Attorneys Suggest Hemp Companies File For Bankruptcy Now

Foley, Hoag is a well known international law firm with offices in Boston, Denver, New York City, Paris and Washington, D.C. that works on many industries but is strong in cannabis. Today, they published a piece on their blog about the recent THC ban by the federal government. Though it doesn't take effect until almost a year from now, the authors, a partner in NYC and an associate in Boston at Foley Hoag, suggest that the companies serving this industry consider an early bankruptcy:

They discuss several types of bankruptcy and discuss the key advantages that federal bankruptcy will give companies. Essentially, they can "reorganize or liquidate their businesses while receiving critical protections and value-enhancing benefits that cannot be matched by state procedures and out-of-court workouts."