New York Codes, Rules and Regulations › Title 9 - EXECUTIVE DEPARTMENT › Subtitle B - Division of Alcoholic Beverage Control › Chapter II - Rules of the Office of Cannabis Management › Part 118 - Definitions › Section 118.1 - Definitions

Current through Register Vol. 46, No. 28, July 10, 2024
(a) For the
				  purposes of this Chapter the following terms shall have the following meaning:
(1)
Adult-use on-site consumption
				  premises
means a place where the consumption of cannabis occurs and
				  shall be either a consumption facility or an exception area.
(2)
Advertisement
means
				  advertisement as defined in Part 128 of this Title.
(3)
Advertising
means
				  advertising as defined in Part 128 of this Title.
(4)
Aggregate ownership
				  interest
means the total ownership interest held by the following, or
				  any combination of the following:
(i) a legal
				  entity and any legal entity or individual in its multilevel ownership
				  structure;
(ii) an individual and
				  the spouse, domestic partner, civil union partner, child, sibling, or parent of
				  such individual; or
(iii) a legal
				  entity and any individual with control over such legal entity.
(5)
Applicant
means applicant as defined in article 1 of the Cannabis Law.
(6)
Article 13-E Smoking/Vaping
				  Exception
means a Public Health Law section 1399-Q exempted on-site
				  consumption license that does not authorize the license holder to engage in the
				  retail sale of cannabis products.
(7)
Artificially derived
				  phytocannabinoid
means a phytocannabinoid that is created by a
				  chemical reaction that changes the molecular structure of any chemical
				  substance derived from Cannabis sativa. Artificially derived phytocannabinoid
				  does not include:
(i) a naturally-occurring
				  chemical substance that is separated from Cannabis sativa by a chemical or
				  mechanical extraction process;
(ii)
				  phytocannabinoids that are produced by decarboxylation of the
				  phytocannabinoid's respective naturally-occurring carboxylic acid form without
				  the use of a chemical catalyst;
(iii) any other chemical substance identified
				  by the Board; and
(iv) synthetic
				  tetrahydrocannabinols not derived from the cannabis plant already prohibited as
				  a Schedule I Controlled Substance in section 3306  of the public health law and
				  prohibited in paragraph (5) of subdivision (e) of section
				  123.6 of this Title.
(8)
Attractive to
				  individuals under twenty-one
means attractive to individuals under
				  twenty-one as defined in Part 128 of this Title.
(9)
Biodiversity
means the
				  inter and intra species variety in the natural world and within ecosystems to
				  maintain balance and support life and sustain the resilience of biotic and
				  abiotic systems.
(10)
Board
means the New York State Cannabis Control Board as
				  defined in article 1 of the Cannabis Law.
(11)
Bona fide labor
				  organization
means a local labor union:
(i) that represents employees in this state
				  with regard to wages, hours and working conditions;
(ii) in which officers have been elected by
				  secret ballot or otherwise in a manner consistent with federal law;
				  and
(iii) that is free of
				  domination or interference by any employer and has received no improper
				  assistance or support from any employer.
(12)
Brand or Branding
means
				  brand or branding as defined in Part 128 of this Title.
(13)
Cannabis Advisory Board
means the New York State Cannabis Advisory Board as established in section 14 
				  of the Cannabis Law.
(14)
Cannabis flower product
means any form of cannabis product
				  consisting predominantly of the flower, buds, and leaves of the cannabis plant,
				  including trimmings thereof, intended for retail sale to consumers.
(15)
Cannabis merchandise
means a consumer good that does not contain cannabis and includes or displays a
				  brand of a licensee. Cannabis merchandise is an advertisement and must comply
				  with Parts 128 and 129 of this Title. Cannabis merchandise may include, but is
				  not limited to, clothing, hats, pencils, pens, keychains, mugs, water bottles,
				  beverage glasses, notepads, lanyards, or cannabis paraphernalia.
(16)
Cannabis paraphernalia
means any equipment, product or material of any kind which is primarily
				  intended or designed for use in the preparation, consumption, or storage of
				  cannabis products.
(17)
Cannabis waste
means all cannabis byproduct, scrap, harvested
				  cannabis and cannabis-infused products not intended for sale to a consumer or
				  distribution to an entity licensed or registered under the Cannabis
				  Law.
