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Tag: cannabis regulation

  • Cannabis shop planning Southampton opening at odds with town | Long Island Business News

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    THE BLUEPRINT:

    • plans to open the Hamptons’ first state-licensed dispensary on Sept. 16.

    • The dispensary lacks a required from .

    • Founder argues state law overrides local municipal codes.

    • Southampton warns it will take legal action if the store opens without local approval.

    A new  plans to open the first state-licensed dispensary in the Hamptons next week, but the Town of Southampton may snuff out those plans.  

    The new 1,000-square-foot boutique dispensary called Charlie Fox announced it will open at 471 County Road 39 in Southampton on Tuesday, Sept.16, though the business has yet to apply for or receive the town’s required special use permit.  

    Charlie Fox Co-founder James Mallios. / Photo by Gregory DelliCarpini Jr.

    Founded by public relations and branding veteran Julia Levi and restaurateur James Mallios, Charlie Fox made its debut in Manhattan’s Times Square in Dec. 2024, where the multi-level emporium opened to rave reviews. The New York Post dubbed Charlie Fox “the Bergdorf of weed,” and Elle Decor called it “the most luxurious cannabis shop of all time.” 

    After new owners took over the Times Square dispensary earlier this year, renaming it The Daily Green, Levi, who had already leased the Southampton location last fall, advanced plans to take the Charlie Fox concept out east. 

    “After the location changed hands and I received my own cannabis license, we chose to relocate the brand to the Hamptons,” Levi told LIBN. “I live and run businesses here, and Long Island’s emerging, farm-driven, wellness-focused cannabis scene fits Charlie Fox perfectly.” 

    However, while Levi says the dispensary received approval to open and operate from the state’s Office of Cannabis Management (OCM) last month, Southampton Deputy Town Attorney Kathleen Murray said that Charlie Fox hasn’t applied for the town-required special use permit to operate. 

    “While a licensee may have received permissions/approval from the state to operate, they still need local approvals to operate,” Murray said, adding that OCM requires licensees to sign an acknowledgement that they still must obtain any local approvals required prior to opening and operating. “If it opens without the town’s approval, the town will pursue all enforcement remedies available to it under the law.” 

    The Charlie Fox dispensary is also located in close proximity to the Tuckahoe School property, which would preclude it from opening, according to town regulations. 

    Cannabis gummies offered by Charlie Fox. / Photo by Charles Nordeen

    Murray said that about seven cannabis dispensaries have begun the process of applying for town approvals, with five formally applying to the town’s Planning Board for site plan and special exception approval.  Of those five, four have received approval from the Planning Board, she said. None have yet opened. 

    One of those that has received conditional Planning Board approval is suing the town for “unlawfully blocking” the business from opening. The lawsuit, filed in State Supreme Court by Brown Budda New York LLC last month, claims the town has created arbitrary and capricious hoops to jump through to open its dispensary, which conflicts with state law. 

    The Brown Budda lawsuit cites the state’s Marijuana Regulation and Taxation Act enacted in 2021 that while municipalities “may pass local laws and regulations governing the time, place and manner of the operation of licensed  retail dispensaries and/or on-site consumption site, provided such law or regulation does not make the operation of such licensed retail dispensaries or on-site consumption sites unreasonably impracticable…” 

    While Brown Budda has yet to fulfill the town’s conditional demands to open, which its attorney says includes a $40,000 sidewalk, the owner of Charlie Fox maintains it doesn’t need a green light from Southampton to open.  

    When asked about the town’s cannabis dispensary requirements, Levi claims that state law preempts any municipal codes, and that when municipalities opted in to allow cannabis stores, they agreed to give up the right to approve licensees and understood that they could only prevent a store from opening in very narrow circumstances. 

    “When the state legislature passed legalization, it was specifically concerned that municipalities were too susceptible to corruption given the huge tax dollars at stake,” Levi said. “It is well established that the state legislature was worried that towns would ‘play favorites’ or worse, bully and force social licensees into economic concessions.” 

    Meanwhile, Levi and Mallios are moving ahead with their plans, partnering with Vema Construction and Home Studios on the Charlie Fox store build and design, which highlights “the allure of nautical charm through natural materials, vintage details, and seaside-inspired elements,” according to a company statement. 

    “Too many dispensaries felt intimidating or transactional,” Levi said. “We wanted to create a brand that felt personal and approachable and see that reflected that in the store design and customer experience…Sit back in our lounge area and chat about the offerings with oldies soul spinning in the background. I wanted Charlie Fox to not only appeal to my generation, but my 74-year-old dad and his friends too.” 


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    David Winzelberg

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  • Can Cannabis Strains Be Patented?

    Can Cannabis Strains Be Patented?

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    Emily Mullins

    Posted by Emily Mullins on 04/02/2024 in Cannabis Laws

    Can Cannabis Strains Be Patented?Can Cannabis Strains Be Patented?

