Judge Issues Restraining Order Amidst Controversy Over New York Cannabis Licensing

1.7 min readPublished On: August 7th, 2023By

NEW YORK–In a significant legal development, a state Supreme Court judge has taken action against the New York state Office of Cannabis Management following a lawsuit that raises concerns about the equitable distribution of cannabis licenses. The lawsuit, which alleges that the state has disproportionately excluded disabled veterans and marginalized minority groups from cannabis licensing opportunities, has prompted this temporary restraining order.

The order, signed by State Supreme Court Judge Kevin Bryant on Monday, brings a halt to the issuance and processing of recreational cannabis licenses under the conditional adult-use dispensary (CAURD) program. This decision remains in effect until further directives are issued by the court.

The case, set for the next hearing this Friday in Ulster County, revolves around the contention that the CAURD program’s expansion lacks a solid foundation within the state’s Marijuana Regulation and Taxation Act (MRTA).

At the core of the lawsuit are four military veterans, collectively boasting over twenty years of service to the U.S. Armed Forces. These veterans aim to challenge the state’s continuation of the CAURD program’s expansion, citing a disconnect between its implementation and the guidelines outlined in the MRTA.

The CAURD program, initially designed to prioritize individuals with cannabis convictions under previous drug laws and those with familial connections to such convictions, has raised eyebrows due to its rapid proliferation. While the program was initially conceived to encompass 150 licenses, recent figures reveal an astonishing surge to 463 licenses within the span of a mere two weeks.

As the legal proceedings unfold, the case casts a spotlight on the broader issue of social equity within the emerging cannabis industry. The allegations put forth by the veterans underscore the importance of ensuring that marginalized and historically disadvantaged communities have equitable access to the benefits of cannabis legalization.

With the courtroom poised for further deliberations, this case has ignited a crucial dialogue about the extent to which the state is fulfilling its obligations to uphold inclusivity and fairness in the burgeoning cannabis landscape.

About the Author: HCN News Team

The News Team at Highly Capitalized are some of the most experienced writers in cannabis and psychedelics business & finance. We cover capital markets, finance, branding, marketing and everything important in between. Most of all, we follow the money.

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