(18)
Canopy or
				  cultivation canopy or canopy area
means an area to be calculated in
				  square feet and measured using clearly identifiable boundaries of all areas(s)
				  that will contain non-immature cannabis, which excludes seedlings or small
				  clones, including the space(s) within the boundaries. Canopy may be
				  noncontiguous, but each unique area included in the total canopy calculations
				  shall be separated by an identifiable boundary, including, but not limited to,
				  interior walls, shelves, greenhouse walls, hoop house walls, garden benches,
				  hedge rows, fencing, garden beds, or garden plots.
(19)
Canopy tier or tier
means the level of cultivation canopy in which a licensee is permitted to
				  cultivate within minimum and maximum square footage ranges as defined for each
				  license type.
(20)
Cash
means U.S. currency, certified check, money order,
				  electronic funds transfer, bank officer's check or draft, or a check drawn on
				  an account.
(21)
Certificate of analysis
means certificate of analysis as
				  defined in Part 130 of this Title.
(22)
Civil practice law and rules or
				  CPLR
means Chapter 8 of the Consolidated Laws of New York.
(23)
Collective
means an
				  applicant or license granted under section 70  of the Cannabis Law and organized
				  pursuant to subdivision (h) and (i) of section
				  123.13 of this Title.
(24)
Community board
means
				  an advisory body operating under the jurisdiction of the New York City
				  government, comprised of members appointed by their respective borough
				  president, having the primary functions of assessing the needs of and advising
				  elected officials and local government agencies on matters affecting the social
				  welfare of their districts
.
(25)
Concentrate or Concentrated
				  cannabis
means concentrated cannabis as defined in article 1 of the
				  Cannabis Law.
(26)
Consumption facility
means an adult-use on-site consumption
				  premises at which both the consumption of cannabis products and the retail sale
				  of cannabis products to consumers may occur and is either a limited retail
				  consumption facility or a microbusiness.
(27)
Consume or consumption or
				  consuming
means the inhalation, which includes but is not limited to
				  smoking and vaping; ingestion; application; or use of cannabis products,
				  medical cannabis, and cannabinoid hemp products.
(28)
Control or controlling
				  interest
means the authority to order or direct the management,
				  operations, managers, or policies of a person, including, but not limited to,
				  the ability or authority, expressed or reserved, to:
(i) amend or change the corporate or
				  operating identity (e.g., joint venture agreement or unincorporated business
				  status) of a person;
(ii) approve
				  operating and capital budgets for the person;
(iii) adopt, approve, or direct fiscal
				  operating policies and procedures;
(iv) approve debt necessary to finance the
				  person's costs of compliance with operational or facility standards required by
				  law;
(v) approve contracts for
				  management of facility services;
(vi) hire or dismiss executive
				  personnel;
(vii) maintain and
				  control the books and financial records of the person, including, but not
				  limited to, co-signing bank accounts and the power to authorize capital outlays
				  and spending;
(viii) encumber the
				  assets of the person by way of mortgage or other indebtedness; and
(ix) dissolve the person or arrange for sale
				  or transfer of the person to new ownership or control.
(29)
Cooperative
means an
				  applicant or license granted under section 70  of the Cannabis Law and organized
				  pursuant to New York State Cooperative Law and subdivision (g) of section
				  123.13 of this Title.
(30)
Corrective action plan
means a corrective action plan as defined in Part 133 of this Title.
(31)
Craft product
means a
				  flower or pre-roll cannabis product, or any cannabis product that meets the
				  'craft designation' as established by the Office, which shall be hang-dried,
				  processed, and manufactured exclusively by:
(i) a licensed Tier 1 cultivator with a set
				  canopy tier as set forth under subparagraph (i) of paragraph (2) of subdivision
				  (b) of section
				  120.3 of this Title, and shall only
				  use cannabis or cannabis material that is cultivated by said licensee, and not
				  sourced from another cultivator, processor, or any other licensee; or
(ii) a licensed microbusiness of any
				  type.
(32)
Cultivation
means the agricultural production practices of
				  soil preparation, planting, micropropagation-tissue culture, growing, cloning,
				  harvesting, drying, curing, grading, and trimming of cannabis plants for sale
				  to certain other categories of cannabis license and permit holders.
(33)
Date of expiration
means date of expiration as defined in Part 128 of this Title.
(34)
Debarment
means
				  debarment as defined in Part 133 of this Title.
