In a challenge to Oklahoma’s residency requirements for medical cannabis licenses, a Washington-based cannabis company has filed suit in Federal court against the state, arguing its laws discriminate against out-of-state operators and are in violation of the dormant Commerce Clause in the U.S. Constitution.

Original Investments LLC, doing business as Dank’s Wonder Emporium, has an intellectual property licensing agreement with an Oklahoma dispensary and is contesting both the residency requirement and ownership rules—out-of-state investors are limited to a 25 percent ownership stake. The law requires applicants to provide proof of residency for either two years preceding their application or five years over the past twenty-five years.

Washington-Based Cannabis Company Cries Foul Over Oklahoma’s Residency Laws