Another blow has come to CannTrust today when they found out Danish partner STENOCARE has terminated their license agreement with the Canadian LP. This was expected, after CannTrust had their sales license suspended earlier in the week.
In a company press release, STENOCARE stated:
On September 17th, 2019, it was announced that Health Canada had suspended CannTrust’s license to produce and sell medical cannabis. This only adds formal evidence to the fact that CannTrust cannot fulfil their obligations to STENOCARE. The obligations include, but are not limited to, the delivery of live plants, expertise on GACP cultivation methods in regulatory licensed rooms, regulatory procedures and good regulatory documentation practice. Therefore, after a thorough evaluation of the situation and counseling with STENOCARE’s Danish and Canadian legal counsels, the Board of Directors has decided to terminate the license agreement with CannTrust with immediate effect. STENOCARE will raise all relevant claims against CannTrust as a result of the non-compliance issues in general and CannTrust’s inability to fulfil its contractual obligations in particular.
STENOCARE is an active participant in the Danish medical cannabis pilot program. The company is developing a separate production facility for the cultivation and production of medical cannabis at the company’s premises in Jutland, Denmark.
Information for this briefing was found via Stenocare. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
