MONTGOMERY, Ala — A judge temporarily blocked Alabama from issuing licenses to medical marijuana dispensaries amid an ongoing legal battle over how the state selected the winning companies.
Montgomery Circuit Judge James Anderson issued a temporary restraining order late Thursday to stop the Alabama Medical Cannabis Commission from issuing licenses to the four dispensaries. The licenses will be on hold while he hears a challenge to the selection process.
The ruling affects only the dispensaries. Brittany Peters, a spokeswoman for the commission, said Friday that the commission has issued licenses to other companies that were selected to cultivate, transport, and test marijuana.
The commission next month is set to issue the coveted “integrated” licenses for multifunctional companies that grow, transport and sell medical marijuana. Anderson has not yet ruled on a request to block the issuance of the integrated licenses.
Yellowhammer Medical Dispensaries had sought the pause on the dispensary licenses. Yellowhammer was selected in the commission's first two attempts to award the licenses this summer, but the commission rescinded the awards amid disputes about the selection process. Yellowhammer was not selected in the latest round.
Patrick Dungan, a lawyer representing Yellowhammer, said the company is pleased to see the court intervene.
Dungan said Yellowhammer had unsuccessfully urged the commission to allow two dispensary licenses to go forward and withhold a decision on the final two. He said the company is “only looking for a fair opportunity to be heard on how we were denied a license after achieving the second-highest score and being awarded a license twice.”
Anderson said he is sympathetic to concerns about delaying the availability of medical marijuana but said a pause on the licenses is merited.
Members of the Alabama Medical Cannabis Commission said Thursday they are aiming to get the state's medical marijuana program underway in 2024 after a series of delays and legal disputes.
Commissioners voted 7-2 for a motion declaring they have no plans to pause license awards despite ongoing lawsuits and appeals from losing companies. Supporters said the motion is intended to convey a message that they will not delay the program any longer unless ordered to do so by a court.
“We’d like to move forward with these people, the slate of awards that we’ve had in the month of December, and just get this show on the road so the people can get their medicine,” Commissioner Sam Blakemore, a pharmacist, said during the meeting.
The commission earlier this month selected more than 20 companies to cultivate, process and sell medical marijuana in the state. Under commission rules, the licenses will be awarded after license fees are paid.
Twenty-six companies have also requested hearings with the commission after their license applications were rejected.
Medical marijuana remains unavailable in Alabama more than two years after lawmakers voted to legalize it in 2021. The state had to develop rules, and the selection process has been bogged down in disputes. Commissioners paused the license process several times during the ongoing dispute.