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This entry was published on 2021-04-09
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SECTION 126
License to be confined to premises licensed; premises for which no license shall be granted; transporting cannabis
Cannabis (CAN) CHAPTER 7-A, ARTICLE 6
§ 126. License to be confined to premises licensed; premises for which
no license shall be granted; transporting cannabis. 1. A registration,
license, or permit issued to any person, pursuant to this chapter, for
any registered, licensed, or permitted premises shall not be
transferable to any other person, to any other location or premises, or
to any other building or part of the building containing the licensed
premises except in the discretion of the office. All privileges granted
by any registration, license, or permit shall be available only to the
person therein specified, and only for the premises licensed and no
other except if authorized by the board. Provided, however, that the
provisions of this section shall not be deemed to prohibit the amendment
of a registration or license as provided for in this chapter. A
violation of this section shall subject the registration, license, or
permit to revocation for cause.

2. Where a registration or license for premises has been revoked, the
board in its discretion may refuse to issue a registration, license, or
permit under this chapter, for a period of up to five years after such
revocation, for such premises or for any part of the building containing
such premises and connected therewith.

3. In determining whether to issue such a proscription against
granting any registration, license, or permit for such five-year period,
in addition to any other factors deemed relevant to the board, the board
shall, in the case of a license revoked due to the sale of cannabis to a
person under the age of twenty-one not otherwise authorized by this
chapter, determine whether the proposed subsequent licensee has obtained
such premises through an arm's length transaction, and, if such
transaction is not found to be an arm's length transaction, the office
shall deny the issuance of such license.

4. For purposes of this section, "arm's length transaction" shall mean
a sale of a fee of all undivided interests in real property, lease,
management agreement, or other agreement giving the applicant control
over the cannabis at the premises, or any part thereof, in the open
market, between an informed and willing buyer and seller where neither
is under any compulsion to participate in the transaction, unaffected by
any unusual conditions indicating a reasonable possibility that the sale
was made for the purpose of permitting the original licensee to avoid
the effect of the revocation. The following sales shall be presumed not
to be arm's length transactions unless adequate documentation is
provided demonstrating that the sale, lease, management agreement, or
other agreement giving the applicant control over the cannabis at the
premises, was not conducted, in whole or in part, for the purpose of
permitting the original licensee to avoid the effect of the revocation:

(a) a sale between relatives;

(b) a sale between related companies or partners in a business; or

(c) a sale, lease, management agreement, or other agreement giving the
applicant control over the cannabis at the premises, affected by other
facts or circumstances that would indicate that the sale, lease,
management agreement, or other agreement giving the applicant control
over the cannabis at the premises, is entered into for the primary
purpose of permitting the original licensee to avoid the effect of the
revocation.

5. No registered organization, licensee or permittee shall transport
cannabis products or medical cannabis except in vehicles owned and
operated by such registered organization, licensee or permittee, or
hired and operated by such registered organization, licensee or
permittee from a trucking or transportation company permitted and
registered with the board.

6. No common carrier or person operating a transportation facility in
this state, other than the United States government, shall knowingly
receive for transportation or delivery within the state any cannabis
products or medical cannabis unless the shipment is accompanied by a
copy of a bill of lading, or other document, showing the name and
address of the consignor, the name and address of the consignee, the
date of the shipment, and the quantity and kind of cannabis products or
medical cannabis contained therein.