NY judge grants exemption for 23 cannabis dispensaries to open; regulations expected next month

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A state Supreme Court judge exempted at least 23 Conditional Adult-Use Retail Dispensary businesses from an injunction currently barring hundreds of conditionally licensed cannabis shops to open.

During the Friday morning hearing, an attorney with the New York State Attorney General’s Office also told Judge Kevin Bryant that the Cannabis Control Board will hold a meeting on Sept. 12 at which they plan to vote on whether to approve general licensing regulations for the state’s cannabis industry.

“I want this to be as easy as possible, I don’t want to waste unnecessary time,” Bryant said about discovery motions plaintiffs made. He scheduled the next hearing for Sept. 15.

Bryant issued an injunction preventing more than 400 CAURD licensees from opening their stores as part of a lawsuit brought against the state by four service-disabled veterans who intend to apply for dispensary licenses. 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 – has also joined the lawsuit as a plaintiff.

Last week, Bryant filed an order that said licensees who met all approvals before Aug. 7, 2023, will be allowed to open their stores. The order also states that the court may allow other CAURD dispensaries to open on a case-by-case basis, if state officials request permission from the judge.

Earlier this week, lawyers representing the state filed a document listing 30 CAURD licensees that met this standard. Bryant on Friday allowed the exemption for all but seven dispensaries that the Office of Cannabis Management said should be allowed to open. Bryant said he’d consider the plaintiff’s objections with seven CAURDs on the OCM’s list, and make a decision on their exemption later.

The exempted list includes only one of 17 CAURD businesses from the Finger Lakes region, a major letdown for licensees who were barred from licensure until June due to a previous court injunction.

In an emailed statement to NY Cannabis Insider, state Sen. Jeremy Cooney – who represents much of the Finger Lakes region – said the situation is unfair to CAURD licensees in the area.

“After months of settling the last lawsuit, less than 20 retailers were given a license this summer. Now, the far majority of these retailers are being told to get out of line,” Cooney said. “This is unacceptable and I will be making an announcement of our next steps soon.”