🌿 New York cannabis retailers sue OCM, Michigan bans ex-cops from cannabis industry, and former Benzinga execs launch cannabis company

Happy Friday Pre Rollers! Welcome to another edition of The Pre Roll, the cannabis newsletter that keeps you up-to-date on the industry happenings you need to know.

Here’s what we’re rolling up this week:

• New York cannabis retailers sue OCM

• Michigan bans ex-cops from cannabis industry

• Former Benzinga execs launch cannabis company

…and more. Let’s get to it.

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🚨 ROLL CALL

Policy

Legal action. A group of 12 New York City cannabis dispensaries is suing the New York State Office of Cannabis Management (OCM) to block enforcement of a newly reinterpreted rule that measures proximity to schools from the property line instead of the entrance. In July, the OCM sent a notice to more than 150 cannabis retail businesses stating that they are in violation of state law for this infraction.

The lawsuit argues the rule change was unfair, lacked public notice, denies due process, and threatens the state’s social equity goals. The petitioners are seeking a court declaration to preserve their licenses and operations under the prior standard.

News

Lifetime ban. Three former police officers who founded Viridis Laboratories have been permanently banned from Michigan's cannabis industry following a settlement with the Cannabis Regulatory Agency (CRA) after a years-long legal dispute.

The company was accused of failing to comply with proper procedures for cannabis potency testing, inflating THC potency levels, and downplaying safety hazards in cannabis products. These practices led to the largest product recall in Michigan's history in 2021. Viridis was previously one of the largest cannabis testing companies in the state.

Business

Launch party. The team behind Benzinga Cannabis has launched IgniteIt, a new independent media and events company focused on the cannabis industry. Led by Benzinga alums Jason Raznick, Patrick Lane, Elliot Lane, and Javier Hasse, IgniteIt aims to combine sharp editorial coverage with high-impact events.

The spin-off is a completely separate entity that is not affiliated with Benzinga, and now owns The Cannabis Capital Conference, The Cannabis Market Spotlight series, The Cannabis Daily newsletter, and an expansive library of cannabis-related insights, interviews, and reporting.

🇺🇸 STATE OF THE INDUSTRY

Arizona: Cannabis sales fell for the second straight quarter in Q2  amid the steepest decline since legalization.

Minnesota: Governor Tim Walz appointed Eric Taubel, who has been serving in an interim capacity, to become the permanent executive director of the Office of Cannabis Management.

Ohio: Recreational cannabis sales exceeded $702.5 million in the first year, with nearly 110,000 pounds sold.

💼 BUSINESS

Canopy USA names new executive team

The U.S. based holding company of Canadian cannabis giant Canopy Growth unveiled Casey Rash as Chief Financial Officer, Rebecca Kirk as Chief Operating Officer, and Kelly Flores as Chief Business Development Officer to drive its U.S. business expansion.

🤝 DEALS

TILT sells Massachusetts dispensaries

The multi-state operator completed the sale of two of its Commonwealth Alternative Care locations to In Good Health for $1.75 million, with the Taunton location continuing operations under the new owner and the Brockton dispensary being shut down.

💻 TECH

Metrc rolls out DTC product recall

The provider of regulatory track-and-trace systems has introduced a direct-to-consumer product recall feature in California, allowing consumers to instantly see whether a cannabis product has been recalled by scanning a QR code on the package with their smartphone.

🏆 AWARDS & HONORS

2025 Inc. 5000: Multiple cannabis companies made the annual list of America’s fastest-growing private companies — Florida medical cannabis company The Flowery at #86; wholesale cannabis accessories distributor LuvBuds at #3,803; and multi-state cannabis retailer Silver Therapeutics at #4,197.

💨 QUICK HITTERS

• Growers in New York expect the rollout of the state’s seed‑to‑sale tracking system to be held up by six months to a full year.

• A United Airlines flight was delayed nearly four hours after a passenger smoked cannabis in a plane restroom, onboard, prompting the pilot to refuse to fly over drug test concerns.

• Würk partnered with Symphony Grow to offer cannabis businesses an integrated suite of HR, payroll, workforce compliance, insurance, employee benefits, and risk‑management solutions.

• Mfused signed an exclusive licensing deal with Flow Distribution to distribute its Super Fog products in Arizona.

📚 WHAT WE’RE READING

• Scotts Miracle-Gro Tried Playing Both Sides: Weed Killers, ‘Weed’ Growers (Wall Street Journal)

• We Need To Debunk Marijuana Rescheduling Myths As Trump Weighs Action (Op-Ed) (Marijuana Moment)

• Trump’s Cannabis Plays, Explained (Harris Sliwoski)

• Marijuana reclassification would be huge boost to cannabis industry, its leaders say (Chicago Sun-Times)

• Can Minnesota cannabis dispensaries compete with black market weed? (MinnPost)

• Virginia’s top Senate Democrat wants to cover Trump cuts with weed tax revenue (WVTF)

📽️ VIDEO OF THE WEEK

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💚,

The Pre Roll Team

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