CHICAGO – Greenspoon Marder partner David Standa played a key role in the successful filing of a lawsuit that halted the Minnesota cannabis license lottery. On Monday, Ramsey County District Court Judge Stephen Smith sided with a group of applicants who had been denied access to the state’s social equity pre-approval lottery, ruling that the process lacked clear criteria and left no room for appeals. This ruling marks a significant development in Minnesota’s cannabis industry as the state prepares to launch its adult-use cannabis market in 2025.
The lawsuit challenged the fairness and transparency of the lottery process, arguing that applicants were unfairly denied participation in a process intended to give them a head start in the cannabis industry. Judge Smith’s ruling means the lottery, which was scheduled to narrow over 1,500 applicants down to just 282, will not proceed as planned.
“I am pleased that the court has agreed with our position and halted the lottery. The applicants in this case were simply asking for a fair process—one that provides clear standards and an opportunity to appeal when access to the lottery is denied. Social equity applicants, including those harmed by the War on Drugs, deserve a transparent, just process in securing a foothold in Minnesota’s emerging cannabis industry,” said Standa.
Greenspoon Marder’s Cannabis Law team remains committed to supporting businesses in navigating complex regulatory environments.
