Venture Capitalist-Backed Marijuana Store In New York Sues To Stop Unionization

A New York City marijuana store backed by a prominent venture capitalist is fighting a unionization effort by trying to overturn a labor-friendly licensing requirement in court.

Requiring marijuana businesses to sign a “labor peace agreement” with a union violates federal labor law, according to a lawsuit filed in federal court by Hybrid NYC.

Hybrid NYC opened a marijuana store in Brooklyn last fall under the brand Gotham.

According to court documents, Hybrid filed its lawsuit after Local 338 of the Retail, Wholesale and Department Store Union (RWDSU) informed the company April 1 that Gotham employees had voted to join the union.

The Mineola-based RWDSU is affiliated with the United Food and Commercial Workers Union, which represents many U.S. cannabis employees.

The lawsuit names the state Cannabis Control Board and Office of Cannabis Management (OCM) as defendants.

Local 338 is not named in the suit, which argues that the state-level labor peace agreement provisions violate the National Labor Relations Act.

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