US (NY): Another Office of Cannabis Management misstep costs 30 cannabis businesses a chance to open

In the latest blow to New York’s nascent legal cannabis industry, an Ulster County judge said he will not exempt any Conditional Adult-Use Retail Dispensary licensees from an injunction he issued on August 18 because the Office of Cannabis Management failed to comply with a court order.

“It is clear to this Court upon review of the affidavits that OCM failed to comply with this Court’s Order regarding exemptions to the injunction,” Judge Kevin Bryant wrote in a decision filed.

The decision came as part of a lawsuit brought against the state by four service-disabled veterans who intend to apply for dispensary licenses. The veterans were later joined by the Coalition for Access to Regulated & Safe Cannabis – a group representing some of New York’s medical cannabis companies that is also suing the OCM in a separate case.

Plaintiffs allege that the OCM and Cannabis Control Board violated the Marijuana Regulation and Taxation Act by opening up retail dispensary license applications for a select group of people – “justice-involved individuals” who own a profitable “qualifying business” – instead of opening applications up for everyone at the same time. On August 7, Bryant issued an injunction preventing the OCM from allowing any more CAURD businesses to open.


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