<?xml version='1.0' encoding='utf-8'?>
<subtitle article="gab" title_number="36" subtitle_number="5" title_name="Medical and Adult-Use Cannabis" subtitle_name="Agent, Owner, and License Transfer Requirements">
  <section article="gab" article_name="Alcoholic Beverages and Cannabis" number="36-501" title_number="36" title_name="Medical and Adult-Use Cannabis" subtitle_number="5" subtitle_name="Agent, Owner, and License Transfer Requirements">
    <level label="a">
      <text>A cannabis agent must be registered with the Administration before the agent may volunteer or work for a cannabis licensee or cannabis registrant.</text>
    </level>
    <level label="b">
      <text>A cannabis agent registration is valid for 2 years.</text>
    </level>
    <level label="c">
      <level label="1">
        <text>Except as provided in paragraph (2) of this subsection, to register as a cannabis agent with the Administration, an individual must:</text>
        <level label="i">
          <text>be at least 21 years old; and</text>
        </level>
        <level label="ii">
          <text>if the records are legally accessible, obtain a State and national criminal history records check in accordance with § 36–505 of this subtitle.</text>
        </level>
      </level>
      <level label="2">
        <text>A cannabis agent who is employed to provide security services for a cannabis licensee or cannabis registrant as a security guard or by a security guard agency, as defined in § 19–101 of the Business Occupations and Professions Article, is not required to obtain a State or national criminal history records check in accordance with § 36–505 of this subtitle if the cannabis agent is authorized to provide security guard services under Title 19, Subtitle 4 of the Business Occupations and Professions Article.</text>
      </level>
    </level>
    <level label="d">
      <level label="1">
        <text>The Administration may not register as a cannabis agent an individual who does not meet the criteria established under subsection (c) of this section.</text>
      </level>
      <level label="2">
        <text>The Administration may disqualify an individual from registering as a cannabis agent if the individual 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.</text>
      </level>
    </level>
    <level label="e">
      <text>The Administration may not deny a cannabis agent registration based on any cannabis–related offenses occurring before July 1, 2023.</text>
    </level>
    <level label="f">
      <text>A cannabis licensee shall require each registered cannabis agent to complete a cannabis agent training program authorized under this title:</text>
      <level label="1">
        <text>within 90 days of the cannabis agent’s start date as an employee of or volunteer for the cannabis licensee; and</text>
      </level>
      <level label="2">
        <text>at least once every 2 years.</text>
      </level>
    </level>
    <level label="g">
      <text>A registration of a cannabis agent issued by the Natalie M. LaPrade Medical Cannabis Commission on or before July 1, 2023, shall:</text>
      <level label="1">
        <text>be valid under this title; and</text>
      </level>
      <level label="2">
        <text>authorize the cannabis agent to be employed by or volunteer with a licensed cannabis business.</text>
      </level>
    </level>
  </section>
  <section article="gab" article_name="Alcoholic Beverages and Cannabis" number="36-502" title_number="36" title_name="Medical and Adult-Use Cannabis" subtitle_number="5" subtitle_name="Agent, Owner, and License Transfer Requirements">
    <level label="a">
      <text>A person wishing to hold an ownership interest of 5% or greater in, or control of, a cannabis licensee shall submit to the Administration:</text>
      <level label="1">
        <text>an application that includes the name, address, and date of birth of the applicant;</text>
      </level>
      <level label="2">
        <text>a statement signed by the applicant asserting that the applicant has not previously had a cannabis license or cannabis registration suspended or revoked;</text>
      </level>
      <level label="3">
        <text>a State and national criminal history records check in accordance with § 36–505 of this subtitle;</text>
      </level>
      <level label="4">
        <text>any information required by the Administration to complete an investigation into the background of the applicant, including financial records and other information relating to the business affairs of the applicant; and</text>
      </level>
      <level label="5">
        <text>an application fee in an amount to be determined by the Administration in accordance with this subtitle.</text>
      </level>
    </level>
    <level label="b">
      <text>The Administration may deny an application if:</text>
      <level label="1">
        <text>the applicant:</text>
        <level label="i">
          <text>fails to submit the information required under subsection (a) of this section; or</text>
        </level>
