It could be at least another two weeks before a number of cannabis dispensaries will find out whether they can open up for business or not in New York.
Osbert Orduña, founder of New York dispensary The Cannabis Place, says the current situation is costing him dearly. His shop was supposed to open next month but now he feels like his future and his savings are hanging by a thread; he invested around $1 million into trying to start his business.
“We have brothers and sisters right now that are supposed to open next week," Orduña said. "They cannot do so. The irreparable harm is real. It's immediate. It's happening right now.”
Inside the courtroom, four veterans argued their cannabis licenses applications were not properly considered, according to state law. Veterans are one of the groups that have a higher priority when state regulators consider granting a cannabis license. But given an even higher priority than vets at the state Office of Cannabis Management, or OCM, is someone with a prior marijuana conviction in New York. These veterans all have clean records.
OCM is the state agency charged with granting licenses. In court, the assistant attorney general, on behalf of OCM, argued state lawmakers only passed guidelines for conditional licenses, and left it up to OCM to finalize how licenses are granted. The judge didn’t issue a ruling but said the two sides need to work together so that no one is hurt by this license process.
“We are working class people, mom and pop businesses," Orduña said. "Main Street cannabis and we need your help to have the judge recognize that this restraining order is killing us.”
In a statement, Hal McCabe, interim executive director for the Cannabis Association of New York, says it is disappointed with today’s court proceeding and that “this injunction continues to threaten tens of thousands of jobs, thousands of businesses, and the entire industry as a whole.”
Spectrum News 1 did not receive comment from OCM or the lawyers for the veterans who filed the suit. Orduña said he feels like he and others who want to get into an industry valued at over $4 billion, are not being treated fairly.
“It really is them and their interests against the entire New York state licensed marijuana cannabis market," he said, referring to corporate cannabis companies. "It's that simple. It really is a David and Goliath moment right now.”
Both sides are due back in court on Aug. 25.