Under the new rules, business will have to reveal any agreements “that affect ownership, control or financial interests in cannabis operations.”
By Rebecca Rivas, Missouri Independent
Missouri cannabis regulators have routinely revoked microbusiness licenses for relying on contracts they’ve publicly characterized as “predatory.”
The state is hoping to put a stop to the turnover through proposed rules that will be open for public comment starting Monday through January 14.
Regulators first introduced the rules last December and have since held two opportunities for public input, before submitting them to the Missouri Secretary of State in November.
The microbusiness program—sometimes called the social-equity cannabis program—was designed to boost opportunities in the industry for people in disadvantaged communities that have been most impacted by the war on drugs. It began in 2023, after passing as part of the constitutional amendment to legalize recreational marijuana in 2022.
For the last two years, The Independent has documented a pattern of well-connected groups and individuals flooding the microbusiness lottery by recruiting people to submit applications and then offering them contracts that limit their profit and control of the business.
Of the 105 microbusiness licenses issued so far, 35 have been revoked, including 22 that involved contracts drafted by St. Louis-based Armstrong Teasdale law
Read full article on Marijuana Moment