        <level label="ii">
          <text>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; or</text>
        </level>
      </level>
      <level label="2">
        <text>the Administration finds a substantial reason to deny the registration.</text>
      </level>
    </level>
  </section>
  <section article="gab" article_name="Alcoholic Beverages and Cannabis" number="36-503" title_number="36" title_name="Medical and Adult-Use Cannabis" subtitle_number="5" subtitle_name="Agent, Owner, and License Transfer Requirements">
    <level label="a">
      <text>A cannabis license granted under this title is not transferable except as provided in this section.</text>
    </level>
    <level label="b">
      <text>To transfer ownership or control of a license issued under this title, a licensee:</text>
      <level label="1">
        <text>shall submit to the Administration:</text>
        <level label="i">
          <text>an application fee in an amount to be determined by the Administration in accordance with this subtitle; and</text>
        </level>
        <level label="ii">
          <text>an application developed by the Administration; and</text>
        </level>
      </level>
      <level label="2">
        <text>must meet the requirements for transfer of ownership or control established by the Administration under this title.</text>
      </level>
    </level>
    <level label="c">
      <level label="1">
        <text>A cannabis licensee, including a cannabis licensee whose license was converted in accordance with § 36–401 of this title, may not transfer ownership or control of the license for a period of at least 5 years following licensure.</text>
      </level>
      <level label="2">
        <text>The 5–year period specified in paragraph (1) of this subsection does not include the time period that a business is considered by the Administration to be in a preapproved licensure status.</text>
      </level>
      <level label="3">
        <text>The limitations under this subsection do not apply to:</text>
        <level label="i">
          <text>transfers as a result of the disability, incapacity, or death of the owner of a cannabis license, bankruptcy or receivership in accordance with a lending agreement of a cannabis licensee, or court order; or</text>
        </level>
        <level label="ii">
          <text>the sale of a cannabis licensee to the licensee’s employees through an employee stock ownership plan as defined in § 407(d)(6)(A) of the Employee Retirement Income Security Act of 1974.</text>
        </level>
      </level>
      <level label="4">
        <text>The limitations under this subsection do not apply to a transfer of ownership that is the subject of a legally binding settlement agreement resulting from litigation commenced on or before January 1, 2023.</text>
      </level>
    </level>
  </section>
  <section article="gab" article_name="Alcoholic Beverages and Cannabis" number="36-504" title_number="36" title_name="Medical and Adult-Use Cannabis" subtitle_number="5" subtitle_name="Agent, Owner, and License Transfer Requirements">
    <level label="a">
      <level label="1">
        <text>In this section, “owner” includes any type of owner or beneficiary of a business entity, including a principal officer, a director, a principal employee, a partner, an investor, or a beneficial owner of the business entity and, notwithstanding any other provision of this subtitle, a person having any ownership interest regardless of the percentage of ownership interest.</text>
      </level>
      <level label="2">
        <text>“Owner” does not include a stockholder.</text>
      </level>
    </level>
    <level label="b">
      <text>The provisions in this section are in addition to the conflict of interest provisions in Title 5 of the General Provisions Article.</text>
    </level>
    <level label="c">
      <text>Except as provided in subsection (d) of this section, a constitutional officer or a secretary of a principal department of the Executive Branch of the State government may not:</text>
      <level label="1">
        <text>be an owner or an employee of a business entity that holds a license or registration under this title; or</text>
      </level>
      <level label="2">
        <text>have an official relationship with a business entity that holds a license or registration under this title.</text>
      </level>
    </level>
    <level label="d">
      <text>Subject to the provisions of Title 5 of the General Provisions Article, a constitutional officer or a secretary of a principal department of the Executive Branch of the State government may remain an owner or an employee of a business entity that holds a license under this title if the constitutional officer or secretary was an owner or employee of the business entity before the constitutional officer’s election or appointment or the secretary’s appointment.</text>
    </level>
    <level label="e">
      <text>A member of the General Assembly may not:</text>
      <level label="1">
