MedMen taking Miami Beach to court over cannabis dispensary regulations

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MedMen taking Miami Beach to court over cannabis dispensary regulations

Bethan Rose Jenkins, Cannabis News Writer/Editorial

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MedMen is making the cannabis news headlines once again for yet another lawsuit. The multi-state cannabis operator is suing Miami Beach, Florida.

Why? Because MedMen affirms that a local regulation violates the law.

Based on a recent report by the Miami Herald, the cannabis company is filing a lawsuit in Miami-Dade Circuit Court. It challenges an ordinance that was passed last month by the Miami-Dade Circuit Court requiring dispensaries to have 1,200 feet of space separating them. This amounts to around one dispensary ever four blocks.

Law previously limited dispensaries to four segments of the city

Moreover, they had to be positioned at least 500 feet from schools.

This rule meant that dispensaries were limited to just seven in the Miami Beach area, based on MedMen’s calculations. Local governments are requested to either apply the same restrictions to dispensaries that they do pharmacies or ban medical cannabis dispensaries completely. They are not allowed to select a specific number.

A new ordinance was given the thumbs up last month to allow existing pharmacies to be grandfathered in, according to a report from the Herald  However, the ordinance limited the number of areas in the city where pharmacies and dispensaries could be built to just four.

Spokesman for MedMen Daniel Yi spoke to the newspaper about the new ordinance, stating that it had been enacted after the company had started work developing and launching a dispensary in Miami Beach. Their work had involved signing a 10-year lease and renovating to the amount of $1.2 million.

However, Yi said that the company’s final permit was rejected due to the dispensary being situated within 100 feet of another dispensary.

MedMen CEO accused of being sexist, racist and homophobic

(Pictured) Former CFO of MedMen, James Parker

The former chief financial officer of MedMen Enterprises, James Parker, claimed that CEO Adam Bierman often used funds from the company to pay for:

“24-hour armed guards for the founders and their families; private jets; special-order pearl-white Cadillac Escalades for Bierman and a custom Tesla SUV for (Andrew) Modlin (the company’s co-founder and president.) The company allegedly hired Bierman’s personal therapist and marriage counselor as a full-time ‘performance improvement expert,” at more than $300,000 a year.”

Parker goes on to say that Bierman used MedMen as a “piggy bank” and for this reason, among many others, he is suing the company for downgrading him and firing him in November last year.

Parker resigned from the company in November; less than a year after the company started trading on the Canadian Securities Exchange with a reverse takeover.

Examples of the misbehavior Parker accuses CEO Adam Bierman of partaking in include racist, sexist and homophobic slurs. Bierman has also been accused of financial improprieties.

MedMen has fiercely denied Parker’s claims

(Pictured) MedMen co-founder and CEO, Adam Bierman

“James Parker worked at MedMen for less than a year and half, before resigning his employment in November 2018,” said the company spokesman, Daniel Yi. “He has now filed a baseless wrongful termination lawsuit for his own personal financial gain. MedMen will vigorously defend itself in court.”

The allegations are pretty harsh, with Parker claiming he was forced to “choose between complying with his fiduciary duty to the company and its shareholders or turning a blind eye and a deaf ear to improper and unlawful behavior, he had been constructively and wrongfully terminated without cause and in violation of public policy.”

Parker went on to make further claims about MedMen, stating that the company went behind his back in finding a CFO to replace him. This, he says, diminished his authority within the company. Parker also divulged how the company directed him to make questionable payments.