Rhode Island’s Cannabis Control Commission is facing a lawsuit that claims its cannabis social equity laws are discriminatory and unconstitutional.
The suit, filed by California woman Justyna Jensen, claims the law favors one group of people. The law requires the majority business owner of a company to be a resident of Rhode Island who lives in an area “disproportionately impacted” by the War on Drugs in order to snag a license reserved for social-equity applicants. The law also requires that cannabis business owners seeking the special designation belong to a family in which a member has been charged with marijuana possession.
The suit claims that the law violates the “Dormant Commerce Clause” of the U.S. Constitution by depriving individuals of licenses based on where they live. Jensen is calling for a federal court to stop the commission from promulgating marijuana regulations.
According to The Providence Journal, Jensen has filed similar lawsuits in at least five states, including California and New York. She lost two similar cases in Washington and Maine after judges ruled that the “Dormant Commerce Clause” doesn’t apply to businesses that operate outside federal law.
NY Bills Would Allow People to Sue Unlicensed Operators
New York lawmakers have introduced two bills that would allow individuals to file civil lawsuits against unlicensed marijuana businesses.
The companion bills in the Senate and Assembly would allow private individuals to file suit against anyone who is violating the state’s cannabis law by cultivating, processing, distributing or selling weed without a license. They would also be able to sue licensed businesses that are breaking any of the rules.
According to The City, the state of New York has fined unlicensed retailers more than $25 million but has only collected about $22,500.
New York’s cannabis program has hit a number of hiccups in recent months, including lawsuits that are holding up the program’s rollout and the recent firing of the state’s top cannabis authority.
Delaware Looks to Dual Licensing
A newly introduced bill in Delaware would allow existing medical cannabis companies to apply for a dual license to sell both medical and recreational weed.
House Bill 408 would create a “conversion license” category that would give medical cannabis operators the option to sell recreational cannabis and would allow them to apply for general licenses at new locations if they are denied due to being located in a municipality that has opted out of recreational sales. These applications would be automatically approved.
Businesses that are awarded conversion licenses would be able to start selling recreational marijuana immediately upon approval.
Delaware Rep. Ed Osienski (D) and Sen. Trey Paradee (D), the sponsors of the bill, say that it would support the medical marijuana industry as the state moves into adult-use sales.