Detroit Dispensaries Drop Suit Against New Regs

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A group of medical marijuana dispensary owners has abandoned a lawsuit challenging Detroit’s new zoning and licensing regulations.

The rules, which took effect March 1, are expected to cut the number of dispensaries in the city to as low 50 from more than 200.

March 31 was the final day dispensaries could apply for licenses to remain open.

In their lawsuit, the 10 dispensary owners argued they should be grandfathered into the new system because they began operating before the zoning ordinance took effect last month. They dropped their lawsuit on Friday without comment, according to the Detroit Free Press.

Under the new rules, medical marijuana businesses must be 1,000 feet from schools, childcare centers, libraries and other youth gathering places, as well as city parks, tax-exempt churches and other medical marijuana establishments.

A separate attempt by a group called Citizens for Sensible Cannabis Reform also failed to stop the new regulations from taking effect,  Crain’s Detroit Business reported, apparently because the two petitions were not submitted to the city in time to force a popular vote on the matter.

At the end of last month, 203 dispensaries had submitted license applications to the city, according to Crain’s.

Detroit Corporate Counsel Melvin Hollowell told the paper that any dispensary that is not going through the licensing process is “doing so at its own risk.”