(35)
Edible or Cannabis Edible
				  Product
means edible as defined in Part 128 of this Title.
(36)
Electronic signature
means an electronic sound, symbol, or process, attached to or logically
				  associated with an electronic record and executed or adopted by an individual
				  with the intent to sign the record.
(37)
Employee in charge
means an individual twenty-one (21) years of age or older at management level
				  designated by a retail dispensary to be responsible to perform or oversee the
				  performance of the tasks in section
				  123.10 of this Title and any other
				  tasks required by the retail dispensary.
(38)
Exception Area
means an
				  adult-use on-site consumption premises at which the consumption of cannabis
				  products may occur but the retail sale of cannabis to consumers may only occur
				  on the licensed premises during a cannabis event pursuant to section
				  120.19 of this Title.
(39)
Extracting
means the
				  process of concentrating or isolating one or more phytochemicals, including,
				  but not limited to, phytocannabinoids and terpenes from cannabis.
(40)
Exit package
means exit
				  package as defined in Part 128 of this Title.
(41)
Financial institution
means any bank, mutual savings bank, consumer loan company, credit union,
				  savings and loan association, trust company, or other lending institution under
				  the jurisdiction of the New York State Department of Financial
				  Services.
(42)
Financial
				  interest
means any actual or future right to ownership, inclusive of
				  all restricted stock units, options, warrants, or any other interest that can
				  be converted into a share of voting stock or equity investment, or compensation
				  arrangement with another person, either directly or indirectly, through
				  business, investment, spouse, domestic partner, parent or child; provided
				  however, that with respect to a compensation arrangement the compensation, over
				  the course of a calendar year, exceeds the greater of:
(i) 10% of revenue,
(ii) 50% of net profit, or
(iii) $250,000. A person with a financial
				  interest does not include a passive investor or salaried employee earning
				  income in excess of the compensation limits set herein.
(43)
Financier
means any
				  person, other than financial institution, that provides capital as a gift,
				  provides a grant, or lends capital pursuant to a secured or unsecured financing
				  agreement. Agreements will be assessed based on current and future right to
				  ownership or interest on the licensee, including, but not limited to, interest
				  in the event of default, bankruptcy, or reorganization. A financier may not
				  receive an ownership interest; control of the business; gross profits or net
				  profits; a profit-sharing interest; a percentage of the profits in exchange for
				  a gift, grant, or loan; or a share of revenue in excess of the greater of the
				  following over a calendar year:
(i) 10% of
				  gross revenue,
(ii) 50% of net
				  profit, or
(iii)
				  $250,000.
(44)
Fine Particles
mean particles or droplets present in air that
				  are two and one-half microns (2.5'm) or less in width.
(45)
Flavored
shall mean a
				  cannabis product with a distinguishable taste or aroma, other than the taste or
				  aroma of cannabis, imparted either prior to or during consumption of such
				  product or a component part thereof, including, but not limited to, tastes or
				  aromas relating to specific foods or beverages or any concept flavor that
				  imparts a taste or aroma that is distinguishable from the taste or aroma of
				  cannabis. A cannabis product shall be presumed to be flavored if a licensee or
				  a licensee's agent or employee has made a statement or claim directed to
				  consumers or the public, whether expressed or implied, that such cannabis
				  product has a distinguishable taste or aroma other than the naturally occurring
				  taste or aroma of cannabis. A cannabis product shall not be presumed to be
				  flavored solely due to the cultivar used in the product.
(46)
General use pesticide
means general use pesticide as defined in article 33 of the Environmental
				  Conservation Law
(47)
Goods
				  and services agreement
means goods and services agreement as described
				  in Part 124 of this Title.
(48)
Greenhouse
means structure or thermally isolated enclosed area
				  with rigid walls that maintains a specialized conditioned and sunlit
				  environment used for and essential to the cultivation, protection, or
				  maintenance of plants. It can include additional artificial lighting and
				  climate controls based on cultivation techniques used.
(49)
Ground transport
means
				  transportation that is over land and not on water or in the air with the
				  exception of, and for the purposes of this Chapter, a ferry.
(50)
Harvest batch
means a
				  unit of cannabis produced during a period of time under similar conditions,
				  identifiable by a lot unique identifier that allows traceability.
