36 Cannabis Dispensary Licenses Have Been Approved In New York

Today, Monday, November 21, 2022, the New York State Cannabis Control Board approved the first Conditional Adult-Use Retail Dispensary Licenses. The move hastens the retail portion of the state's legal adult-use recreational marijuana industry. The Conditional Adult-Use Retail Dispensary (CAURD) licenses are at the center of the New York State Seeding Opportunity Initiative. The 36 dispensaries will be selling the first legal adult-use cannabis products grown by New York Farmers.

King Aswad, co-owner of Claudine Field Apothecary farms, prunes a cannabis plant as fellow co-owner Jasmine Burems speaks during a tour of their farm on October 07, 2022 in Columbia County, New York. NYS Office of Cannabis Management (OCM) made its final stop in its Harvest Tour at Claudine Field Apothecary farms, a Columbia County farm, whose farmers received a Conditional Cultivation license and are one of the first Black farmers in the legal adult-use cannabis industry. Following the passing of the Marijuana Regulation and Taxation Act in March 2021, OCM was created. The office upholds a framework for the production, licensing, packaging, marketing, and sale of cannabis for both medical and adult use in New York. (Photo by Michael M. Santiago/Getty Images)

The Office of Cannabis Management received over 900 applications for the licenses. The licenses granted today include 28 qualifying individuals and 8 nonprofit applicants. At least one license was granted in each region of the state where there is currently no litigation preventing licenses from being distributed. Farmers in the state have a stockpile of 300,000 pounds of marijuana, currently sitting at 200 state-licensed farms. The estimated value is $750 million. Hopefully, with these 36 licenses approved, that marijuana crop won't go to waste.

These Are The 36 Businesses Who Received Licenses Today

NEW YORK CITY
1. Nube NYC LLC
2. Carl M Anderson III
3. Royal Leaf NY
4. Gabbys Green LLC
5. CGG Enterprises Inc.
6. Suzanne M Furboter
7. Anthony Crapanzano
8. Smacked LLC
9. Gabriel Marin
10. Planet 51 LLC
11. Florisun LLC
12. Eastern Holdings 88 LLC
13. SAMJNY Holdings LLC

LONG ISLAND
14. Brian Stark Enterprises LLC
15. Albert D Capraro
16. Strain Stars LLC
17. Root 13, LLC
18. Growth Industries NY, LLC
19. Keep it 100 LLC
20. Hydo Phonics

CAPITAL REGION
21. Stage One Cannabis LLC
22. D-Andrews LLC
23. Essential Fowers
24. Capital District Cannabis & Wellness Inc.

SOUTHERN TIER
25. William Durham
26. Union Chill Cannabis NY LLC

MOHAWK VALLEY
27. Cured NY, LLC

NORTH COUNTRY
28. Brent L Rogers

8 Nonprofits Granted NY Cannabis Licenses
1. Housing Works Cannabis, LLC - HOUSING WORKS
2. The Doe Store LLC - Doe Fund
3. Urban Weeds LLC - Urban Upbound
4. CWS Holdings I, LLC -- Challenge Industries
5. NYCCABUDS - Center for Community Alternatives
6. Kush & Kemet LLC - LIFE CAMPS
7. On Point Cannabis, INC. - Broome County Urban League
8. GOTHAM CAURD - STRIVE, Inc.

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Cannabis Dispensaries In New York State Just Got Hit With Major Delay

If you were looking forward to legal marijuana dispensaries opening soon in New York State, there has been a major setback. Certain regions have been barred from receiving licenses due to a lawsuit. On Thursday, November 10, 2022, a judge blocked 63 licenses from being awarded around the state.

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Almost half of the initial 150 dispensary licenses can't be distributed. The lawsuit in question affects 5 regions - Brooklyn, Finger Lakes, Central NY, Western NY, and Mid-Hudson. A Michigan man named Kenneth Gay has sued New York State, claiming that he should be able to receive a license to open a dispensary in New York State.

Michigan Resident Files Lawsuit To Stop New York State From Giving Cannabis Licenses To New Yorkers

Michigan-based Variscite NY One, Inc. filed the lawsuit to stop the Office of Cannabis Management from issuing Conditional Adult-Use Retail Dispensary (CAURD) licenses in the regions. Variscite claims that the Office of Cannabis Management’s dispensary license application program violates the Constitution since it doesn't allow out-of-state operators to initially apply. The company is relatively new in New York; its New York Domestic Business Corporation was filed on August 31, 2022. It has no history of doing any business in New York State prior to August 31.

Photo by Sasun Bughdaryan on Unsplash

According to Leafly,

On October 6, an initial request for the temporary injunction was rejected by the court. The new ruling made Thursday (November 10) states that the New York Attorney General failed to prove the state has a legitimate purpose for favoring New Yorkers impacted by the War on Drugs over non-residents.

Variscite Owner Claims To Qualify For New York State CURAD License

Gay, the majority owner of Variscite, claims the company qualifies for a CURAD license and has a non-violent cannabis conviction. The problem is, the conviction was in Michigan, not New York State. Gay insists that the Office of Cannabis Management laws violate an interstate commerce clause, which says that states can't bar out-of-state businesses in favor of locals. Keep in mind that marijuana is still illegal federally and his argument relies on the U.S. Constitution. United States District Court for the Northern District of New York Judge Gary Sharpe ruled in Variscite’s favor.

Until the case is resolved, CURAD licenses in the 5 regions will be delayed.