This column discusses recent noteworthy decisions of the U.S. District Court for the Northern District of New York. This installment explores a recent decision by U.S. District Judge Anne M. Nardacci concerning yet another challenge to New York state’s cannabis licensing program. The instant case was brought by limited liability companies associated with the same plaintiff-entities involved in a 2022 challenge to the program, which was resolved by U.S. Senior District Court Judge Gary L. Sharpe. Both cases sought to enjoin New York’s cannabis licensing program on the basis that the program unfairly discriminated against out-of-state applicants, in violation of the dormant Commerce Clause.

As discussed below, Nardacci departed from the reasoning in Sharpe’s 2023 opinion that granted a preliminary injunction, instead holding that the dormant Commerce Clause does not apply to state cannabis licensing programs because cannabis is still illegal under federal law.

Sharpe Previously Found that Cannabis Licensing Program Violated Dormant Commerce Clause