Green Market Report
Instagram celebrity Dan Bilzerian and his cannabis-focused company Ignite International Brands are in hot water with the courts for not turning over documents in a contract dispute case. According to Law360, the company was told on February 28, 2023, that it had 10 days in order to produce 65 documents. Apparently, the company didn’t do so and now the courts are threatening once again that Ignite will face more severe sanctions like daily fines. The company was given another five days to produce the documents.
Law360 reported that on Thursday, “U.S. Magistrate Judge Elayna J. Youchah ordered Ignite International Brands Ltd. to turn over the 65 documents in question within five days of the court’s order and to pay the attorney fees and costs incurred by defendant Consulting By AR LLC in filing its motion to compel.”
For its part, Ignite says the documents are privileged. The company was asked back in August to turn over the documents, but the company objected. The judge, however, said the objection didn’t change the due date and the motion to stay the order had not been ruled upon.
Thursday’s order stated, ”
Ignite has refused to do an act the Court has twice ordered. While Ignite moved to stay the August 12, 2022 Order, as explained on February 28, 2023, no stay was granted and, thus, to this date, Ignite also failed to comply with that Order as well. Ignite has neither moved to stay the February 28, 2023 Order, nor has it objected to that Order. The Court
finds an order to coerce compliance is appropriate at this time.
Law360 did note that Kimberly P. Stein of Flangas Law Group, representing Ignite Spirits Inc., a subsidiary of Ignite International said on Friday that they believe the order is a mistake and the company has complied with the court’s prior order. It reported, “Ignite International filed an objection and appeal to the order on Friday, arguing that it had updated its privilege log as directed by the court, and that the court therefore does not have authority to find it in contempt and levy sanctions.”