Company sues Alabama Medical Cannabis Commission over licensing
A company that hopes to produce and sell medical marijuana in Alabama has sued the Alabama Medical Cannabis Commission, alleging problems in the AMCC’s awarding of licenses, a process that was already on hold.
Alabama Always LLC filed the lawsuit Thursday afternoon in Montgomery County Circuit Court. The company is asking the court to issue a temporary restraining order on the licensing.
The AMCC awarded 21 licenses on June 12, choosing from among 90 applicants. Alabama Always applied for an integrated license, which would allow it to cultivate, produce, and sell medical marijuana, but was not selected.
The AMCC has already acknowledged the process was flawed. At an emergency meeting on June 16, the commission voted to suspend the process and said it would not issue licenses based on the June 12 meeting. AMCC Chair Dr. Steven Stokes said the staff had found potential inconsistencies in scoring the applicants. The AMCC said it would resume the process after an independent review.
In the lawsuit, Alabama Always cites concerns about the AMCC’s use of third-party evaluators to score the applications. The AMCC hired the University of South Alabama to recruit evaluators. The lawsuit alleges that the AMCC failed to exercise independent judgement in choosing which companies were most qualified.
The lawsuit also raises concerns that the AMCC held deliberations on the licensing decisions behind closed doors, rather than during the brief portion of the June 12 meeting that was open to the public.
According to the lawsuit, Alabama Always is nearing completion of a cultivation and production facility for medical marijuana in an economically depressed area just west of Montgomery. The complaint said the company has spent $4.5 million on the facility. Alabama Always intends to sell medical cannabis products at dispensaries in Montgomery, Tuscaloosa, Birmingham, Gadsden, and Mobile, according to the complaint.
The Legislature passed a law in 2021 to authorize medical marijuana. Alabama is one of 38 states that have legalized medical cannabis, according to the National Conference of State Legislatures.
Alabama’s industry will be fully intrastate. Doctors who receive certification will be able to recommend medical cannabis products for a wide range of conditions and symptoms. Those include autism spectrum disorder; cancer-related pain, weight loss, and vomiting; Crohn’s Disease; depression; epilepsy or conditions causing seizures; HIV/AIDS-related nausea or weight loss; panic disorder; Parkinson’s Disease; persistent nausea; post-traumatic stress disorder (PTSD); sickle cell anemia; spasticity associated with multiple sclerosis or spinal cord injury; Tourette’s Syndrome; a terminal illness; and conditions causing chronic or intractable pain.
Licensed dispensaries will sell the products, which can include pills, capsules, tinctures, gel cubes, creams, patches, suppositories, nebulizers, and liquids or oils for an inhaler. No raw plant materials or products for smoking or eating will be allowed.
Officials have said the products could be ready late this year or in early 2024 but that litigation could potentially delay the availability.