Maine’s largest medical marijuana firm is suing the city of Portland in federal court docket, claiming that an adult-use licensing choice for residents violates the commerce clause of the U.S. Constitution.

Wellness Connection of Maine, a vertically built-in operation with 4 MMJ dispensaries within the state, filed an identical authorized problem towards the state. The state backed off, dropping a four-year residency requirement.

Wellness Connection’s proprietor is High Street Capital Partners, which does enterprise as Acreage Holdings, a New York-based multistate operator.

Portland lately handed an ordinance that caps marijuana retail shops at 20 and places in place a aggressive scoring system that offers bonus factors to companies that meet a five-year residency choice.

The Wellness Connection’s lawsuit towards Portland, filed in U.S. District Court in Maine, argues that “more than 25% of the points available either are reserved for Maine residents or are awarded based on a consideration that strongly favors Maine residents.”

The ordinance is in impact, however a metropolis official mentioned marijuana retail purposes received’t be reviewed till after Aug. 31, in response to the Portland Press Herald.

The residency challenge continues to be litigated on the state degree, too.

Local marijuana companies lately sued the state, claiming Maine regulators had no authorized authority to drop the residency requirement with out a court docket choice or state legislative motion.

The launch of Maine’s adult-use market has been delayed by the coronavirus disaster, which, in flip, has slowed efforts by municipalities equivalent to Portland to undertake leisure ordinances.

A market launch now isn’t anticipated till the autumn on the earliest.

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