KANSAS CITY, Mo. (KCTV) – Two Missouri cannabis wholesalers are suing, claiming Good Day Farm illegally controls more than a quarter of the state’s dispensary market.
CPC of Missouri – Smithville LLC and GF Saint Mary LLC filed the antitrust lawsuit Monday in Jackson County Circuit Court.
The suit targets Good Day Farm and a network of affiliated companies they call the “GDF Cartel.”
The complaint alleges that Good Day Farm – an Arkansas-based, vertically integrated cannabis company – has built an illegal stranglehold over Missouri’s $1.52 billion cannabis industry.
The lawsuit claims GDF has done this by controlling at least 61 dispensaries across 5 brand names, nearly triple the 22 allowed under state law.
Missouri’s Constitution bars any entity or group of entities under “substantially common control, ownership or management” from holding more than 10% of the state’s dispensary licenses.
By the numbers, 61 of 224 licensed dispensaries would represent roughly 27% of the market.
The suit claims Good Day Farm controls more than one in four – roughly 27%.
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According to the petition, Good Day Farm recruited outside investors to fund limited liability companies – which the company calls “Verticals.”
The Verticals then acquired additional dispensary, cultivation and processing licenses, the lawsuit states.
The suit notes that those investors were told upfront that Good Day Farm would manage all aspects of the business.
The complaint quotes directly from a confidential private placement memorandum: “no investor should invest . . . unless such investor is willing to entrust all aspects of the management of the Company to the Manager.”
To obscure the common control, the suit alleges that Good Day Farm operates under five separate brand names:
The complaint claims that all five brands operate as a single coordinated network.
The lawsuit alleges that the “cartel’s” collective buying power accounts for more than 40% of wholesale cannabis purchased in Missouri.
This gives GDF enormous leverage over independent cultivators and manufacturers who, under state law, cannot sell directly to consumers and must move their products through licensed dispensaries.
The complaint claims Good Day Farm uses that leverage to:
The suit also alleges that Good Day Farm holds quarterly meetings with outside wholesalers – not to foster competition, but to coordinate which products will be purchased at what prices across all cartel-affiliated stores.
Since Good Day Farm began its alleged price-fixing, the petition says wholesale prices have been depressed by more than 20%.
The antitrust complaint quotes a Good Day Farm investor presentation that states the company’s strategy is to “leverage [the Cartel’s] retail commerce to extract gross margin from third party vendors,” which “directly translates to higher earnings.”
The suit also cites a LinkedIn post from a Good Day Farm employee in October 2025, who wrote: “Given our market share, we’ve done more to keep prices stable than crater them by not dropping prices.”
The complaint also quotes a document Good Day Farm provided to potential investors that acknowledged the legal risk: “Assurances cannot be made that the Missouri Department of Cannabis Regulation will not take issue with the number of marijuana dispensaries operated or supervised by the Manager or its affiliates…”
The lawsuit seeks both damages and injunctive relief – asking the court to stop the alleged anticompetitive conduct and restore the “fair, competitive marketplace that Missourians voted for when they approved recreational cannabis in 2022.”
Attorney Bob Hoffman, one of the lawyers leading litigation, states:
“The GDF Cartel is suppressing competition in the wholesale cannabis market and enriching itself with illegal profits through an unconstitutional and clandestine business conspiracy. Missouri’s cultivators and manufacturers have been suffering under this scheme for too long—many of them know something is wrong but don’t realize the scope of the Cartel’s market manipulation. We filed this suit to restore the fair, competitive marketplace that Missourians voted for when they approved recreational cannabis in 2022. Missouri-licensed cannabis companies who have experienced these practices should join us, as they may be entitled to significant damages.”
The case is filed as a class action, inviting other independent cannabis wholesalers in Missouri to join.
The case – filed on Wednesday, April 28 – is now pending in the 16th Judicial Circuit Court of Jackson County.
Good Day Farm has not yet responded to the complaint or KCTV5’s request for comment.
KCTV5 has also reached out to the Missouri Department of Cannabis Regulation, inquiring about a possible investigation.
The companies are expected to appear in court on Aug. 17 for a case management conference.
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