MedMen Prevails in Claims for Legal Fees and Costs Against Former CFO Parker

Rhea-AI Summary

The court has ordered former CFO James Parker to pay $612,000 to MedMen Enterprises (CSE: MMEN, OTCQX: MMNFF) for legal fees after ruling he materially breached his employment agreement. This decision follows a jury's earlier exoneration of MedMen in Parker's lawsuit. The judge confirmed that MedMen owes Parker nothing and dismissed his claims for an additional $1,000,000 in fees. MedMen's chairman expressed satisfaction with the outcome, emphasizing the company's commitment to addressing false allegations.

Positive

• Court ruling requires James Parker to repay MedMen $612,000.
• MedMen fully exonerated from Parker's allegations.
• The judge denied further reimbursement claims from Parker.

Negative

• None.

Court orders Ex-CFO James Parker to pay $612,000, affirms MedMen owes nothing

LOS ANGELES--(BUSINESS WIRE)-- MedMen Enterprises Inc. (“MedMen” or the “Company”) (CSE: MMEN) (OTCQX: MMNFF), a premier cannabis retailer with operations across the United States, previously announced in November 2021 that a jury had completely exonerated the Company in a lawsuit brought by former CFO James Parker. On March 1, 2022, the judge further ordered that Parker repay MedMen $612,000 in legal fees that the Company had previously advanced to Parker, affirming that Parker was not entitled to such reimbursement due to his material breach of his employment agreement: "Since Parker materially breached his employment agreement, MME USA was relieved from its advancement obligations as of the date of the breach," the judge said in the order. The judge further ruled that Parker is not entitled to reimbursement of any further fees or expenses from the Company, following Parker’s request that the Company reimburse him for an additional $1,000,000 of legal fees.

“We are pleased that, in addition to being formally and thoroughly exonerated by the jury from the false allegations initially brought by Mr. Parker, that the judge has now ordered that he repay significant fees to the Company,” said Michael Serruya, MedMen Chairman and Interim CEO. “As a company, we are dedicated to responding vigorously to all false claims brought against the company and will pursue our remedies diligently to their conclusion.”

ABOUT MEDMEN:

MedMen is a premier American cannabis retailer with an operational footprint in California, Nevada, Illinois, Arizona, Massachusetts, and Florida. MedMen offers a robust selection of high-quality products, including MedMen-owned brands MedMen Red and LuxLyte through its premium retail stores, proprietary delivery service, as well as curbside and in-store pickup. MedMen Buds, an industry-first loyalty program, provides exclusive access to promotions, product drops and content. MedMen believes that a world where cannabis is legal and regulated is safer, healthier, and happier. Learn more about MedMen at www.medmen.com.

Cautionary Note Regarding Forward-Looking Information and Statements:

This press release contains certain “forward-looking information” within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute “forward-looking statements” within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only MedMen’s beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of MedMen’s control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as “put this chapter to rest” and “focus wholly on taking.” This forward-looking information is based on certain assumptions made by management and other factors used by management in developing such information. A variety of factors, including known and unknown risks, many of which are beyond the Company’s control, could cause actual results to differ materially from the forward-looking information and statements in this press release.

The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and MedMen does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws.

Forward-looking statements contained in this news release are expressly qualified by this cautionary note.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220304005445/en/

MedMen Media Contact:

Lisa Weser, MedMen@Trailblaze.co

MedMen Investor Relations Contact:

Investors@MedMen.com

Source: MedMen Enterprises Inc.

FAQ

What did the court ruling on March 1, 2022, mean for MedMen (MMNFF)?

The ruling required ex-CFO James Parker to repay MedMen $612,000, affirming the company's exoneration from his allegations.

How much was James Parker ordered to repay MedMen Enterprises?

James Parker was ordered to repay MedMen $612,000 in legal fees.

Did the judge grant James Parker additional legal fee reimbursements?

No, the judge ruled that Parker was not entitled to any additional reimbursements from MedMen.

What was the outcome of the jury's verdict regarding James Parker's lawsuit against MedMen?

The jury exonerated MedMen, clearing the company of all allegations made by James Parker.