A recent U.S. bankruptcy court opinion out of the Central District of California may have cracked the door open for companies formerly tied to the cannabis industry to pursue legal strategies using bankruptcy. Federal prohibitions on cannabis have complicated the industry’s entitlement to legal protections, including chapter 11 bankruptcy. Judge Neil W.

The realities of a COVID-19-impacted economy have seen more and more businesses closing their doors. For landlords with commercial tenants, that means the possibility of facing multiple tenants going through bankruptcy proceedings as the ongoing and unpredictable effects of the pandemic come to bear.

Introduction

First appeared in Law360, (November 13, 2018)