A federal judge has struck down Missouri’s residency requirement for possession within the state’s medical marijuana corporations, which may open the door to out-of-state operators capturing a bigger share of the fledgling trade.

The requirement had already been blocked from enforcement in June by U.S. District Judge Nanette Laughrey of the Western District of Missouri. Last week, after a seven-minute trial, Laughrey mentioned she would enjoin the rule completely, in keeping with data of the case. An official order has not but been issued by the courtroom.

The Missouri Department of Health and Senior Services, which oversees the medical marijuana program, indicated Tuesday it received’t enchantment the choice.

“We are happy to have clarity on how we should handle the ownership residency requirement in the Missouri Constitution and will comply with the court’s decision,” spokeswoman Lisa Cox mentioned in an e mail.

As a part of the constitutional modification permitting medical marijuana that Missouri voters authorized in 2018, state-licensed marijuana cultivation crops, dispensaries and manufacturing services should be majority-owned by Missouri residents of at the very least one yr.

The rule was challenged in a lawsuit by Pennsylvania-based investor Mark Toigo final December, arguing that it violated the U.S. Constitution’s commerce clause. [Read more at Kansas City Star]

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