(51)
Hoop house
means
				  specialized unconditioned agricultural equipment having a framework covered
				  with demountable non-rigid materials unsealed from the outdoor elements, which
				  allows for penetration of sunlight to cannabis plants, specifically designed,
				  constructed, and used for agricultural production. A hoop house may include up
				  to 20 artificial lights for the propagation of seedlings or clones. Lights
				  shall meet photosynthetic photon efficacy (PPE) requirements as determined by
				  the Office.
(52)
Horticultural lighting equipment (HLE)
means any lighting
				  equipment, including, but not limited to, fixtures, bulbs, ballasts, and
				  controls that uses energy for the production of seeds, seedlings, and clones,
				  or the cultivation of mature cannabis plants.
(53)
House of worship
means
				  a whole building owned or leased by a religious corporation as described by New
				  York State Religious Corporation Law or used by a religious corporation or
				  association of any denomination pursuant to the written permission of the owner
				  thereof, which is used by members exclusively as a meeting place for divine
				  worship or other religious observances presided over by a member of the
				  clergy.
(54)
Immature
				  cannabis plant or immature plant
means a cannabis plant which does not
				  have a flower or buds that may be observed by visual examination.
(55)
Indoor or indoors
shall
				  mean an area which is completely enclosed on all sides by solid
				  floor-to-ceiling walls, windows, doors, or solid floor-to-ceiling partitions
				  and which complies with all applicable Building Code and Fire Code
				  requirements. Areas which are not completely enclosed on all sides by solid
				  floor-to-ceiling walls, windows, or solid floor-to-ceiling partitions, but are
				  also not easily ventilated by wind or natural air, may be deemed sufficiently
				  similar to an indoor area by the Office after a review of the premises or site
				  plan. Areas deemed sufficiently similar to an indoor area by the Office shall
				  comply with requirements of this Title which pertain to indoor areas of an
				  adult-use on-site consumption premises.
(56)
Indoor cultivation
means the cultivation of cannabis within an indoor climate-controlled structure
				  using only artificial light, heat, carbon dioxide generators, and
				  dehumidification.
(57)
Integrated pest management (IPM) principles
means the
				  following:
(i) identifying pests, their hosts,
				  and beneficial organisms before acting;
(ii) establishing monitoring guidelines for
				  each pest species;
(iii)
				  establishing an action threshold for the pest;
(iv) evaluating and implementing control
				  tactics; and
(v) monitoring,
				  evaluating, and documenting the results.
(58)
License
means license
				  as defined in article 1 of the Cannabis Law.
(59)
Licensee
means licensee
				  as defined in article 1 of the Cannabis Law.
(60)
Limited retail consumption
				  facility
shall mean a type of consumption facility which is a distinct
				  area located within the licensed premises of a specific retail
				  dispensary.
(61)
Local
				  law
means a local rule or local regulation or local ordinance or
				  action which is adopted by the municipality on matters otherwise not preempted
				  by the Cannabis Law, provided, however, that such local law shall not be
				  unreasonably impracticable as determined by the Board.
(62)
Lot unique identifier or lot
				  number or bar code
means any distinctive combination of letters,
				  numbers, or symbols, or any combination of them, from which the complete
				  history of cultivation, manufacturing, processing, testing, custody,
				  distribution, or recall of a lot of cannabis, medical cannabis product or
				  cannabis product can be determined.
(63)
Manufacturing
means to
				  treat, modify, compound, package, or otherwise manipulate cannabis or cannabis
				  extract into a cannabis product. Manufacturing shall not include cultivation,
				  as defined in article 1 of the Cannabis Law, or extracting as defined in this
				  Part.
(64)
Marihuana-related offense
means an offense defined in:
(i) former sections 220.03 and 220.06  of the
				  Penal Law where the sole controlled substance involved was concentrated
				  cannabis,
(ii) former sections 221.05, 221.10, 221.15, 221.20, 221.35, or 221.40  of the Penal Law,
(iii) section 105.05  of the Penal Law prior
				  to the effective date of chapter ninety-two of the laws of two thousand
				  twenty-one and the sole conduct involved was an offense defined in former
				  sections 221.35 or 221.40  of the Penal Law,
(iv) former section 3382  of the Public Health
				  Law prior to the effective date as prescribed in subdivision nine of section 222.15  of the Penal Law, and the cultivation of such cannabis plants was solely
				  for personal possession and use,
(v) article two hundred twenty or section 240.36  of the Penal Law prior to the effective date of former article two
				  hundred twenty-one of the Penal Law and the sole controlled substance involved
				  was marihuana and the conviction was only for a misdemeanor and/or violation,
				  or
(vi) any offense identified by
				  the Office to be a marihuana-related offense.
