2023 New York Laws › TAX - Tax › Article 20-C - Tax on Adult-Use Cannabis Products › 496-D - Enforcement.

§  496-d.  Enforcement.  The  commissioner  or the commissioner's duly
authorized representatives are hereby authorized:
(a) To conduct regulatory inspections during normal business hours  of
any place of business, including a vehicle used for such business, where
adult-use  cannabis  products  are  distributed, placed, stored, sold or
offered for sale. For the purposes of this section, "place of  business"
shall  not  include  a residence or other real property, or any personal
vehicle on or about such property, not held out as open to the public or
otherwise being utilized in a  business  or  commercial  manner,  unless
probable  cause  exists to believe that such residence, real property or
vehicle is being used in such a business or commercial  manner  for  the
buying or selling of adult-use cannabis products.
(b)  To examine any adult-use cannabis products and the books, papers,
invoices and other records of any place of  business  or  vehicle  where
adult-use  cannabis  products  are  distributed, placed, stored, sold or
offered for sale. Any person in possession, control or occupancy of  any
such   business   is  required  to  give  to  the  commissioner  or  the
commissioner's duly authorized representatives or  the  duly  authorized
representatives  of  the  office  of  cannabis  management,  the  means,
facilities, and opportunity for such examinations. For the  purposes  of
this section, "place of business" shall not include a residence or other
real  property,  or  any personal vehicle on or about such property, not
held out as open to the public or otherwise being utilized in a business
or commercial manner, unless probable cause exists to believe that  such
residence,  real property or vehicle is being used in such a business or
commercial manner for  the  buying  or  selling  of  adult-use  cannabis
products.
(c) If any person registered under section four hundred ninety-four of
this  article, or their agents, refuses to give the commissioner, or the
commissioner's duly authorized representatives,  the  means,  facilities
and  opportunity  for  the inspections and examinations required by this
section, the  commissioner,  after  notice  and  an  opportunity  for  a
hearing,  may  revoke their registration to distribute or sell adult-use
cannabis products at retail:
(i) for a period of one year for the first such failure;
(ii) for a period of up to three  years  for  a  second  such  failure
within a period of three years; and
(iii)  for  a  period  of  up  to seven years for a third such failure
within five years.
(d)  The  commissioner   or   the   commissioner's   duly   authorized
representatives  shall  seize any illicit cannabis found in any place of
business or vehicle where adult-use cannabis products  are  distributed,
placed,  stored,  sold  or  offered  for sale by any person who does not
possess a certificate of  registration  as  described  in  section  four
hundred ninety-four of this chapter.
(e)  All  illicit  cannabis  seized  pursuant to the authority of this
chapter or any other law of this state  shall  be  turned  over  to  the
office  of  cannabis management or their authorized representative. Such
seized illicit cannabis shall, after notice and  an  opportunity  for  a
hearing, be forfeited to the state. If the office of cannabis management
determines  the  illicit  cannabis  cannot  be  used for law enforcement
purposes, it may, within a reasonable time after the forfeiture of  such
illicit  cannabis,  upon publication in the state registry, destroy such
forfeited illicit cannabis.