NY Marijuana Convict Licensing Scheme Nixed by Second Circuit

Aug. 12, 2025, 3:36 PM UTC

New York’s cannabis licensing scheme prioritizing applicants with marijuana convictions in the state violates the US Constitution’s interstate commerce protections, the Second Circuit said Tuesday in a ruling that avoids a circuit split.

That part of the law is a “protectionist measure that cannot stand,” Judge Dennis Jacobs wrote for the majority. The decision is a win for the owners of Variscite NY Four LLC and Variscite NY Five LLC, who say they were harmed when the state excluded them from receiving “extra priority” review for their adult-use license application because they were convicted of marijuana offenses ...

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