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

Court of Civil Appeals of Alabama·Decided March 7, 2025·No. CL-2024-0616·Published

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

v.

Alabama Always, LLC

Appeals from Montgomery Circuit Court (CV-24-900524)

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,

§ 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.

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

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

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 Ordinarily, this court does not have jurisdiction over interlocutory appeals, see Momar, Inc. v. Schneider, 823 So. 2d 701, 703 (Ala. Civ. App. 2001), but Rule 4(a)(1)(A), Ala. R. App. P., allows this court to review an interlocutory order granting an injunction in a case within our exclusive appellate jurisdiction. See, e.g., C.E. v. M.G., 169 So. 3d 1061, 1065 (Ala. Civ. App. 2015). In these unusual appellate proceedings, review is

confined solely to the injunctive order appealed. See Lynne v. Ralph, 201 Ala. 535, 535, 78 So. 889, 889 (1918). Thus, this court is not authorized to review a contemporaneous interlocutory order denying a motion to dismiss, see Midwest Ent. Ventures, Inc. v. Town of Clarksville, 158 N.E.3d 787, 791 (Ind. Ct. App. 2020), except insofar as the motion to dismiss asserts that the trial court lacks subject-matter jurisdiction, which would affect the validity of the injunction. See Retta v. Mekonen, 338 S.W.3d 72, 76 (Tex. App. 2011); Cournoyer v. Montana, 512 N.W.2d 479, 479 (S.D. 1994).

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

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 v. Alabama Always, LLC (Appeal from Montgomery Circuit Court: CV-24-900524). (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 v. Alabama Always, LLC (Appeal from Montgomery Circuit Court: CV-24-900524).) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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