Judicial and regulatory choices are fueling the New Mexico marijuana market

New Mexico’s largest medical marijuana company, Ultra Health, celebrates another legal victory after a district court judge acceded to the company’s lawsuit alleging that regulators inappropriately restricted which non-state patients could buy MMJ under state reciprocity rules.

Under Medical Marijuana Law, legitimate MMJ patients from other states can purchase the drug in New Mexico.

However, regulators are establishing rules that require non-New Mexico patients to have medical marijuana cards and government-issued identification from their respective states, the Santa Mex New Mexican reported.

Ultra Health sued the state last September on the grounds that the New Mexico medical marijuana program never requires government-issued identification from out of state patients and that not all jurisdictions provide MMJ cards.

According to the lawsuit, the regulations violated the state’s MMJ law and affected around 5,000 patients outside of the state.

The judge agreed and gave Ultra Health another win over the state, which won a judicial battle against increased testing for pesticides and pollutants in January.

In a separate development, New Mexico cannabis regulators said they will no longer levy taxes on limited amounts of medicinal marijuana as of June 29, and will also increase the cap on the number of plants.

The June 29 deadline is part of New Mexico’s new law that legalizes the possession and sale of recreational marijuana.

MMJ licensed companies that had raised concerns about supply bottlenecks after its adult launch in early 2022 received a letter on Wednesday informing them of the changes, Associated Press reported.

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