New York cannabis regulators are permitted to seize products from unlicensed cannabis retailers in the state under recently adopted emergency regulations. The new rules cover unlicensed sales of both hemp and delta-9 THC products.
The regulations describe the processes by the Office of Cannabis Management (OCM) for shutting down unlicensed cannabis sales, including affixing a notice of violation and order to cease unlicensed activity on a door, window, or exterior of the building, along with a sticker “advising the public that the business is ordered to stop the unlawful activity and of the public health and safety concerns relating to illicit cannabis.”
Removing either the sign or the sticker could result in a $5,000 fine, under the new rules.
The regulations also give the agency subpoena power and the ability to bring the case before an administrative law judge.
In a statement, Chris Alexander, OCM executive director, described the rules as “a robust framework to address violations head-on, bolstering [OCM] enforcement efforts and ensuring proper compliance with cannabis laws.”
New York regulators have been slow to roll out retail cannabis sales. According to state data, there are currently just 13 licensed adult-use dispensaries, with four licensed as “temporary delivery only.”