Case Description
In January 2026, the Connecticut Attorney General’s Office entered into a settlement agreement with a three cannabis establishment licensees, the company seeking to acquire them, and their principles. Connecticut state law requires that cannabis establishment licensees provide notice prior to undertaking a material change, such as a transfer of operational control. The settlement agreement stated that the attorney general’s office was prepared to allege that the defendants had engaged in “gun-jumping” by transferring decision-making authority and by coordinating operations, branding and staffing more than 100 days before providing the required notice. The settlement agreement also stated that the attorney general’s office was prepared to allege that the businesses exchanged competitively-sensitive information, including pricing and operational data, while still being nominally independent competitors, in violation of the Connecticut Antitrust Act and Connecticut Unfair Trade Practices Act.
Without admitting to any allegations, defendants agreed to pay a $416,000 civil penalty and put an antitrust compliance program in place.

