Portland, OR – A federal judge has struck down Oregon’s voter-approved Measure 119, which required cannabis businesses to remain neutral on unionization efforts as a condition of their licensing. The ruling, issued by U.S. District Judge Michael Simon, declared the measure unconstitutional, citing violations of the First Amendment and federal labor law.
The measure, approved by voters in 2022, required cannabis retailers and processors to enter into labor peace agreements, effectively mandating that employers remain neutral when labor unions communicate with their employees about collective bargaining rights.
Judge Simon found the measure overly broad and in conflict with federal protections for employer speech. “Measure 119 seeks to regulate – and, indeed, forbid – certain truthful, non-deceptive, non-coercive speech about unionization,” he wrote in his opinion, adding that it violates the right to “uninhibited, robust, and wide-open debate in labor disputes.”
The lawsuit challenging the measure was filed by Ascend, a Portland-based cannabis retailer, and Bubble’s Hash, a producer of edibles and concentrates. The plaintiffs argued that the law infringed on their right to free speech and interfered with their ability to express views on unionization.
Simon issued a permanent injunction, effectively blocking enforcement of Measure 119. He noted that state attorneys failed to clarify how employers could comply with the neutrality requirement without surrendering their legal right to express opinions about union efforts.
The decision is seen as a major win for business owners who feared increased restrictions on how they could engage with employees on labor issues.
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