Receivers For Marijuana-Related Businesses

INTRODUCTION

Colorado has now gone "all in" on marijuana, legalizing it both for medical and recreational purposes. Despite this, the State of Colorado Medical Enforcement Division ("MED") has taken the position that licensed marijuana businesses ("LMB") are different than every other kind of licensed business in Colorado and cannot be put into receivership unless the receiver obtains a license issued by the MED. The MED's position is based solely on statutory interpretation: pursuant to C.R.S. §§ 12-43.3 -101 and 12-43.4-101 et al. anyone that has even indirect "control" over an LMB must be licensed. In the MED's view, a court appointment of an unlicensed receiver is a violation of the legislature's power to set the terms under which marijuana may be sold.