Planet 13 Recovers Over $2 Million Amid Financial Dispute

Planet 13 Holdings Inc., one of the leading cannabis operators in the United States, has successfully reclaimed around $2.1 million as part of an ongoing effort to recover funds that were allegedly mishandled. The development marks a major milestone in the company’s legal pursuit of El Capitan Advisors, Inc., a financial firm accused of misappropriating money Planet 13 had entrusted to them.

Back in 2021, Planet 13 brought on El Capitan Advisors—registered with the Securities and Exchange Commission (SEC)—to oversee a portion of its financial reserves. These funds were held at BridgeBank, which is a branch of Western Alliance Bank. Unbeknownst to Planet 13, El Capitan became entangled in an unrelated legal battle with Casa Verde Capital, L.P. That case ended with a $35 million judgment against El Capitan, prompting Casa Verde to target assets held by the company—including $5.5 million belonging to Planet 13. That amount was seized and transferred by the Orange County Sheriff’s Office in September 2023.

After discovering the seizure, Planet 13 took swift legal action to recover its funds. The first breakthrough came in January 2024, when a partial settlement with Casa Verde returned $3.4 million to Planet 13. The remaining $2.1 million remained locked up until late February 2025, when another settlement was reached. This agreement not only resolved Planet 13’s claim but also formed part of a broader legal resolution involving Casa Verde and parties tied to El Capitan.

In addition to recouping cash, Planet 13 is also acquiring real estate linked to El Capitan’s CEO, Andrew Nash, and his ex-wife, Jamie Nash. These properties are estimated to be worth around $5 million based on comparable recent transactions. Planet 13 intends to sell the properties, and when combined with the recovered cash, the total value of the restitution is projected to reach approximately $10.5 million.

However, the legal journey isn’t over yet. Planet 13 continues to pursue further damages against El Capitan Advisors and Andrew Nash. The company is seeking an additional $10.3 million, a figure that reflects the total amount allegedly misappropriated, minus what’s been recovered or is expected from the property sales. Notably, neither El Capitan nor Nash has formally responded to the lawsuit, leading to a default judgment that gives Planet 13 the legal power to continue enforcement.

The case shines a spotlight on the ongoing financial challenges facing cannabis companies, many of which operate without access to traditional banking infrastructure due to federal regulations. This reliance on alternative financial solutions can expose businesses to heightened risk, as seen in Planet 13’s situation. It’s a cautionary tale for others in the industry to vet financial partners with extreme care.

Despite the complications, Planet 13 has affirmed that the situation hasn’t disrupted day-to-day operations or future plans. The company remains focused on expanding its footprint and developing its brand in states such as Nevada, California, Illinois, and Florida. With a major portion of the lost funds now recovered, Planet 13 is better positioned to continue its growth trajectory.

Planet 13’s response demonstrates the importance of resilience and legal vigilance in navigating the cannabis sector’s evolving landscape.