Latest / NRBC Compliance Brief / Vol. 1, Ed. 34 — Thu Sep 17: Supreme Court asked to review licensing residency rules
Transcript
- This is the New Realm Compliance Brief, Volume One, Edition Thirty Four, for Thursday, September Seventeenth. Our top story: a Michigan cannabis entrepreneur has asked the United States Supreme Court to decide whether states may favor their own residents when awarding cannabis business licenses. Kenneth Gay and his Peridot Tree companies were denied licenses in Washington State and Sacramento under residency preferences. The Ninth Circuit upheld those rules, while the First and Second Circuits have found similar schemes likely unconstitutional. The petition cites post-Prohibition liquor cases, arguing the nondiscrimination principle applies even where the states hold primacy over regulation. A grant would set the constitutional boundary for residency requirements in state licensing, the same structural question the alcohol industry has litigated for years. On the federal side, the House passed Tyler's Law by voice vote, directing Health and Human Services to study how often emergency rooms test overdose patients for fentanyl, marijuana and other drugs. And the Federal Reserve noted that community banks serving cannabis businesses may need advanced anti-money-laundering capabilities, a reminder that banking friction still raises costs for retailers carrying hemp beverage lines. Around the states: Hawaii published new guidance on its hemp business registration. Retailers, distributors and online sellers each need a fifty dollar certificate per location, valid five years, with penalties up to ten thousand dollars per offense for unregistered sales. Alaska proposed changes to total THC limits for edibles. Oregon regulators take up marijuana and hemp rule changes today. And Colorado issued a safety advisory over products with excess butane. On the radar: September twenty ninth, the ban on importing Canadian packaged beer, wine and spirits takes effect. And November twelfth remains the effective date of the federal hemp ban, with a Senate-passed delay to December still awaiting House action. Full details and source links are in today's email. This update is for general information only — it is not legal advice.