An Arkansas medical cannabis company filed a lawsuit against three state agencies over a failed bid to win a dispensary license.
The suit argues that after a business that initially was granted a permit failed to open, regulators should have given a “replacement” license to Medicanna, which had the second-highest application score.
Instead, the Medical Marijuana Commission awarded the license in question to Nature’s Herb & Wellness in a process that was “plagued by unlawful and inconsistent procedures,” according to the lawsuit.
Pine Bluff-based Medicanna was disqualified because it accepted the return of half its $7,500 application fee, the complaint alleges.
Arkansas previously received heavy criticism for the way it handled the application process for MMJ cultivation licenses.
A spokesperson for the Department of Finance and Administration told Arkansas Business the agency is reviewing the lawsuit along with the state attorney general’s office.