N.Y. Comp. Codes R. & Regs. tit. 9 § 123.1

Current through Register Vol. 46, No. 36, September 4, 2024

Section 123.1 - Nursery Ownership, Interests, Business Authorizations and Prohibitions

(a) A nursery may produce, package, label, and distribute clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture, and cannabis seeds only to a duly licensed nursery, cultivator, cooperative or collective, microbusinesses, ROND or ROD.

(b) A nursery may only propagate mature cannabis plants for use in the production of clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture, and cannabis seeds or for sale to other nurseries for the production of clones, seedlings, immature cannabis plants, cloned propagation material, tissue culture, and cannabis seeds.

(c) A nursery shall not hold a retail dispensary, on-site consumption, or delivery license.

(d) A nursery may hold a cultivator, cooperative or collective, microbusiness, ROND or ROD license.

(e) A nursery or its true party of interest may be a true party of interest in a cultivator, processor, distributor, cooperative or collective, microbusiness, ROND or ROD license.

(f) A nursery may only hold one (1) nursery license, but may engage in licensed activities at multiple premises, and their true parties of interest are not restricted in the number of nursery licenses in which they have an interest.

(g) A nursery or its true party of interest may have a goods and services agreement with an adult-use cultivator, processor, distributor, cooperative or collective, microbusiness, ROD, and ROND licensee, subject to all restrictions governing such relationships, including, but not limited to, undue influence, control, and true party of interest requirements.

(h) In addition to any other restrictions or prohibitions in this Title, including, but not limited to, Part 124 of this Title, no nursery licensee or its true party of interest shall be permitted to hold a direct or indirect interest, including by being a true party of interest, passive investor, or having a goods and services agreement with, or by any other means, in an adult-use retail dispensary, on-site consumption, delivery, registered organization, or cannabis laboratory licensee or permittee.

(i) Where a nursey license is held by a ROD, the licensee and its true parties of interest shall be subject to the true parties of interest requirements set forth for the ROD license.

N.Y. Comp. Codes R. & Regs. Tit. 9 § 123.1

Adopted New York State Register September 27, 2023/Volume XLV, Issue 39, eff. 9/27/2023