The early rollout of adult-use cannabis sales in Nevada may not start in July after a district court judge signed an order barring the state from issuing MJ distribution licenses under rules recently adopted by regulators.
The order stems from a lawsuit filed by liquor wholesalers. They argue that under the letter of a voter-approved ballot measure, only licensed liquor wholesalers can hold MJ distribution licenses for at least the first 18 months of recreational sales, according to the Las Vegas Review-Journal.
Many in the industry had anticipated that MJ growers and retailers would be able to land distributor licenses so they could save on shipping costs by transporting product themselves, as opposed to paying licensed liquor distributors. But now that may not be the case.
As the Review-Journal reported, “Temporary regulations adopted by the Tax Commission on May 8 give the tax department discretion to give those licenses to companies beyond those liquor wholesalers.”
An attorney for the liquor wholesalers said it’s “very likely” the court order could delay the start of rec sales, though that’s not the intent of the lawsuit.
“We just want our rightful place,” the attorney said.