Leafly Challenges Certain New York Cannabis Regulations; Court Enters Order Blocking Enforcement
22 Setembro 2023 - 11:30AM
Business Wire
The court’s order keeps important advertising
and marketing tools available to New York Cannabis retailers
Earlier this week, Leafly, a leading online cannabis information
resource and marketplace; Stage One Dispensary in Rensselaer, New
York; and an individual consumer, jointly filed a legal challenge
to certain portions of the recently adopted Adult Use Regulations
in New York. On Thursday, the New York Attorney General’s Office
agreed to a stay, and the court entered an order to that effect,
which blocks the enforcement of the challenged regulations against
Leafly and fully operational licensed cannabis dispensaries in New
York State. Leafly is the only third-party platform that the stay
expressly allows to continue offering paid advertising services,
display retailer product pricing, and transmit orders to licensed
cannabis retailers in New York. As a result, while the stay is in
effect, licensed retailers in New York will continue to have access
to important advertising and marketing tools to help them succeed
in the legal cannabis market, and provide consumers with access to
critical information as they make purchasing decisions.
The lawsuit alleges that New York’s Office of Cannabis
Management (OCM) unfairly targeted so-called “third-party
platforms” in a misguided attempt to restrict the manner in which
retailers may market or promote their business and products, and
prevent price-shopping consumer behaviors. Leafly believes, and the
lawsuit alleges, that the adoption of these regulations by the
state is both arbitrary and capricious and a violation of the
United States and New York constitutions.
“We are very pleased with the order, but remain concerned that
the Office of Cannabis Management’s stance towards third-party
platforms deprives consumers and licensed cannabis retailers with
important tools that help them navigate legal cannabis in New York
state,” said Yoko Miyashita, CEO of Leafly. “We’ll continue to work
toward sensible regulations and are hopeful for a solution that
empowers small businesses and supports consumer education and
choice, while still protecting the public health, safety, and
welfare of the people of New York.”
“Leafly is a critical platform for us to reach consumers. The
decision is a step in the right direction and gives retailers in
New York immediate access to important tools to help them grow
their businesses,” added Galina Innes, CFO of Stage One Dispensary.
“The regulations as adopted are needless restrictions on the most
basic of market activities and only serve to undermine the emerging
legal cannabis market.”
“Leafly is an informative and valuable resource for consumers as
they navigate the complex world of cannabis,” said Rosanna St.
John, a Leafly user and one of the petitioners. “I believe everyone
has the right to be an informed shopper, to shop where they’d like,
and price compare accordingly. These regulations needlessly
restrict typical consumer activities.”
The case is Leafly Holdings, Inc. et al vs. New York State
Office of Cannabis Management et al, Index No. 908706-23, filed in
the State of New York Supreme Court in Albany County and can be
accessed through the New York State Unified Court System
database.
About Leafly
Leafly helps millions of people discover cannabis each year. The
company’s powerful tools help shoppers make informed purchasing
decisions and empower cannabis businesses to attract and retain
loyal customers through advertising and technology services. Learn
more at Leafly.com or download the Leafly mobile app through
Apple’s App Store or Google Play.
Source: Leafly Holdings, Inc.
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version on businesswire.com: https://www.businesswire.com/news/home/20230922887973/en/
Media Contact Josh deBerge josh.deberge@leafly.com
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