Two Oregon cannabis business are asking a federal judge to block Measure 119, arguing the new Oregon law is preempted by federal labor law and violates employers’ free-speech rights.

Oregonians passed the ballot measure in November. It’s designed to ease the way for cannabis workers to form unions by requiring cannabis businesses to enter so-called labor peace agreements, promising to remain neutral when union organizers communicate with their workers.

The lawsuit, filed last week by Portland-based Bubble’s Hash and Ascend Dispensary, argues labor peace agreements are preempted by the National Labor Relations Act. The businesses are asking a judge to issue an injunction to halt the enforcement of the measure.

“Measure 119 denies employees the right to decide for themselves whether or not to join a union and is inconsistent with the NLRA which provides employees with the right not to engage in any union activity,” said Rick Grimaldi, a partner with Fisher & Phillips, a national labor law firm with offices in Portland.

“The NLRA also grants employers the ability to speak freely to employees about the pros and cons of unionization as long as they do not threaten, interrogate or make promises to employees in exchange for an employee’s vote against unionization or otherwise not supporting the union,” Grimaldi wrote.

Union representatives have argued Oregon needed labor peace agreements to address ambiguity in the application of federal law to marijuana businesses. Cannabis remains illegal under federal law, so union reps said they were concerned employers weren’t recognizing federal union protections for people working in the marijuana industry.

The lawsuit names Craig Prins, executive director of the Oregon Liquor and Cannabis Commission, OLCC Chair Dennis Doherty, Gov. Tina Kotek and Attorney General Dan Rayfield. A spokesperson for the Oregon Department of Justice, which is responsible for defending state laws in court, did not immediately respond to a request for comment.

Ascend, a Northeast Portland retailer whose OLCC license is up for renewal on Tuesday, said it couldn’t find a labor organization as defined under the measure, or “the terms of the (labor peace agreement) presented would require Ascend to violate federal and state law to renew its license,” according to its complaint.

The company heard from OLCC early this month that it could not get its license renewed until it had the labor peace agreement in hand or a signed attestation between itself and a union to that effect, as also allowed under Measure 119, court documents state.

Bubble Hash’s license for processing is up for renewal in late May, but similarly, the terms of a labor peace agreement presented to that company “would require Bubble’s Hash to violate federal and state law in order to renew its license,” the lawsuit states.