(65)
Mature cannabis plant
means a cannabis plant that has observable buds or flowers.
(66)
Medical necessity
means
				  factors used to determine whether or not the Board will grant a license to an
				  applicant which will result in providing medical cannabis to an underserved
				  geographic area.
(67)
Mechanical extraction
means extraction using pressure, heat or
				  cold to extract cannabinoids, and includes rosin presses, dry ice or other
				  similar processes, without employing solvents or gases, approved by the
				  Office.
(68)
Mixed
				  Light
means cultivation of mature cannabis in a greenhouse, hoop-house
				  with cannabis cultivation lights, glasshouse, conservatory, hothouse, or
				  similar structure, using a combination of sunlight and lighting with all
				  lighting requirements meeting the photosynthetic photon efficacy standards for
				  the mixed-light tier set out in section
				  125.1 of this Title.
(69)
Mother plant
means an
				  immature cannabis plant that is maintained in an immature state indefinitely
				  and intended to be used for propagation.
(70)
Municipality or
				  municipalities
means an administrative or governing body with the
				  authority to enact any local regulations in a town, city, or village in New
				  York State.
(71)
Net
				  profit
means net income according to Generally Accepted Accounting
				  Principles (GAAP).
(72)
Non-consumer package
means non-consumer package as defined in
				  Part 128 of this Title.
(73)
Nursery area shall
mean an area to be calculated in square
				  feet and measured using clearly identifiable boundaries of all areas(s) that
				  will be used to produce clones, seedlings, immature cannabis plants, cloned
				  propagation material, tissue culture and cannabis seeds, including the space(s)
				  within the boundaries. Provided that the primary purpose of the area is to
				  produce clones, seedlings, immature cannabis plants, cloned propagation
				  material, tissue culture or cannabis seeds, a nursery area may also contain
				  mature and immature cannabis plants. A nursery area may be noncontiguous, but
				  each unique area included in the total area calculations shall be separated by
				  an identifiable boundary, including, but not limited to, interior walls,
				  shelves, greenhouse walls, hoop house walls, garden benches, hedge rows,
				  fencing, garden beds, or garden plots.
(74)
Office
means New York
				  State Office of Cannabis Management as defined in article 1 of the Cannabis
				  Law
(75)
Outdoor
				  cultivation
means the cultivation of mature cannabis under natural
				  sunlight and weather conditions.
(76)
Passive investor
means
				  a person that is a true party of interest of a licensee:
(i) with an ownership interest, whether such
				  shares or interest are current voting shares, future voting shares, current
				  equity shares or future equity share of the applicant or licensee, and does not
				  otherwise have any control or influence over the applicant or licensee, of no
				  more than:
(a) 5% percent of the outstanding
				  shares or interest of an applicant or licensee whose shares are publicly
				  traded,
(b) 10% of the outstanding
				  shares or interest of a non-publicly traded ROD license and microbusiness
				  license, or
(c) 20% of the
				  outstanding shares or interest of any other entity; or
(ii) who guarantees the lease of that
				  licensee; and
(iii) where the total
				  shares outstanding of future equity or future voting share classes shall be
				  calculated as the entity's fully diluted share count (inclusive of all
				  restricted stock units, options, warrants, or any other interest that can be
				  converted into a share of voting stock or equity), less contingent or future
				  shares owned by persons who's financial or controlling interest in an entity is
				  active.
(77)
Person
means an individual, institution, corporation,
				  government or governmental subdivision or agency, business trust, estate,
				  trust, partnership or association, or any other legal entity.
(78)
Pests
means rodents,
				  birds, insects, plants, fungi, bacteria, or other animals or organisms that
				  present a potential threat or contamination to cannabis plants and cannabis
				  products.
(79)
Photosynthetic photon efficacy (PPE)
means the measure of
				  photon output in micromoles per second divided by the watts needed to produce
				  the light.
(80)
Phytocannabinoid
means phytocannabinoid as defined in Part 128
				  of this Title.
(81)
Plant
				  protection products
means products applied during the cultivation of
				  cannabis including insecticides, fungicides, herbicides, and
				  rodenticides.
(82)
Private
				  application
means private application as defined in article 33 of the
				  Environmental Conservation Law.
