A group of medical marijuana companies in Kentucky have filed a lawsuit claiming the rollout of the state’s MMJ program is unconstitutional.
The companies, which had hoped to win processing and dispensary licenses, are suing the commonwealth and Sam Flynn, formerly executive director of the state’s Office of Medical Cannabis (OCM).
The suit alleges that the Kentucky General Assembly illegally authorized the state’s Cabinet of Health and Family Services to oversee and regulate the MMJ industry, especially the licensing process, James Gregory Troutman, attorney for the Jefferson County-based plaintiffs, told the Louisville Courier Journal.
The lawsuit, filed June 27 in Jefferson Circuit Court, also asks the court to suspend the operations of existing licensed MMJ businesses and issue licenses to the plaintiffs who were not selected in the 2024 lotteries in which the permits were initially awarded.
“We’re taking issue with the Legislature failed to be the ones who decided how the state would be carved up for licensing purposes into various regions and how those licenses would be allocated within the regions,” Troutman told the Courier Journal.
“We believe that was a function that the legislature – and the Legislature only – had to address.”
The lawsuit comes after local cannabis business owners and farmers as well as community members complained about the program’s application process and lottery.
Some Kentucky business owners claim that out-of-state businesses were able to submit multiple applications using loopholes in state law.
The state auditor in Kentucky, Allison Ball, said in April she planned to investigate the program as a result of the claims.
Flynn served as executive director of the OCM from his appointment in 2023 until his departure this year.
Cannon Armstrong took over the post effective June 1.
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