When your cannabis license application, renewal, or transfer hits a bureaucratic wall, litigation is sometimes the only way through. Whether you’re fighting a protest, a scoring dispute, or an arbitrary administrative decision, the right legal strategy can mean the difference between opening your doors—or losing everything you’ve built.
At Howard Law Group, we represent cannabis entrepreneurs, social equity applicants, and investors in licensing litigation throughout Illinois and across emerging markets. Our focus is simple: protect your license, preserve your investment, and force the regulators to follow their own rules.
What Is Cannabis Licensing Litigation?
Cannabis licensing litigation refers to legal actions challenging state or local decisions about who gets—and who keeps—a cannabis business license. These cases typically arise when an applicant believes the regulator acted unfairly, inconsistently, or outside the bounds of law.
Common examples include:
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Application scoring disputes — challenging errors or bias in how your application was reviewed.
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License protests or objections — defending against claims by competitors or community groups.
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Administrative appeals — contesting denials, suspensions, or revocations before state agencies.
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Injunctions and emergency relief — stopping the state from awarding your license to someone else while your appeal is pending.
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Transfer and ownership challenges — resolving disputes over control, beneficial ownership, and disclosure compliance.
Each of these actions requires not just knowledge of cannabis law—but the procedural muscle to navigate agency hearings, circuit court review, and sometimes, appellate litigation.
Why These Cases Matter
Every cannabis license represents years of work and millions of dollars of value. But in a heavily regulated industry, that value can vanish overnight if your license is denied, revoked, or delayed.
We’ve seen agencies ignore statutory deadlines, use inconsistent scoring rubrics, and even rely on undisclosed evaluators. When that happens, litigation becomes a business tool—not a last resort.
Done right, litigation can:
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Force regulators to follow their own scoring rules.
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Compel disclosure of evaluation records and internal communications.
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Preserve your license rights through injunctions and stays.
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Level the playing field against politically connected competitors.
Strategically, it’s about buying time, forcing fairness, and protecting cash flow until the system catches up.
Common Cannabis Licensing Disputes We Handle
1. Scoring Disputes and Administrative Appeals
If your application was unfairly scored, you may have a claim under administrative review or through a writ of certiorari. Our firm identifies procedural errors, arbitrary scoring inconsistencies, and unverified evaluator notes that often form the backbone of a successful appeal.
2. Protests and Ownership Challenges
Many states allow competitors or “interested parties” to file protests against new licenses or ownership transfers. We defend clients against these challenges and, when necessary, file counterclaims to expose improper influence or undisclosed financial interests.
3. License Revocations and Enforcement Actions
When an agency moves to suspend or revoke a cannabis license, the stakes are existential. We represent operators through administrative hearings and injunction proceedings to keep operations running while the dispute is resolved.
4. Injunctions and Emergency Relief
Sometimes, you don’t have months to wait for administrative review. We pursue temporary restraining orders (TROs) and preliminary injunctions to freeze agency action, protect pending rights, and maintain the status quo while your appeal moves forward.
When to Call a Cannabis Licensing Attorney
Call early. Litigation strategy often begins before a final decision is issued. If your score seems off, if the agency is ignoring your correspondence, or if a protest lands on your desk—talk to counsel before deadlines lapse.
A well-timed demand letter or preservation notice can position your case for success without ever filing a complaint. But if the agency refuses to act, we’re ready to litigate.
Why Choose Howard Law Group
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Experienced in Cannabis Litigation: We’ve handled protests, appeals, and injunctions under the Cannabis Regulation and Tax Act (CRTA) and corresponding administrative rules.
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Business-Minded Approach: Every motion, appeal, and argument is aimed at protecting enterprise value, not just “winning the case.”
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Deep Regulatory Insight: We understand how regulators interpret “control,” “financial interest,” and “ownership”—and how those definitions can be used against you.
Our clients range from social equity licensees fighting for fair treatment to established operators defending multimillion-dollar assets.
Cannabis Licensing Litigation — FAQ
What is cannabis licensing litigation?
Cannabis licensing litigation refers to legal action taken when an applicant, licensee, or investor faces a dispute with a regulatory agency or competitor over a cannabis business license. It can involve scoring errors, ownership protests, denials, suspensions, or enforcement actions.
When should I consider filing a cannabis licensing lawsuit?
You should consider litigation when your cannabis license application, renewal, or transfer hits a bureaucratic wall — such as unexplained delays, inconsistent scoring, or politically connected competitors gaining unfair advantage. A court order or injunction can be the only way to protect your investment.
What kinds of cannabis license disputes can be appealed or litigated?
Common disputes include:
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Scoring disputes and administrative appeals.
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Ownership and financial-interest challenges.
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Denials, suspensions, or revocations of licenses.
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Local zoning or conditional-use permit denials.
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Breach of MOU or management-service-agreement restrictions.
Can I challenge my cannabis license denial in court?
Yes. Most state cannabis programs allow judicial review after administrative remedies are exhausted. In Illinois, for example, you may pursue a writ of certiorari under the Administrative Review Law, 735 ILCS 5/3-101 et seq., if the agency acted arbitrarily or unlawfully.
What evidence helps in a cannabis license appeal?
Key evidence includes evaluation records, scorer comments, email communications, and comparison data from successful applicants. Our litigation team compels disclosure of this information through discovery or FOIA to expose procedural errors or bias.
How long does cannabis licensing litigation take?
Administrative reviews can take 6–12 months; full civil litigation may extend beyond a year depending on discovery disputes and motions practice. Injunctions can provide immediate relief to pause agency action while the case proceeds.
What are the costs of cannabis licensing litigation?
Fees depend on complexity and jurisdiction. Expect a retainer ranging from $15,000–$50,000 for most state-level cases, with the potential to recover fees if the agency’s conduct was unlawful or in bad faith.
How does litigation protect my cannabis business investment?
Litigation can:
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Preserve your right to operate while the dispute is pending.
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Secure injunctions against arbitrary enforcement.
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Level the playing field against politically connected competitors.
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Force agencies to apply consistent and transparent standards.
Why choose Howard Law Group for cannabis licensing litigation?
We’ve been fighting for cannabis entrepreneurs since the first Illinois lottery. Our team combines administrative law expertise with real-world industry experience — protecting licenses, capital, and the clients who built them.
