Federal Court Rejects Challenge To Arbitrability Of Cannabis Dispute

A recent federal district court decision held that a cannabis delivery app's clickwrap dispute resolution provision requiring arbitration was enforceable. (Williams v. Eaze Solutions (N.D. Cal. No: 3:18-cv-02598-JD)). The Court rejected the argument that the contract containing the provision should not be enforced because it had an illegal purpose. The opinion provides insight into one approach a cannabis business can use to draft an enforceable arbitration clause.

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