Canadian CANNAINVESTOR Magazine November 2018 | Page 32

Required Licences and Authorizations

The provincial government has indicated that it anticipates that privately owned stores will be up and running by April 1, 2019. In the coming months, the Alcohol and Gaming Commission of Ontario (the “AGCO”), which has been designated as the regulator for the privately-run retail cannabis stores will open the application process for those interested in owning, operating and managing retail cannabis stores in Ontario. Potential applicants will be able to apply for a retail operator licence, cannabis retail manager licence and a retail store authorization. To own and operate a retail cannabis store in Ontario, potential applicants are required to obtain a retail operator licence and a retail store authorization. As described in greater detail below, a cannabis retail manager licence is not required unless certain circumstances apply.

For each licence and authorization, individual applicants must be at least 19 years of age, or in the case of a corporate applicant, all of the corporation’s directors, officers and shareholders must be at least 19 years old. In issuing a licence or a retail store authorization, the AGCO may specify that any conditions which have been consented to by the applicant will be attached to the licence or authorization. Therefore, the conditions governing each licence and authorization may differ among applicants.

Retail Operator Licence and Retail Store Authorization

To operate retail stores potential store owners will be required to apply for and obtain a retail operator licence and a retail store authorization for each location that they plan to operate. There is no prescribed limit on the number of retail store authorizations that will be available for issuance in Ontario. The legislation sets out a number of eligibility requirements for a retail operator licence and a retail store authorization to be issued to an applicant. In addition, it is expected that the regulations, when released, may set out further eligibility requirements to be considered. In particular, for a retail operator licence to be issued, the AGCO must be satisfied that the applicant will exercise “sufficient” direct or indirect control over the retail business.

Interested parties may be able to apply for a retail operator licence

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