§ 44-10-312 — Transfer of ownership

Colorado § 44-10-312

• Jurisdiction: Colorado
• Title 44: Revenue -
• Art.: Regulated Marijuana

Text

(1) A state or local license granted under
the provisions of this article 10 is not transferable except as provided in this section,
but this section does not prevent a change of location as provided in section 44-10-313 (13).

(2) For a transfer of ownership involving a controlling beneficial owner, a
license holder shall apply to the state and local licensing authorities on forms
prepared and furnished by the state licensing authority. In determining whether to
permit a transfer of ownership, the state and local licensing authorities shall
consider only the requirements of this article 10, any rules promulgated by the state
licensing authority, and any other local restrictions. The local licensing authority or
local jurisdiction may hold a hearing on the application for transfer of ownership.
The local licensing authority or local jurisdiction shall not hold a hearing pursuant
to this subsection (2) until the local licensing authority or local jurisdiction has
posted a notice of hearing in the manner described in section 44-10-303 (2) on the
licensed premises for a period of ten days and has provided notice of the hearing to
the applicant at least ten days prior to the hearing. Any transfer of ownership
hearing by the state licensing authority must be held in compliance with the
requirements specified in section 44-10-303.

(3) For a transfer of ownership involving a passive beneficial owner, the
license holder shall notify the state licensing authority on forms prepared and
furnished by the state licensing authority within forty-five days to the extent
disclosure is required by section 44-10-309.

(4) A person that becomes a controlling beneficial owner of a publicly traded
corporation that is a medical marijuana business or retail marijuana business or that
becomes a beneficial owner, through direct or indirect ownership of a controlling
beneficial owner, of ten percent or more of a medical marijuana business or retail
marijuana business that is a publicly traded corporation must disclose the
information required by section 44-10-309 and apply to the state licensing
authority for a finding of suitability or exemption from a finding of suitability
pursuant to section 44-10-310 within forty-five days after becoming such a
controlling beneficial owner. A medical marijuana business or retail marijuana
business shall notify each person that is subject to this subsection (4) of its
requirements as soon as the medical marijuana business or retail marijuana
business becomes aware of the beneficial ownership triggering the requirement,
provided that the obligations of the person subject to this subsection (4) are
independent of, and unaffected by, the medical marijuana business's or retail
marijuana business's failure to give the notice.

Legislative History

Source: L. 2019: Entire article added with relocations, (SB 19-224), ch. 315, p. 2873, � 5, effective January 1, 2020.