Third Time Was Not The Charm: Alabama Judge Blocks Medical Marijuana Permits

Alabama’s medical cannabis regulator won't be issuing facility licenses after all.

The Montgomery County Circuit Court Judge James Anderson issued a restraining order on Wednesday, preventing the Alabama Medical Cannabis Commission (AMCC) from doing so, writes Alabama Political Reporter.

Why?

The judge’s decision stems from a recently filed complaint by plaintiff companies which claim the AMCC violated Alabama law by employing a faulty voting process. The judge said the plaintiffs, including INSA Alabama, LLC; Southeast Cannabis, LLC; TheraTrue Alabama, LLC; 3 Notch Root, LLC; Alabama Always LLC, and Jemmstone Alabama, LLC will likely demonstrate the AMCC’s wrongdoing.

In December, the Alabama cannabis regulator awarded 20 medical cannabis licenses for the production, distribution, dispensing and testing of medical marijuana (MMJ), as well as five of the most coveted permits – the integrated facility licenses, which allow for vertical integration statewide.

The ban on the issuance of these much sought-after MMJ permits comes on the heels of Judge Anderson issuing a temporary restraining order last week, that put dispensary license issuance on hold.

However, AMCC got the green light to issue another MMJ license for cultivators, starting Friday, Dec, 29, as Judge Anderson declined other requests for a temporary restraining order (TRO) on the permit allocation process.

In the meantime, the judge issued a separate order on Wednesday, prompted by a motion filed by plaintiffs Insa Alabama, LLC and Alabama Always, LLC., allowing them to depose up to six individuals, to gain insight into the AMCC’s licensing process.

Anderson granted the AMCC a Jan. 19 deadline to provide requested documents and appear for depositions. The hearing is scheduled for Wednesday, Jan. 24.

The commission's two failed attempts to issue medical cannabis licenses in June and August were followed by a months-long legal saga that included companies like Medella LLC and Verano Holdings Corp. VRNO VRNOF.