An Alabama appeals court has temporarily blocked a lower court’s decision that had allowed state regulators to issue medical cannabis licenses. This ruling, made by the Alabama Civil Court of Appeals, stays a previous order by Montgomery County Circuit Court Judge James Anderson that aimed to restart the licensing process for medical marijuana in the state.
The appeals court’s decision means that the Medical Marijuana Commission (MMC) is not currently able to move forward with issuing the highly sought-after vertically integrated medical cannabis permits, which combine cultivation and retail operations. As of now, the MMC is awaiting further instructions from the court, with additional briefings scheduled for later this month.
Justin Aday, general counsel for the Alabama Medical Marijuana Commission, confirmed that while the commission is not prohibited from continuing its administrative processes, the stay will remain in effect until the appeal is resolved. The appeal is being prioritized and set on an expedited schedule.
The controversy involves five integrated facility licenses awarded in December 2022, which allowed winners to operate as both cultivators and sellers of medical cannabis. Among the winners was Trulieve Cannabis Corp., now involved in ongoing litigation related to the licensing process.
Complicating matters further, Alabama Always, a company seeking one of the integrated permits, has filed a federal lawsuit alleging that the commission is retaliating against them for questioning the process.
Since Governor Kay Ivey signed the medical marijuana law in 2021, the licensing process has faced numerous challenges, including the revocation and cancellation of multiple licenses amid claims of impropriety. Initially, the commission had aimed to launch sales by 2024, but current developments suggest that a 2025 rollout may be more realistic.
The situation continues to evolve, and stakeholders within Alabama’s cannabis industry are closely monitoring the appeals court’s proceedings.
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