Bloomberg Law
March 17, 2023, 6:33 PM

Husband-Wife Cannabis Team Lose Round One in Joint Venture Case

Mike Leonard
Mike Leonard
Legal Reporter

A pair of cannabis entrepreneurs were hit with a Delaware court order barring them from publicly disparaging their former distribution partners after the collapse of a vaping-related joint venture.

Vice Chancellor Morgan T. Zurn issued a preliminary injunction Thursday, saying Jonathan and Hanna Carfield likely violated deceptive trade practice laws with social media posts making bogus trademark claims against their former partner, Next Level Ventures LLC, which still holds certain key licenses.

Zurn, writing for Delaware’s Chancery Court, found that AVID USA Technologies LLC, a business entity set up by the Carfields, “habitually disregards” Next Level’s rights by posting online ...