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Updates on New York’s Conditional Adult-Use Retail Dispensary Licenses

MJ in Jars

On July 14, 2022, the Cannabis Control Board held a meeting, wherein they discussed the regulations and application for Conditional Adult-Use Retail Dispensary Licenses (“CAURD”).

At the meeting, the Board approved the CAURD regulations. Despite receiving over 600 public comments on the draft CAURD regulations, the Board ultimately approved of them without making any significant changes. Instead, the Board plans to address all comments and concerns through FAQs and Guidelines. The Board also allegedly plans to address the public comments when drafting the regular adult-use retail regulations.

To see a summary of the CAURD regulations, check out our previous blog post here.

In addition, the Board also approved of the mock-application for CAURD licenses. Although there is no set date for when the application period will begin, the Board mentioned that a date will likely be announced sometime in August for a start date later this summer.

As seen in the mock-application, applicants are required to submit basic information, as well as materials to prove that an individual is “justice involved,” their residency at the time, proof of a “qualifying business,” and financial disclosures of all true parties of interest.

The Board also clarified the following requirements:

  1. One individual with sole control and at least 30% ownership of the applicant must be (1) justice involved (cannabis-related offense prior to the passage of MRTA), and (2) have a qualifying business (own/owned at least 10% in, and control over, a business for at least 2 years, that had a net profit for at least 2 years). One person must satisfy both requirements.
  2. “Justice involved” can be an individual who was arrested for a marijuana-related offense but was ultimately convicted of a lesser charge.
  3. Applicants may select a geographic preference, but they will ultimately be assigned a dispensary location.

The fact that one individual must satisfy the “justice involved” and “qualifying business” requirements will likely disqualify many potential applicants. Those who are unable to satisfy both requirements will have to wait until the non-conditional retail applications begin, which will likely be in the Spring of 2023. Although these requirements may be controversial, they align with OCM’s goal: to position individuals who have been negatively impacted by the war on cannabis to be the first successful entrepreneurs in NY’s cannabis industry. In order to ensure that the first dispensaries are successful, these individuals must have prior successful business experience.

For those who do satisfy the CAURD requirements, it is important to review the mock-up application and begin gathering all the necessary materials of proof for submission. This way, once the application period begins, you can ensure that you will be one of the first applications submitted and, if approved, one of the first dispensaries to operate in New York State.

If you have any questions or concerns regarding the CAURD regulations, mock-application, whether you qualify, and/or what materials you need to submit, do not hesitate to reach out.

You can contact Brittany Adikes at or (503) 488-5424

Brittany Bottom Block
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Green Light Attorneys Perry N. Salzhauer, Daniel Shortt, and Brittany Adikes have joined McGlinchey Stafford