Last Week, the Oregon Liquor Control Commission, issued its Temporary Recreational Marijuana Rules (the “Rules”). As discussed in my prior post, the Rules require that individual license applicants meet Oregon residency requirements. The owners of the majority of any legal entity that applies for a license must also meet the two year residency requirement.
The Rules, however, do allow for non-resident individuals and businesses to apply for a recreational marijuana license. The non-resident’s application, however, will be placed on hold until 30 days after the 2016 Oregon Legislature adjourns. What this does is it gives the Oregon Legislature the opportunity to strike the Rules’ residency requirement. If the Legislature does remove the residency requirement, then the non-resident applicant will be able to proceed with the marijuana licensing process.
Given this possible action by the Oregon Legislature, it is likely that non-residents will apply for Oregon marijuana licenses in January of 2016. Key in submitting a license application is finding a suitable location for your marijuana business. I have discussed this issue in prior posts. As in Washington, many jurisdictions in Oregon have decided to prohibit marijuana businesses. The OLCC regularly publishes lists of cities and counties that have prohibited marijuana businesses. This list can be found on the OLCC site here.
In considering whether to apply for a marijuana license in Oregon or elsewhere, it is important to consult with legal counsel, to make sure that you fully understand all of the applicable rules and regulations
For more information on the regulation of marijuana businesses, please contact Heather Wolf.