Two companies that once sought to partner up and cash in on the booming cannabidiol market are now facing a legal battle over a deal gone bad.
In a suit filed in Ventura County Superior Court, H2 Partners of Moorpark, California, accuses United Cannabis Corp. of making “false promises” about its ability to grow hemp for cannabidiol, or CBD, production. H2 Partners is suing Colorado-based United Cannabis, known as UCANN, and its corporate leaders, Earnest “Earnie” Blackmon and John Walsh, for alleged fraud and breach of contract, as well as other complaints. The complaint demands more than $16 million in damages.
