The U.S. Court of Appeals for the Ninth Circuit reversed a district court’s decision to abstain from exercising jurisdiction over an action challenging Sacramento, California’s policy that requires individuals applying for permits to operate storefront marijuana dispensaries be residents of the city.

The U.S. District Court for the Eastern District of California previously abstained and stayed the case because of issues between federal and state cannabis legalization. However, the Ninth Circuit concluded in a March 4 opinion, authored by Judge Salvador Mendoza Jr., that an abstention wasn’t warranted as there were no exceptional circumstances present.