Alabama Medical Cannabis Commission v. Alabama Always, LLC (Appeal from Montgomery Circuit Court: CV-24-900524).

CourtCourt of Civil Appeals of Alabama
DecidedMarch 7, 2025
DocketCL-2024-0588
StatusPublished

This text of Alabama Medical Cannabis Commission v. Alabama Always, LLC (Appeal from Montgomery Circuit Court: CV-24-900524). (Alabama Medical Cannabis Commission v. Alabama Always, LLC (Appeal from Montgomery Circuit Court: CV-24-900524).) is published on Counsel Stack Legal Research, covering Court of Civil Appeals of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alabama Medical Cannabis Commission v. Alabama Always, LLC (Appeal from Montgomery Circuit Court: CV-24-900524)., (Ala. Ct. App. 2025).

Opinion

Rel: March 7, 2025

Notice: This opinion is subject to formal revision before publication in the advance sheets of Southern Reporter. Readers are requested to notify the Reporter of Decisions, Alabama Appellate Courts, 300 Dexter Avenue, Montgomery, Alabama 36104-3741 ((334) 229-0650), of any typographical or other errors, in order that corrections may be made before the opinion is published in Southern Reporter.

ALABAMA COURT OF CIVIL APPEALS OCTOBER TERM, 2024-2025 _________________________

CL-2024-0588 _________________________

Alabama Medical Cannabis Commission

v.

Alabama Always, LLC _________________________

CL-2024-0616 _________________________

Rex Vaughn, Sam Blakemore, Dwight Gamble, Dr. Jimmie Harvey, James Harwell, Taylor Hatchett, Dr. Eric Jensen, Dr. Angela Martin, Charles Price, Dr. William Saliski, Loree Skelton, and Dr. Jerzy Szafarski, in their official capacities as members of the Alabama Medical Cannabis Commission

Alabama Always, LLC

Appeals from Montgomery Circuit Court (CV-24-900524) CL-2024-0588 and CL-2024-0616

PER CURIAM.

The Alabama Medical Cannabis Commission ("AMCC") and Rex

Vaughn, Sam Blakemore, Dwight Gamble, Dr. Jimmie Harvey, James

Harwell, Taylor Hatchett, Dr. Eric Jensen, Dr. Angela Martin, Charles

Price, Dr. William Saliski, Loree Skelton, and Dr. Jerzy Szafarski, in

their official capacities as members of the AMCC ("the commissioners"),

appeal from a temporary restraining order ("the TRO") entered by the

Montgomery Circuit Court ("the circuit court") in favor of Alabama

Always, LLC. We dismiss the appeals as arising from a void judgment.

Background

The AMCC has three times denied the application of Alabama

Always for an integrated-facility license to produce and sell medical

cannabis under the Darren Wesley "Ato" Hall Compassion Act ("the Act"),

Ala. Code 1975, § 20-2A-1 et seq.; the last denial occurred on December

12, 2023, when the AMCC awarded the five available licenses to other

applicants. After the first two denials, Alabama Always commenced civil

actions against the AMCC challenging its licensing procedures.

Following the December 12, 2023, denial, Alabama Always filed a request

with the AMCC for a "public investigative hearing," see Ala. Code 1975,

2 CL-2024-0588 and CL-2024-0616

§ 20-2A-56(e), and filed a notice of appeal with the AMCC. Additionally,

as it had done before, Alabama Always pursued relief in the circuit court.

After obtaining a temporary restraining order on January 3, 2024,

to prevent the AMCC from continuing the integrated-facility-licensing

process, Alabama Always commenced several civil actions against the

AMCC. On April 1, 2024, the circuit court, on the motion of Alabama

Always, dismissed all pending actions without prejudice. On April 3,

2024, Alabama Always commenced its sixth civil action arising out of the

integrated-facility-licensing process.1 In its complaint, Alabama Always

included, among other things, a petition for judicial review of the

December 12, 2023, decision to deny its integrated-facility-license

application ("the denial"), and its request for a judgment declaring that

Ala. Admin. Code (AMCC), former r. 538-X-3-.18, was invalid because it

violates the Alabama Administrative Procedure Act ("the AAPA"), Ala.

Code 1975, § 41-22-1 et seq.

1See Ex parte Alabama Med. Cannabis Comm'n, [Ms. CL-2024- 0073, June 21, 2024] ___ So. 3d ___ (Ala. Civ. App. 2024), and Ex parte Alabama Med. Cannabis Comm'n, [Ms. CL-2024-0292, June 21, 2024] ___ So. 3d ___, ___ n.3 (Ala. Civ. App. 2024), for a fuller history of the litigation between the parties. 3 CL-2024-0588 and CL-2024-0616

Along with the complaint, Alabama Always filed a motion for

another temporary restraining order. The AMCC and the commissioners

moved to dismiss the case and to deny the request for the temporary

restraining order. After hearing oral argument on the motions, on July

11, 2024, the circuit court denied the motion to dismiss and entered a

temporary restraining order ("the TRO").

