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ARTICLE · 29 JULY 2025

OLCC Litigation Updates: Unionization, Tax Compliance Rules

As far as I know, the OLCC is a party to two, separate litigations surrounding its administrative rules. The first lawsuit relates to Ballot Measure 119...

United StatesCannabis & Hemp

As far as I know, the OLCC is a party to two, separate litigations surrounding its administrative rules. The first lawsuit relates to Ballot Measure 119, which is a unionization measure applicable to most classes of Oregon marijuana licensees. The second lawsuit concerns rules that require retail applicants to acquire a certificate of tax compliance (or enter into an approved payment plan) at license renewal.

Both cases have been decided, subject to appeal. OLCC is batting .500 so far, with a loss in the unionization case and a win in the tax compliance case. Today, I'll tour your briefly through each litigation.

The Ballot Measure 119 case

BM 119 required most Oregon cannabis businesses to enter into labor peace agreements with approved unions, in order to renew or obtain licensure. On May 20th, the Oregon District Court ruled against OLCC. (Technically, the defendants are the OLCC Chair and its former Executive Director, along with other state actors). You

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