issued $610,000 in civil fines for operating without a labor peace agreement and threatened to revoke its license. The company is also involved in another contentious battle to acquire Aurora Cannabis via a hostile takeover. $CURLF ( ▼ 2.07% ) $ACB ( ▼ 2.9% )
-CC
🗯️ Quotable
“The THC thing…Here's what Texas doesn't understand. You will f*ck this place up and you will turn the whole thing blue,” podcaster Joe Rogan said last week of Texas’ effort to rein in hemp-derived THC.
“Kids will turn on you if you tell them they can't smoke weed. They know weed's not killing anybody!”
🚀 Deals, launches, partnerships
PCA raises $1.2M to bankroll independent cannabis retail in New York 💰
Exclusive: Platform Cannabis Advisors (PCA), which funds and operates the real estate and back office for independent cannabis retailers in New York, closed a $1.2 million funding round from outside investors split between equity and some debt, CEO and cofounder Ben Sheridan told Cultivated.
PCA holds the head lease on each store and lends startup and working capital interest free.
Retail clients keep the license, equity and run the business, and don’t have to put up their own capital to open. PCA is paid 10% of revenue, out of which it covers rent and its services. Eleven stores are open under the model, three of them opened this year, with two more in build and additional locations in the pipeline.
License holders are often profitable before PCA breaks even. There's no license collateral involved and nothing plant touching.
Sheridan credits the fundraise to successful cannabis industry tailwinds: momentum on federal rescheduling, growing confidence in the direction of New York's market, and PCA's own track record with client stores.
-JB
Join Sweed and Cultivated for a candid conversation with retail leaders from Nova Farms and Black Canna as we explore what it takes to turn first-time visitors into loyal, repeat customers.
Together, we'll discuss:
- Local visibility and discoverability
- Customer acquisition strategies that drive traffic
- Conversion opportunities that increase retention and lifetime value
You'll leave with practical ideas you can put to work right away to improve how customers find your dispensary, what they experience once they're there, and why they keep coming back.
Moderator:
Brad Cross, CRO, Sweed
Panelists:
- Matt Davidson, Vice President of Retail and Marketing, Nova Farms
- Larry Leggett, Founder, Black Canna
- Jay Rosenthal, Co-Founder & Managing Director, Cultivated
⏩ Quick hits
San Luis Obispo County reverses cannabis tax hike after weeks of blowback ⚖️
San Luis Obispo County will roll back its cannabis tax to 6% starting Oct. 1, after supervisors let it automatically climb to 8% on July 1. Operators still owe the higher rate through the end of September, and it's the second time county officials have reversed course on the tax.
Michigan lawmaker moves to kill state's 24% cannabis tax 💰
State Rep. James DeSana introduced a bill to eliminate Michigan's 24% wholesale cannabis tax, which was projected to bring in $420 million a year for roads but generated just under $34 million in the first third of this year. Road officials are pushing back: the County Road Association of Michigan says the state already faces a $2.3 billion annual shortfall in road funding, and losing the cannabis money could stall local projects.
Ohio's cannabis market tops $1.5 billion in sales as it enters year three 🏈
Ohio's recreational cannabis market has generated more than $1.58 billion in sales since launching in August 2024, with average flower prices down about 30% over that stretch. That's still well behind Michigan ($3.49B) and California ($4.06B) in 2025 alone, but Ohio's sales grew 26% over the past year, one of the fastest paces in the country.
Talarico keeps hammering Paxton on hemp 🐂
Texas Senate candidate James Talarico is accusing opponent Ken Paxton of backing the state's hemp-derived THC ban to benefit campaign donors in the alcohol and tobacco industries, arguing the crackdown just pushes consumers to the illicit market. We covered how the wedge-issue bet could help him with swing voters last week.
🔬 Science & Research
Most "hemp" Delta 9-THC edibles couldn't actually be made from hemp 🌿
A new study in the Journal of Studies on Alcohol and Drugs found 80% of Δ9-THC edibles marketed as compliant 2018 Farm Bill hemp products would require mathematically impossible amounts of hemp material to hit their labeled THC content, with the typical product needing 160% more cannabis mass than it has room for.
New study finds inhaled cannabis linked to fewer irregular heartbeats 💙
A UCSF trial in the Journal of the American College of Cardiology had 108 regular users alternate two weeks of cannabis with two weeks of abstinence, tracked by heart monitor, and found cannabis days actually came with fewer irregular heartbeats, not more. Researchers caution the effect may reflect withdrawal rather than cannabis itself.
📰 What we’re reading
Hawaiʻi’s Intoxicating Hemp Market Has Gone Up In Smoke | Honolulu Civil Beat
American Weed Is Going Global. Europe Is Not Ready. | The New York Times