    Cannabis “strains” are distinct genetic varieties of the cannabis sativa plant that are bred for certain desirable characteristics such as aroma, terpene profile, potency, or flavor. Although it seems strange to patent a breathing, developing live organism, plants have been granted patents in the United States since the 1930s, with the very first plant patent being issued to Henry Bosenberg for a special breed of rose in 1931.

    For breeders and cultivators, patenting a cannabis strain can provide advantages by granting exclusive rights to unique genetic compositions and desirable traits inherent in a particular plant. With patent protection, a breeder can benefit from compensation for their investment of time, resources, and expertise into developing novel cannabis varieties with enhanced properties. 

    How are Strains Created?

    Cannabis breeders combine traditional horticultural techniques with modern scientific knowledge of genetics.

    Typically, a breeder will select parent plants, a male and a female plant, that exhibit desired traits, such as high potency, unique flavors, or specific medicinal properties. Then, these ideal parent plants are cross-pollinated to create diverse offspring with traits combined from both parents in a process called selective breeding. Pollen is extracted from a male plant and then gently deposited onto the flowers of the female plant, and seeds develop within six weeks.

    Through successive generations of careful selection, breeders isolate and stabilize desired traits while eliminating undesirable ones over time. Ultimately, the aim is to develop plants that offer consumers unique, appealing characteristics. 

    Patenting Plants

    A plant patent is an intellectual property right granted to protect an inventor’s discovery or cultivation of a new variety of plants. The Plant Patent Act states that:

    “Whoever invents or discovers and asexually reproduces any distinct and new variety of plant, including cultivated sports, mutants, hybrids, and newly found seedlings, other than a tuber propagated plant or a plant found in an uncultivated state, may obtain a patent therefor…”

    Plants discovered in nature cannot be patented, because they occur spontaneously through biological processes and were not invented. Someone is said to have “invented” a plant and is eligible for a plant patent if the person created a novel and unique variety of a plant that they are able to reproduce asexually, such as by grafting.

    Additionally, the plant eligible for a plant patent must have been altered by the inventor to the extent that the resulting organism is considered non-naturally occurring. Obtaining a plant patent ultimately ensures that an inventor, who invested labor and skill into producing a novel plant product, has protection from other growers cloning the plant or selling the plant and any of its parts.

    Plants can also be designated as intellectual property with a utility patent, which provides more comprehensive protection. A plant patent is limited to protecting a single plant and its direct descendants, so the patent does not cover plants grown from the seeds of the patented mother plant, just clones of the mother plant and its parts.

    On the other hand, a utility patent gives its owner the right to prevent any person in the US from making, using, selling, or importing the plant itself as well as its clones, tissues, or even individual cells, regardless of whether the plant is sexually or asexually produced. In order to obtain this type of patent, the cannabis plant must not be naturally occurring, and it must demonstrate usefulness and novelty, and its innovation must be non-obvious. 

    Patenting a Cannabis Strain

    Although it is federally illegal in the United States to possess, distribute, or cultivate cannabis plants (that do not meet the standards for classification as “hemp”), the US still grants patent protection for illegal substances just as they do for legal inventions. As long as an inventor can prove that their cannabis plant is novel, distinct, and non-natural, the plant is eligible for a US patent, and as of 2021, 12 patents for cannabis plant varieties have been issued.

    Thus, under plant patents and utility patents, you can patent strains of cannabis. To apply for a patent, the inventor must prove that they discovered or created a strain that is not naturally occurring and is different from other existing plants by at least one distinguishing characteristic which is not caused by growing conditions (like fertilizers, etc.). Furthermore, the inventor must prove that the invention was not obvious to somebody with ordinary skills. These patents last around 20 years. 

    A patent application for either a plant or utility patent to protect your cannabis strain must contain information such as:

    • What plants/breeds were crossed,
    • Description of plant phenotype, botanical features, and properties that distinguish the plant from other known plants,
    • If the plant was propagated asexually, technical details about the manner and placement of propagation,
    • Pictures of the plant, 
    • A certificate of analysis (depending on the state) or some other scientific description of how reported cannabinoid levels were ascertained. 

    The Future of Cannabis Patents

    While intellectual property rights offer incentives for innovation and investment in the development of novel cannabis plants, these legal protections also raise concerns about accessibility to medicinal cannabis and potential monopolization by corporate entities.

    With substantial financial resources, extensive legal teams, and established market networks, large corporations possess a distinct advantage in navigating the complexities of the patenting process. Patents cost money, and small-scale growers can be effectively out-competed by enterprises in possession of more resources to conduct massive breeding operations and ultimately claim more numerous and more optimized strains for themselves.

    Large corporations can leverage their resources to invest in sophisticated cultivation facilities to conduct extensive research and accelerate the creation of unique strains with desirable traits. Moreover, wealthier companies have greater access to distribution channels, which enables them to scale up production and reach a wider consumer base, thus profiting more from their creations than small-scale growers.

    Despite the risk of monopolization in the industry, patenting cannabis plants is a relatively new phenomenon, and we are living through a future that holds promise for exciting discoveries, unforeseen opportunities, and novel experiences of the effects offered by the cannabis plant.

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