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Cassels Insight on Cannabis Litigation Referenced by The Globe and Mail

12/29/2020

Our Insight by Bob Cohen and Kate Byers titled “A New Crop of Securities Class Actions and Amendments to the Class Proceedings Act,” has been referenced by The Globe and Mail in their article “Law Firms Expect More Corporate Litigation in 2021 with COVID-related Claims,” published on December 28, 2020.

Writes Christine Dobby: “From class actions over flight cancellations to business disputes over pandemic-related disruptions and continued insolvency filings by distressed companies, experts predict a rise in litigation in 2021.”

Specifically, Christine references the section of the Insight on cannabis claims, Cannabis Securities Class Actions Growing Like Weeds: “In a year-end outlook, Cassels Brock & Blackwell LLP points to the cannabis market as a flashpoint for such lawsuits in recent years.”

Since that time, the industry has been subject to significant restrictions and oversight by securities regulators and licensing authorities. Consequently, the volatility of the market, along with the dashed dreams of many investors, has caught a number of industry players in a web of litigation.” The firm predicts publicly cannabis companies “will continue to attract intense scrutiny from regulators and participants in the public markets.

Read the full article in The Globe and Mail here. (Subscription required.)

Read the full Cassels Insight here.


This insight was part of our year-end “Canadian Securities Litigation Outlook: Trends to Watch for Capital Markets Participants (2021 Update)” by our Securities Litigation Group. View the full report here.