Because medical marijuana is not recognized under federal law, we all know that the federal government always has the power to bring criminal charges.  Any of a number of Spokane’s many dispensaries could be raided by DEA agents at any time. However, the U.S. Attorney Michael C. Ormsby took an interesting approach to the issue today when he issued this press release.  The statement was directed to the building owners that rent commercial space to medical marijuana dispensaries. The press release starts off: “Today, Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that he has notified landlords that marijuana stores are illegal and warned them of the penalties they may face.”  The press release continues: “Our goal is to first seek voluntary compliance with the law by notifying property owners of the non-conforming use of their property, with the expectation that they take appropriate action. If they do not, the U.S. Attorney’s Office will determine the appropriate law enforcement response, which could include the forfeiture of the property used to facilitate the crimes,” said Mr. Ormsby.

Am I the only one who thinks this is a little strange?  It just seems to me that if the U.S. Attorney feels something illegal is going on, that he should simply make arrests. But he probably knows marijuana dispensary owners are not easily intimidated, and many dispensaries are run by activists who are prepared to go jail to fight for what they believe in.  So instead, Ormsby threatens the individuals and corporations who are renting the space to the dispensaries. So what happens tomorrow morning? Do these commercial landlords now post eviction notices on the dispensary doors? It is a standard clause in all commercial leases that the tenant may not use the premises to conduct an illegal activity.  Accordingly, there would be grounds under the law for a landlord to tender an eviction notice.  A typical dispensary is usually in a small commercial strip mall in a low-rent part of town.  You have to wonder a little bit about how many dispensary owners fully disclosed to the landlord what their plans were for the rental place.  Many dispensaries have pretty innocuous looking letterhead and business cards.  In this depressed commercial real estate market, landlords are probably just glad to fill the space.  Under the law, the landlords that are probably in the greatest danger of having their buildings seized are the landlords who have charged the dispensaries above-market rent to compensate themselves for the risk.  I think the federal government won’t be too happy if they subpoena the rental records and find that a landlord took twice as much money from a dispensary as they did for the other units.  Likewise, a landlord that permits a grow operation is running a high risk, even if the marijuana being grown is supplying a dispensary.  Even if a landlord is simply leasing a single unit to a dispensary, the federal government is entitled to seek forfeiture on the entire structure.

I suppose from a resources point of view, the prosecutor’s statement makes sense.  It is resource-intensive to raid and prosecute dispensaries.  Medical marijuana activists have lots of support from lawyers, and they are probably inclined to demand jury trials just out of principle.  Commercial landlords, on the other hand, are probably not looking for a fight.

What do you think of the federal prosecutor’s position on this?

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