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Greenbaum, Rowe, Smith & Davis LLP Client Alert

Members of the firm recently helped counsel, guide and assist a client in the submission of three applications for a New Jersey Alternative Treatment Center (ATC) license.  An ATC is defined by the State as “a permitted alternative treatment center authorized to grow and provide registered qualifying patients with medicinal marijuana and related paraphernalia in accordance with the provisions of the New Jersey Compassionate Use Medical Marijuana Act (CUMMA).”

The New Jersey Department of Health (NJDOH) issued a Request for Application (RFA) for the licensing of up to six additional ATCs, to be located throughout New Jersey, with two licenses to be granted in each of the North, Central, and South regions (as defined by the NJDOH).  Applications were made available on August 2, 2018 with all applications due no later than August 31, 2018. 

The firm’s team – Jack Fersko, Robert S. Goldsmith, Steven Firkser and Mitchel S. Kay – implemented a general approach centering on a conservative reading of CUMMA and the regulations promulgated thereunder, supplemented by information provided by the NJDOH within the RFA, including the application instructions and subsequently issued FAQs. Legal efforts on this project focused heavily on real estate transactions, corporate structuring and federal, state and local regulatory compliance related to zoning.

The NJDOH stated within the RFA that it anticipates the release of two additional RFAs in the fall of 2018 and winter of 2019, after currently proposed rule amendments are adopted.  Updated legislation for adult-use marijuana is also expected to be proposed in the upcoming weeks.

For further information, please contact Jack Fersko, Robert S. Goldsmith, Steven Firkser or Mitchel S. Kay.

The possession, sale, manufacture, use or distribution of marijuana is illegal under federal law, which could result in severe financial and criminal penalties. The legalization of marijuana under any state or local law does not override the federal law. No legal advice we give is intended to provide any guidance or assistance in violating federal law. Any legal work or advice the firm may provide related to contracts, financing, leasing, the formation of business entities, dispute resolution or any other legal work that a business may require shall not be construed as advising or encouraging a client to engage in a business or activity that violates any federal or state law.