The New Jersey Employment Law Firm Blog
A groundbreaking new decision by the New Jersey Appellate Division has clarified that job applicants and employees have the right to sue employers who discriminate against them for recreational cannabis use. In the recent case of Sanders v. The Levari Group, LLC, decided on May 26, 2026, the court determined for the first time that the Cannabis Regulatory, Enforcement Assistance, and Market Modernization Act (CREAMMA) provides an implied private right of action for individuals.
The plaintiff, Darlene Sanders, applied and interviewed for a customer service position with the defendant. After receiving and accepting a job offer, she submitted to a pre-employment drug screening as part of the company’s standard hiring process. The test revealed the presence of cannabis from recreational use within the past thirty days, although Sanders was not under the influence at the time of her application. When Sanders followed up on her start date, a human resources representative told her she could take a repeat drug test within a week at her own expense. Unable to afford the retest, she declined, and the company rescinded the job offer and refused to hire her. Sanders sued the company, alleging it violated her rights under CREAMMA by refusing to hire her on the basis of her recreational cannabis use.
Enacted in 2021 to legalize and regulate recreational cannabis, CREAMMA contains robust anti-discrimination provisions designed to mitigate the debilitating impact that marijuana-related penalties can have on a person’s job prospects and financial health. Specifically, the law dictates that an employer cannot refuse to hire, discharge, or take adverse action against an individual solely because their bodily fluids contain cannabinoid metabolites from lawful cannabis use. While CREAMMA explicitly outlines these worker protections, the statute did not expressly state whether individuals could take their employers to court for violating them. The trial court initially agreed with the employer, suggesting that enforcement should be left to the Cannabis Regulatory Commission (CRC).
The Appellate Division firmly rejected this limitation. By applying a legal standard known as the Cort test, the court determined that the Legislature implicitly intended to give workers the right to sue. This decision ensures that employers can be held accountable if they penalize applicants or employees for engaging in lawful, off-duty cannabis use.
If an employer rescinds a job offer, terminates your employment, or takes adverse action against you solely due to a positive test for cannabis metabolites, your rights under CREAMMA may have been violated. Contact the Resnick Law Group today at (973) 781-1204 to provide your preliminary information and schedule a consultation with one of our experienced employment attorneys.