§ 15-36 — Adult Use Dispensing Organization License

Illinois § 15-36

• Jurisdiction: Illinois
• Topic: HEALTH AND SAFETY
• Ch. 410: PUBLIC HEALTH
• Act 410 ILCS 705/: Cannabis Regulation and Tax Act.
• Art.: Article 15 - License and Regulation of Dispensing Organizations

Text

(a) A person is only eligible to receive an Adult Use Dispensing Organization License if the person has been awarded a Conditional Adult Use Dispensing Organization License pursuant to this Act or has renewed its license pursuant to subsection (k) of Section 15-15 or subsection (p) of Section 15-20. (b) The Department shall not issue an Adult Use Dispensing Organization License until: (1) the Department has inspected the dispensary site and proposed operations and verified that they are in compliance with this Act and local zoning laws; (2) the Conditional Adult Use Dispensing Organization License holder has paid a license fee of $60,000 or a prorated amount accounting for the difference of time between when the Adult Use Dispensing Organization License is issued and March 31 of the next even-numbered year; and (3) the Conditional Adult Use Dispensing Organization License holder has met all the requirements in this Act and rules. (c) No person or entity shall hold any legal, equitable, ownership, or beneficial interest, directly or indirectly, of more than 10 dispensing organizations licensed under this Article. Further, no person or entity that is: (1) employed by, is an agent of, or participates in the management of a dispensing organization or registered medical cannabis dispensing organization; (2) a principal officer of a dispensing organization or registered medical cannabis dispensing organization; or (3) an entity controlled by or affiliated with a principal officer of a dispensing organization or registered medical cannabis dispensing organization; shall hold any legal, equitable, ownership, or beneficial interest, directly or indirectly, in a dispensing organization that would result in such person or entity owning or participating in the management of more than 10 Early Approval Adult Use Dispensing Organization Licenses, Early Approval Adult Use Dispensing Organization Licenses at a secondary site, Conditional Adult Use Dispensing Organization Licenses, or Adult Use Dispensing Organization Licenses. For the purpose of this subsection, participating in management may include, without limitation, controlling decisions regarding staffing, pricing, purchasing, marketing, store design, hiring, and website design. (d) The Department shall deny an application if granting that application would result in a person or entity obtaining direct or indirect financial interest in more than 10 Early Approval Adult Use Dispensing Organization Licenses, Conditional Adult Use Dispensing Organization Licenses, Adult Use Dispensing Organization Licenses, or any combination thereof. If a person or entity is awarded a Conditional Adult Use Dispensing Organization License that would cause the person or entity to be in violation of this subsection, he, she, or it shall choose which license application it wants to abandon and such licenses shall become available to the next qualified applicant in the region in which the abandoned license was awarded.

Legislative History

(Source: P.A. 104-417, eff. 8-15-25.)