Operational issues for medical marijuana producers
As news stories about the rise of legal marijuana businesses continue apace in the national media, New York State moved closer toward permitted marijuana use for medicinal purposes under the state’s Compassionate Care Act (Article 33, Title 5-A of the New York Public Health Law).
In early June, we learned that 43 groups submitted applications in the hopes of receiving one of the five licenses to be granted by the state Department of Health to grow and sell medical marijuana in New York. Though the five groups that ultimately receive the licenses from the DOH may be perceived as “hitting the jackpot,” they will nonetheless be confronted with a unique set of challenges in light of the current legal framework for businesses in the medical marijuana industry.
Many of these challenges stem from the fact that marijuana continues to be included as a Schedule I drug under the Controlled...
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