IL Firm Withdraws Lawsuit Over Marijuana Permit

(AP) – An Illinois company has withdrawn the first lawsuit against the state challenging the way officials dispensed medical marijuana business licenses.

The Chicago-based PM Rx company said in a statement Monday that it has agreed to dismiss all its claims against the state and a rival company, Cresco Labs. Cresco had won a permit to grow medical marijuana in a state police district that covers Ford, Iroquois and Kankakee counties, but PM Rx challenged the way the Department of Agriculture issued permits.

The statement said the decision to withdraw the lawsuit followed an “extensive factual investigation” and the death of PM Rx’s CEO, Andrew James.

The marijuana program has been troubled by questions about background checks and how former Gov. Pat Quinn’s administration conducted the process of selecting the winning businesses.

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