Even small cannabis companies in Canada should begin building an internal compliance regime to avoid increasing regulatory enforcement and securities class action suits, according to the Canadian Securities Litigation Outlook report published Wednesday by Cassels Brock & Blackwell.

Wendy Berman, a Cassels partner in Toronto who co-authored the report with fellow partner Lara Jackson and lawyers across the firm’s national securities litigation group, said in an interview Wednesday that there will be a greater focus from Canadian securities regulators.

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