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Code · Maryland · Alcoholic Beverages and Cannabis

§ 36-503

266 words·~1 min read·/md/alcoholic-beverages-and-cannabis/36-503·

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§36–503.
(a)A cannabis license granted under this title is not transferable except as provided in this section.
(b)To transfer ownership or control of a license issued under this title, a licensee:
(1)shall submit to the Administration:
(i)an application fee in an amount to be determined by the Administration in accordance with this subtitle; and
(ii)an application developed by the Administration; and
(2)must meet the requirements for transfer of ownership or control established by the Administration under this title.
(1)A cannabis licensee, including a cannabis licensee whose license was converted in accordance with § 36–401 of this title, may not transfer ownership or control of the license for a period of at least 5 years following licensure.
(2)The 5–year period specified in paragraph
(1)of this subsection does not include the time period that a business is considered by the Administration to be in a preapproved licensure status.
(3)The limitations under this subsection do not apply to:
(i)transfers as a result of the disability, incapacity, or death of the owner of a cannabis license, bankruptcy or receivership in accordance with a lending agreement of a cannabis licensee, or court order; or
(ii)the sale of a cannabis licensee to the licensee’s employees through an employee stock ownership plan as defined in § 407(d)(6)(A) of the Employee Retirement Income Security Act of 1974.
(4)The limitations under this subsection do not apply to a transfer of ownership that is the subject of a legally binding settlement agreement resulting from litigation commenced on or before January 1, 2023.
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