Delaware Administrative Code
Title 4 - Alcoholic Beverage Control
Department of Safety and Homeland Security
Office of the Marijuana Commissioner
5000
5001 - Rules of the Office of the Marijuana Commissioner
Section 5001-5.0 - License Renewals, Transfers and Change of Information

Universal Citation: 5001 DE Admin Code 5001-5.0

Current through Register Vol. 28, No. 3, September 1, 2024

5.1 License renewal process

5.1.1 All licensees must apply for renewal on or before the first day of the third month preceding the biennial expiration date of a license as provided in 4 Del.C. § 1353. In addition, the following requirements apply:
5.1.1.1 A retail marijuana store licensee seeking renewal must comply with 4 Del.C. § 1332 and this regulation.

5.1.1.2 A marijuana testing facility licensee seeking renewal must comply with 4 Del.C. § 1333 and this regulation.

5.1.1.3 A marijuana cultivation facility licensee seeking renewal must comply with 4 Del.C. § 1334 and this regulation.

5.1.1.4 A marijuana product manufacturing facility licensee seeking renewal must comply with 4 Del.C. § 1335 and this regulation.

5.1.1.5 A social equity licensee seeking renewal must comply with 4 Del.C. § 1337 and this regulation.

5.1.1.6 A microbusiness licensee seeking renewal must comply with 4 Del.C. § 1341 and this regulation.

5.1.2 A marijuana establishment seeking renewal must submit:
5.1.2.1 The renewal application in the form designated by the Commissioner;

5.1.2.2 A criminal background check in accordance with 4 Del.C. §1345, including:
5.1.2.2.1 Proof of fingerprinting and state and federal criminal history records checks.

5.1.2.2.2 For applicants that are business entities, fingerprinting and criminal history record checks are required for officer, director, employee, and owner with an interest of 10% or more.

5.1.2.3 Any additional information requested by the Commissioner to verify aspects of the license, including additional information and supporting documentation related to the ownership and control of the license as described in subsection 4.4.3 of this regulation; and

5.1.2.4 Payment of the renewal fee determined by the Commissioner.

5.1.3 The Commissioner or the Division may conduct a full inspection of the licensed premise before renewing a license. If a licensee fails the inspection or submits a deficient application for renewal, the licensee may submit a plan to correct the deficiencies with an amended renewal application.

5.1.4 The Commissioner may deny a license renewal if:
5.1.4.1 The plan to correct deficiencies identified in an inspection is insufficient.

5.1.4.2 The amended renewal application is incomplete or deficient.

5.1.4.3 Applicant ownership and operational control violates Title 4 of the Delaware Code or this regulation.

5.1.4.4 The licensee violates Title 4 of the Delaware Code or this regulation during the license period.

5.1.5 A licensee who fails to apply for license renewal or whose license was not renewed by the Commissioner must cease operations at all premises and may not sell or give away marijuana to any entity or individual.

5.1.6 A license may be reinstated upon payment of the reinstatement fee specified by the Commissioner and submission of a reinstatement application approved by the Commissioner.

5.1.7 A microbusiness licensee may not request a license tier increase.

5.1.8 The Commissioner will make a decision on an application for renewal of license as prescribed 4 Del.C. § 1353.

5.2 Transfer of license

5.2.1 A transfer of a license must meet the requirements in 4 Del.C. § 1366.

5.2.2 The Commissioner may deny transfer of an interest for any proposed transferee if:
5.2.2.1 The proposed transferee does not meet the requirements of Title 4 of the Delaware Code or this regulation.

5.2.2.2 The proposed transferee has been convicted of or pleaded nolo contendere to a crime involving moral turpitude, whether or not any appeal or other proceeding is pending to have the conviction or plea set aside;

5.2.2.3 The payment of taxes due in any jurisdiction is in arrears;

5.2.2.4 The proposed transfer violates state, local or federal law; or

5.2.2.5 Other good cause exists to deny the proposed transfer.

5.2.3 Any individual or entity identified as having ownership or control of a license may not hold an ownership interest that exceeds the limitations set forth in subsection 4.1.2.

5.2.4 If the Commissioner approves a transfer of an ownership interest of a license and subsequently the Commissioner finds that a transfer violates state, local, or federal law or other binding contractual agreements, the Commissioner may:
5.2.4.1 Issue a fine against any parties involved in the transfer;

5.2.4.2 Declare the transfer void; or

5.2.4.3 Cancel the license.

5.3 Change in location of business premise

5.3.1 A marijuana establishment may not change the premises where the license is to be used without approval of the Commissioner.

5.3.2 A licensee may apply to change the premises where the license is to be used by submitting an application and applicable fee to the Commissioner on a form prescribed by the Commissioner.

5.4 All material changes to a license require the express approval of the Commissioner.

Disclaimer: These regulations may not be the most recent version. Delaware may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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