Kutak Rock attorneys Bryan Handlos and David Bracht authored the article "411 on 420 for Nebraska Bankers" for the January/February 2019 issue of Nebraska Banker. The article is featured in the Counselor’s Corner section of the publication, which focuses on providing guidance on relevant legal issues.
More than 30 states have legalized marijuana and projections suggest that total sales of legal marijuana and marijuana-infused products may exceed $14 billion in 2020 and $20 billion in 2025. It is also expected that more than 500 depository institutions will provide banking services to marijuana-related businesses.
In this article, Mr. Handlos and Mr. Bracht explain that while Nebraska doesn’t have a “booming cannabis related business environment,” there are a number of reasons why Nebraska bankers should consider staying on top of cannabis banking issues. The article covers growing trends in the cannabis industry, federal efforts to address the conflict between the Federal Controlled Substances Act and state laws legalizing cannabis, proposed federal and state legislation, the potential pressure on Nebraska from surrounding states that have legalized cannabis, and the removal of hemp from the definition of marijuana in the 2018 Farm Bill and what that means for the production and regulation of industrial hemp. The authors state that over time, “Bankers will find it more and more difficult not to be impacted by cannabis-related businesses in some way.”
Bryan Handlos is a member of the firm’s banking practice group and concentrates his practice on bank regulatory and consumer financial services matters. David Bracht is a member of the firm’s corporate practice group and focuses his practice on agriculture related issues.
To see the entire article, please see page 12 here.