Arkansas Regulators Revoke Medical Cannabis Cultivator’s License

On Monday, Arkansas regulators revoked a medical marijuana grower’s license to operate. A judge ruled earlier this month that the state made an error when granting the permit two years ago. Drury Chandler, director of the Alcoholic Beverage Control Service and chief regulator of the state’s Medical Marijuana Commission (MMC), said Nov. 28 in a hearing that lasted nearly an hour that medicinal marijuana growers River Valley Revoked license from Relief (RVR).

The Arkansas Medical Marijuana Commission granted RVR a license to grow medical cannabis in July 2020, making the company the last of eight growers licensed by the state. However, another company, 2600 Holdings, filed a lawsuit in January 2021, claiming that RVR should never have been granted a cultivation license. Plaintiffs have asked the court to disqualify River Valley Relief, award a license to 2600, or provide other relief under the Arkansas Administrative Procedures Act.

2600 attorneys allege that MMC illegally licensed RVR owner Nolan Storm. They argued that the act violated state law because Storm’s license application was no longer valid and the site of the cultivation operation was too close to the Sebastian County Juvenile Detention Center. , churches, and day care centers at least 3,000 feet away from state requirements.

The case was filed on behalf of the state by DFA attorneys who filed a 36-page brief disputing the 2600 filing. Nolan and his legal representatives were barred from participating in the case by Pulaski County Circuit Court Judge Herb Wright.

Earlier this month, Wright ruled that the 2600 should be granted relief because it has proven its claim, and ordered RVR’s license revoked. A judge ruled that MMC’s conduct was beyond the authorities’ powers in what it called “ultra-evil” conduct.

“Plaintiff therefore discharged its responsibility by showing that indisputable facts, viewed in the light most favorable to defendant, demonstrated that plaintiff was entitled to relief.” light pointed out In his ruling issued on November 3, “Defendants acted unfairly, unlawfully and capriciously by granting licenses to Nolan.”

“MMC clearly coaxed Nolan into stitching holes in the RVRC application,” Wright continued. “Whether it was fair or unfair to the applicant, it was at least unconstitutional and a radical act.”

Arkansas License revoked at Monday hearing

At a hearing Monday at the Arkansas Department of Finance and Administration (DFA), which oversees MMC, Nolan and his attorney Matthew Horan argued that Wright’s decision contained material errors. , said he made each point under oath at the hearing and said he was trying to abide by the rules of state medical marijuana commissions and the guidelines of authorities, including the Secretary of State. He argued that the ft cultivation site did not violate MMC rules.

“There is no evidence anywhere that detention centers are run by public schools,” Horan said, adding that the Arkansas Department of Education issued a letter saying juvenile facilities were not schools. It said the hearing was being held only for the purpose of deciding to revoke the license, and refused to reconsider the issues resolved by the lawsuit.

“We are not here to file lawsuits over other locations,” Chandler told Nolan. according to reports from Arkansas Times“You have to worry about permits and applications.”

DFA spokesman Scott Hardin said in a statement that a formal license revocation order is likely to be issued by the weekend at the latest, according to a report by Arkansas news site Talk Business & Politics.

Hardin also noted that Nolan has appealed Chandler’s administrative decision to revoke the license. The appeal suspends the license pending a hearing by the board-wide board that oversees alcoholic beverage controls in Arkansas. The board’s next hearing is he’s scheduled for December 21, and RVR can continue to operate until at least that time.

After Monday’s hearing, Nolan said the case would be appealed to the Arkansas Supreme Court.

“River Valley Relief Cultivation has appealed the Pulaski Circuit Court decision to the Supreme Court of Arkansas,” Nolan said in a statement to Talk Business & Politics. “The RVRC has requested that the proceedings be stayed until the appeal is heard. We will await the Supreme Court’s ruling,” he said.