Dispensary Applicant Who Was Turned Away Files Federal Lawsuit


The owners of a small business that was chosen to file for a specific permit to sell marijuana in Pasadena only to be turned away filed a federal lawsuit Tuesday that claims the city failed to “discharge a mandatory duty” and violated the due procedure rights of the small business.

The lawsuit primarily reiterates points spelled out in a claim for damages against the city, which was denied by the City Council shortly right after it was filed with the City Clerk’s Workplace on Aug. 19.

In the claim and the lawsuit, owners of The Atrium Group of Westlake Village assert the business has suffered substantial financial damages, like loss of sales and small business income, injury to its small business reputation and loss of small business chance.

“On the basis of know-how and belief, the wrongful actions alleged have been committed by David Reyes, Director of Preparing, City Manager Steve Mermell, Asst. City Manager Nicholas Rodriguez, City Lawyer Michelle Bagneris, Management Analyst IV Guille Nuñez, and other unknown persons operating on behalf of the city of Pasadena,” that document states.

The lawsuit filed in US District Court names as defendants the city, Mermell, Reyes, Harvest of Pasadena (yet another applicant primarily based in Arizona), Hinderliter De Llamas and Associates of Brea (a consultant group that reviewed the applications), and does 1 by means of 10.

In June, The Atrium Group, Harvest of Pasadena, Integral Associates Dena, Tony Fong, Sweetwater Pasadena and MME Pasadena Retail have been picked from amongst 122 applicants vying for permission to sell marijuana in the city. Every single applicant was forced to spend the city a $14,000 charge just for the chance to apply. The total spent was $1.7 million if every applicant paid the charge. 

Many dispensaries that have been not picked to move forward in the city’s procedure have threatened lawsuits. A claim for damages is normally the initial step in filing a lawsuit against a government agency.

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Published: September 05, 2019

The post Dispensary Applicant Who Was Turned Away Files Federal Lawsuit appeared initial on L.A. Cannabis News.


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