Buffalo, N.Y. (WBEN) - Confusion stemming from a ruling by a New York Judge last week has been somewhat clarified and the initial edict was quickly amended to do away with bans on third-party platforms.
Related
The Wednesday ruling was amended Thursday to reflect a much narrower decision after cannabis growers, sellers and other supporters voiced concerns about the implications. State Supreme Court Justice Kevin Bryant, in a strongly worded decision, sided with Leafly in declaring the state's rules were arbitrary, capricious and therefore unconstitutional. His ruling initially appeared to void not just the marketing and advertising rules in question but the state's entire regulatory regime for being “unconstitutionally vague.”
The decision was later amended to show that the judge voided the state rules dealing only with so-called third-party platforms such as Leafly that help marijuana companies market and promote their products.
Aleece Burgio of Colligan Law says we'll have to see how this regulates itself.
"In other states, what we typically see is third party companies that can list out and you can rate and review products from all different types of dispensaries, and in some cases, you can order off those websites as well. I think this now being voided as arbitrary and capricious by the court is going to open the door for these third parties to now start offering services," said Burgio in an interview with WBEN.
According to Burgio, it would allow more recognition on certain products that are gonna get reviewed at all different types of dispensaries, and show where the products are listed at dispensaries.
Burgio says the ruling should not affect dispensaries.
"The only company this ruling effects are these outside companies who don't have licenses, but are traditionally part of the cannabis market," Burgio said. "Those are the guys who are kind of sitting there waiting to see if they can be part of the market in terms of their marketing efforts, assisting on which products to purchase and getting a handle on the New York market, and what products are popular."
In fact, Burgio says this will help dispensaries.
"All these dispensaries don't hold the same product, so it's nice to have a third party because the third party can let a consumer know which dispensaries are carrying which product. Now the third parties themselves can't administer or distribute any of the cannabis. It's more so for the benefit of the dispensaries to be able to market through that platform," she explained.
Burgio anticipates an appeal by the Office of Cannabis Management.