(83)
Processing
means,
				  amongst other things, blending, extracting, infusing, packaging, labeling,
				  branding or otherwise making cannabis products.
(84)
Processor
means
				  processor as defined in article 1 of the Cannabis Law.
(85)
Propagation area
means
				  an area to be calculated in square feet and measured using clearly identifiable
				  boundaries of all areas(s) that will contain only immature cannabis, seedlings,
				  small clones and/or mother plants, including the space(s) within the
				  boundaries. Propagation areas may be noncontiguous, but each unique area
				  included in the total propagation area calculations shall be separated by an
				  identifiable boundary, including, but not limited to, interior walls, shelves,
				  greenhouse walls, hoop house walls, garden benches, hedge rows, fencing, garden
				  beds, or garden plots.
(86)
Provisional license
means approval provided to an applicant
				  that, notwithstanding any other outstanding requirement or condition for
				  licensure, satisfies conditions determined by the Board to be necessary and
				  relevant to the particular license type sought, which may be used by the
				  applicant to secure a location in order to receive final approval by the Board.
				  A provisional license does not authorize the provisional licensee to engage in
				  licensed activities under the Cannabis Law.
(87)
Provisional licensee
means someone who holds a provisional license.
(88)
Public convenience and advantage
				  standards
mean factors used to determine whether or not the Board will
				  grant a license to a licensee which will not result in over saturation of
				  adult-use cannabis licensees.
(89)
Public youth facility
means a location or structure owned by a
				  government or government subdivision or agency, that is accessible to the
				  public, where the primary purpose is to provide recreational opportunities or
				  services to children or adolescents of whom the primary population is
				  reasonably expected to be seventeen (17) years of age or younger.
(90)
Record
means books,
				  ledgers, documents, writings, photocopies, correspondence, electronic storage
				  media, electronically stored records, money receptacles, equipment in which
				  records are stored, or any other document that is used for recording
				  information.
(91)
Registered organization with dispensing or ROD
means a
				  registered organization adult-use cultivator processor distributor retail
				  dispensary licensed pursuant to section 68-a  of the Cannabis Law.
(92)
Registered organization
				  non-dispensing or ROND
means a registered organization adult-use
				  cultivator, processor and distributor licensed pursuant to section 68-b  of the
				  Cannabis Law.
(93)
Retail
				  advertising specialty
is cannabis merchandise that a licensee provides
				  to a retail dispensary that is not intended for retail sale at the dispensary.
				  Examples of retailer advertising specialties include trays, rolling papers,
				  mats, menu cards, matches, paper napkins, filters, thermometers, clocks,
				  shirts, hats, visors, branded signs, refrigerators, display cabinets, art, and
				  calendars. All items shall comply with Part 129 of this Title and cannot be
				  attractive to individuals under the age of twenty-one and all apparel shall be
				  available in adult sizes only. The manufacturer or wholesaler may add the name
				  or address of the retailer to the retailer advertising specialty.
(94)
Retail package
means
				  retail package as defined in Part 128 of this Title.
(95)
Road
means any wide way
				  leading from one place to another, including, but not limited to, an alley,
				  avenue, boulevard, causeway, court, crescent, drive, lane, loop, place, plaza,
				  promenade, street, terrace, or way.
(96)
School grounds
means
				  any building, structure and surrounding outdoor grounds, including entrances or
				  exits, contained within a public or private pre-school, nursery school,
				  elementary or secondary school's legally defined property boundaries as
				  registered in a county clerk's office as defined by section 409  of the
				  Education Law.
(97)
Secondary school
means a school between the elementary school
				  and the college or university.
(98)
Serious adverse event
means serious adverse event as defined
				  in Part 113 of this Title.
(99)
Social and economic equity applicant
means an individual or an
				  entity that:
(i) is an applicant for an
				  adult-use license pursuant to Part 121 of this Title; and
(ii) may be eligible for priority licensing
				  pursuant to article 4 of the Cannabis Law.
(100)
Social and economic equity
				  licensee
means an individual or an entity that:
(i) meets the qualifications of an individual
				  from a community disproportionately impacted, a minority-owned business,
				  women-owned business, a distressed farmer, or service-disabled veteran
				  described in Part 121 of this Title; and
(ii) has been granted an adult-use license
				  subject to Part 120 of this Title.