In the TRO, the circuit court found that Alabama Always had a

reasonable chance of success on the merits of its claim that the AMCC

had failed to comply with its scoring, averaging, and ranking rules, see

Ala. Admin. Code (AMCC), rr. 538-X-3-.10 and 538-X-3-.11, when

denying Alabama Always a license and its claim that

"the [AMCC]'s anticipated investigative hearings (purportedly to be conducted under Ala. Code [1975,] § 20-2A- 56(e)) violate the [AAPA] because (a) all licensing grants or denials are 'contested cases' under Ala. Code [1975,] § 41-22- 19(a), and (b) the [AMCC]'s process for conducting investigative hearings, as Alabama Always contends, does not comply with the AAPA's contested case requirements, Ala. Code [1975,] §41-22-12 through -19."

As part of the second claim, Alabama Always had alleged that the AMCC

could not compel license awardees to participate in public-investigative

hearings as would be required in a contested case under the AAPA and

that former r. 538-X-3-.18, provided no means for denied applicants to

4 CL-2024-0588 and CL-2024-0616

intervene in the licensing process relating to awarded applicants as

would be allowed by Ala. Code 1975, § 41-22-14, a part of the contested-

case provisions of the AAPA.

The circuit court further determined that Alabama Always was

threatened with immediate and irreparable injury because the public-

investigative-hearing process was "likely insufficient to provide Alabama

Always with a meaningful avenue for review of the [AMCC]'s adverse

licensing decision." After concluding that an administrative stay that

had been imposed by the AMCC on the issuance of its integrated-facility

licenses was not an adequate remedy, the circuit court weighed the

competing interests of the parties and the public and concluded that the

balance of the equities favored awarding Alabama Always the TRO. The

circuit court enjoined the AMCC and its commissioners from "taking any

action in furtherance of the December 12, 2023[,] awards of licenses in

the Integrated Facility category, including without limitation the

issuance of any licenses."

The AMCC and the commissioners timely appealed the TRO to

this court. See Rule 4(a)(1)(A), Ala. R. App. P. This court has appellate

jurisdiction. See Ala. Code 1975, § 12-3-10 (giving the court of civil

5 CL-2024-0588 and CL-2024-0616

appeals jurisdiction over "all appeals from administrative agencies"), and

Kimberly-Clark Corp. v. Eagerton, 433 So. 2d 452, 454 (Ala. 1983)

(holding that the court of civil appeals has "exclusive jurisdiction of all

appeals involving the enforcement of, or challenging, the rules,

regulations, orders, actions, or decisions of administrative agencies").

Issues

The AMCC and the commissioners have raised various arguments

for reversal of the TRO that may be grouped into two categories. First,

they argue that the circuit court lacked subject-matter jurisdiction to

enter the TRO. Second, they contend that the circuit court abused its

discretion in entering the TRO. We find the first argument dispositive of

these appeals, so we do not address the second argument.

Scope and Standard of Review

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Abbott Laboratories v. Gardner
387 U.S. 136 (Supreme Court, 1967)
HUNT TRANSITION & INAUG. FUND, INC. v. Grenier
782 So. 2d 270 (Supreme Court of Alabama, 2000)
Momar, Inc. v. Schneider
823 So. 2d 701 (Court of Civil Appeals of Alabama, 2001)
Hallman v. City of Northport
386 So. 2d 756 (Court of Civil Appeals of Alabama, 1980)
Cournoyer v. Montana
512 N.W.2d 479 (South Dakota Supreme Court, 1994)
Ex Parte Riley
11 So. 3d 801 (Supreme Court of Alabama, 2008)
Vann v. Cook
989 So. 2d 556 (Court of Civil Appeals of Alabama, 2008)
Miller v. Riley
37 So. 3d 768 (Supreme Court of Alabama, 2009)
Evers v. Board of Medical Examiners
516 So. 2d 650 (Court of Civil Appeals of Alabama, 1987)
Dawson v. Cole
485 So. 2d 1164 (Court of Civil Appeals of Alabama, 1986)
Ex Parte State Dept. of Human Resources
548 So. 2d 176 (Supreme Court of Alabama, 1988)
DeBuys v. Jefferson County
511 So. 2d 196 (Court of Civil Appeals of Alabama, 1987)
Solomon v. Liberty Nat. Life Ins. Co.
953 So. 2d 1211 (Supreme Court of Alabama, 2006)
Baldwin County v. PALMTREE PENTHOUSES
831 So. 2d 603 (Supreme Court of Alabama, 2002)
Kimberly-Clark Corp. v. Eagerton
433 So. 2d 452 (Supreme Court of Alabama, 1983)
Richards v. Iowa State Commerce Commission
270 N.W.2d 616 (Supreme Court of Iowa, 1978)
Smith v. Alabama Dry Dock & Shipbuilding Co.
309 So. 2d 424 (Supreme Court of Alabama, 1975)
Oyarzo v. Maryland Department of Health & Mental Hygiene
978 A.2d 804 (Court of Special Appeals of Maryland, 2009)
City of Graysville v. Glenn III
46 So. 3d 925 (Supreme Court of Alabama, 2010)

Cite This Page — Counsel Stack

Bluebook (online)
Alabama Medical Cannabis Commission v. Alabama Always, LLC (Appeal from Montgomery Circuit Court: CV-24-900524)., Counsel Stack Legal Research, https://law.counselstack.com/opinion/alabama-medical-cannabis-commission-v-alabama-always-llc-appeal-from-alacivapp-2025.