        <text>be an owner or an employee of a business entity that holds a license or registration under this title; or</text>
      </level>
      <level label="2">
        <text>have an official relationship with a business entity that holds a license or registration under this title.</text>
      </level>
    </level>
    <level label="f">
      <text>A former member of the General Assembly, for the 1–year period immediately after the member leaves office, may not:</text>
      <level label="1">
        <text>be an owner or an employee of a business entity that holds a license or registration under this title; or</text>
      </level>
      <level label="2">
        <text>have an official relationship with a business entity that holds a license or registration under this title.</text>
      </level>
    </level>
    <level label="g">
      <text>An employee of the Administration may not:</text>
      <level label="1">
        <text>have a direct or indirect financial, ownership, or management interest, including ownership of any stocks, bonds, or other similar financial instruments, in any cannabis licensee;</text>
      </level>
      <level label="2">
        <text>have an official relationship with a person who holds a license or registration under this title;</text>
      </level>
      <level label="3">
        <text>be an elected official of State or local government;</text>
      </level>
      <level label="4">
        <text>receive or share in, directly or indirectly, the receipts or proceeds of a cannabis licensee; or</text>
      </level>
      <level label="5">
        <text>have a beneficial interest in a contract for the manufacture or sale of cannabis or the provision of independent consulting services in connection with a cannabis license.</text>
      </level>
    </level>
  </section>
  <section article="gab" article_name="Alcoholic Beverages and Cannabis" number="36-505" title_number="36" title_name="Medical and Adult-Use Cannabis" subtitle_number="5" subtitle_name="Agent, Owner, and License Transfer Requirements">
    <level label="a">
      <text>In this section, “Central Repository” means the Criminal Justice Information System Central Repository in the Department of Public Safety and Correctional Services.</text>
    </level>
    <level label="b">
      <text>As part of an application to the Central Repository for a State and national criminal history records check, an applicant shall submit to the Central Repository:</text>
      <level label="1">
        <text>two complete sets of legible fingerprints taken on forms approved by the Director of the Central Repository and the Director of the Federal Bureau of Investigation;</text>
      </level>
      <level label="2">
        <text>the fee authorized under § 10–221(b)(7) of the Criminal Procedure Article for access to State criminal history records; and</text>
      </level>
      <level label="3">
        <text>the processing fee required by the Federal Bureau of Investigation for a national criminal history records check.</text>
      </level>
    </level>
    <level label="c">
      <text>In accordance with §§ 10–201 through 10–228 of the Criminal Procedure Article, the Central Repository shall forward to the Administration and to the applicant the applicant’s criminal history record information.</text>
    </level>
    <level label="d">
      <text>If an applicant has made two or more unsuccessful attempts at securing legible fingerprints, the Administration may accept an alternate method of a criminal history records check as permitted by the Director of the Central Repository and the Director of the Federal Bureau of Investigation.</text>
    </level>
    <level label="e">
      <text>Information obtained from the Central Repository under this section shall be:</text>
      <level label="1">
        <text>confidential and may not be redisseminated; and</text>
      </level>
      <level label="2">
        <text>used only for the purpose of registration under this title.</text>
      </level>
    </level>
    <level label="f">
      <level label="1">
        <text>The Administration may issue a temporary cannabis agent registration if:</text>
        <level label="i">
          <text>a pre–employment background check completed by a third–party vendor is submitted to and approved by the Administration; and</text>
        </level>
        <level label="ii">
          <text>the applicant has submitted an application to the Central Repository, as required in subsection (b) of this section.</text>
        </level>
      </level>
      <level label="2">
        <text>The period of a temporary cannabis agent registration issued under paragraph (1) of this subsection may not exceed 90 calendar days.</text>
      </level>
    </level>
    <level label="g">
      <text>The subject of a criminal history records check under this section may contest the criminal history record information disseminated by the Central Repository, as provided in § 10–223 of the Criminal Procedure Article.</text>
    </level>
  </section>
</subtitle>