<?xml version='1.0' encoding='utf-8'?>
<regulation prefix="Regulation" num=".06" citation="COMAR 14.17.10.06" title_num="14" subtitle_num="17" chapter_num="10" heading="Product Reservations and Trade Practices.">
  <paragraph num="A.">
    <text>Except as specified in §C of this regulation, a grower licensed under COMAR 14.17.06.06 shall make a good faith effort to transfer at least 10 percent of cannabis grown to:</text>
    <paragraph num="(1)">
      <text>Licensed processors and dispensaries that have no common ownership interest or control with the grower; or</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Social equity licensees as defined in COMAR 14.17.01 .</text>
    </paragraph>
  </paragraph>
  <paragraph num="B.">
    <text>In fulfilling the requirement in §A of this regulation, a grower shall to the extent practicable:</text>
    <paragraph num="(1)">
      <text>Prioritize social equity licensees; and</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Ensure that approximately equal amounts of cannabis are transferred to licensed processors and dispensaries.</text>
    </paragraph>
  </paragraph>
  <paragraph num="C.">
    <text>A social equity grower licensee shall make a good faith effort to transfer at least 10 percent of cannabis grown to licensed processors and dispensaries that have no common ownership interest or control with the social equity grower licensee.</text>
  </paragraph>
  <paragraph num="D.">
    <text>The Administration may query the seed-to-sale tracking system to ensure compliance with this regulation.</text>
  </paragraph>
  <paragraph num="E.">
    <text>If a grower is found in violation of this regulation, the Administration may:</text>
    <paragraph num="(1)">
      <text>Issue a fine; and</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Restrict, suspend, or revoke the license.</text>
    </paragraph>
  </paragraph>
</regulation>