(101)
Sole Control means a person or
				  persons who:
(i) has real,
				  substantial, and continuing ownership of 51% equity share in the
				  business;
(ii) has the right to
				  execute any material contracts;
(iii) has the ability to exercise the
				  authority to materially influence the day-to-day business decisions,
				  operations, strategic priorities, capital allocations, acquisitions and
				  divestments;
(iv) has no timed or
				  triggered recusal provisions or side letters or side agreements related to
				  their recusal; and
(v) has an
				  ability to direct decisions, voting or otherwise, such that no other person may
				  exercise or have the ability to control the majority of voting rights or
				  appoint or remove the majority of director seats or their equivalent or
				  corporate officers or their equivalent on the governing body.
(102)
Structure
means any object constructed, installed or placed on land to facilitate land
				  use and development or subdivision of land, including, but not limited to,
				  buildings, fences, enclosures and any fixtures, additions and alterations
				  thereto.
(103)
Tincture
means a non-potable edible cannabis product that is a
				  cannabis extract solution, intended for human consumption or ingestion,
				  dissolved in alcohol, glycerin, or plant-based oil.
(104)
Third-party platform or
				  marketplace or aggregator
means an entity hosting, maintaining, or
				  otherwise providing a marketplace or aggregator service that advertises,
				  markets, promotes, or otherwise lists cannabis products.
(105)
True Party of
				  Interest:
(i) includes the
				  following:
(a) the applicant or licensee's
				  sole proprietor, partner (whether limited or general), member, manager,
				  president, vice president, secretary, treasurer, officer, board member,
				  trustee, director, or any person with an equivalent title to each of the
				  foregoing in any entity in the applicant or licensee's ownership
				  structure;
(b) a stockholder of the
				  applicant or licensee;
(c) each
				  person that makes up the ownership structure of each level of ownership for an
				  applicant or licensee that has a multilevel ownership structure;
(d) a person with a right to receive
				  aggregate payments in a calendar year, as part of a risk sharing or goods and
				  services agreement, that exceeds the greater of the following, as measured in
				  that calendar year:
(1) 10% of the gross
				  revenue of an applicant or licensee;
(2) 50% of the net profit of an applicant or
				  licensee; or
(3) $250,000 from an
				  applicant or licensee;
(e) a person with a financial interest in the
				  applicant or licensee;
(f) a person
				  that has authority to or exercises control over the applicant or licensee by
				  controlling interest or otherwise;
(g) a person that assumes responsibility for
				  the debts of the applicant or licensee;
(h) a spouse of any individual in clause (a), (b) and
				  (c) of this subparagraph; or
(i)
				  any other person that may have a direct or indirect interest, as may be
				  determined by the Office, consistent with the policies and purpose of the
				  Cannabis Law; and
(ii)
				  does not include a person who:
(a) receives
				  payment for rent on a fixed basis under a lease or rental agreement relating to
				  applicant or licensee. The Office may investigate a landlord in situations
				  where a rental payment has been waived or deferred;
(b) receives a bonus or commission from the
				  applicant or licensee based on the individual's sales, so long as the
				  commission does not exceed 10% of the sales of the applicant or licensee in any
				  given bonus or commission period, unless otherwise determined by the Office.
				  Commission-based compensation agreements shall be in writing;
(c) contracts with the applicant or licensee
				  to receive a commission for the sale of the business or real
				  property;
(d) consults receiving a
				  flat or hourly rate of compensation from an applicant or licensee under a goods
				  and services agreement, unless such compensation exceeds the greater of the
				  following, as measured in that calendar year:
(1) 10% of the gross revenue of such
				  applicant or licensee;
(2) 50% of
				  the net profit of such applicant or licensee; or
(3) $250,000 from such applicant or
				  licensee;
(e) is a goods
				  and services provider, as long as the applicant or licensee retains the right
				  to and controls the business and such payments for such goods or services do
				  not exceed the greater of the following, as measured in that calendar year:
(1) 10% of the gross revenue of such
				  applicant or licensee;
(2) 50% of
				  the net profit of such applicant or licensee; or
(3) $250,000 from such applicant or
				  licensee;
(f) is a
				  financial institution;
(g) is a
				  financier; or
(h) may be determined
				  by the Office.
(106)
Use by date
means use
				  by date as defined in Part 128 of this Title.
(107)
Working stock
means
				  part of the inventory available for average demand in a given period which may
				  be defined by the Office.