The Office of Cannabis Management (OCM) is being sued again. This time by a group of disabled veterans that allege their constitutional rights were violated by the OCM as veterans should be part of the social equity applicant program.
As a result New York State issued an injunction that prohibits the approval of any further applications. The injunction also impacts current Conditional Adult Use Retail Dispensary (CAURD) licensees by prohibiting them from opening and continuing operations. There may be impact to current dispensaries if extended. All of these CAURD licensees are social equity applicants. The first 150 licenses to be granted were promised to be reserved for social equity applicants by the OCM.
The injunction is in motion until today. Currently hundreds of CAURD licensees are appearing in court to demonstrate how they are being irreparably harmed by this injunction.
If the injunction is extended it may prevent hundreds of conditional adult-use retail dispensary (CAURD) operators from opening for months.
“If the long-term injunction is granted at Friday’s hearing it could be in place until at least mid-September or early October,” Fatima Afia, a marijuana attorney at New York City-based Rudick Law Group, shared with MJBizDaily.
“So most CAURD applicants and non-operational CAURD licensees could lose some of the first-movers advantage they otherwise would have had if the license application window for the broader adult-use program opens in October as previously announced by OCM.”
This order affects small businesses that include veteran owned businesses. Via Instagram livestream this morning ConbudNYC assembled with 100’s of CAURD licensees, cultivators, manufacturers, and supporters to have their voices heard in front of a judge in Kingston, NY. A united front of social equity applicants including veterans. During the livestream the owners of 3 dispensaries set to open in Queens this month shared that they have collectively lost nearly $500,000, jeopardizing 100’s of jobs, and are continuing to rack up costs trying to remain in operation to open their dispensaries.
We are keeping a close eye on this case as it unfolds throughout the day and weeks to come.
Let us know your thoughts in the comments.