This license type authorizes the brand licensee to provide intellectual property (e.g. logos, product quality plans, etc.), non-cannabis ingredients (e.g. rolling papers, flavoring agents, etc.), equipment, and other materials (e.g. vaporizers) to another New York State licensed processor authorized for plant touching activities with which the brand licensee has entered into a white labeling agreement. A brand licensee may, as part of a white labeling agreement, set certain standards which the processor must meet (e.g. regarding the quality of finished cannabis products or regarding the manufacturing processes used to make the cannabis products).
Overview
This license type allows brand licensees to enter into white labeling agreements without having to become a true party of interest in a New York State licensed adult-use processor or having to establish a processing facility in New York State. White labeling, for the purpose of the Type 3 Brand License shall mean cannabis products processed, branded, and distributed by a licensed processor authorized for plant touching activities for a brand licensee with whom they have an agreement, which may include adherence to a specified master manufacturing protocol for brand quality standards.
This license type authorizes the brand licensee to provide intellectual property (e.g. logos, product quality plans, etc.), non-cannabis ingredients (e.g. rolling papers, flavoring agents, etc.), equipment, and other materials (e.g. vaporizers) to another New York State licensed processor authorized for plant touching activities with which the brand licensee has entered into a white labeling agreement. A brand licensee may, as part of a white labeling agreement, set certain standards which the processor must meet (e.g. regarding the quality of finished cannabis products or regarding the manufacturing processes used to make the cannabis products).
This license type does not authorize any cannabis plant touching activity, including but not limited to extracting, blending, infusing, packaging, labeling, and otherwise making or preparing cannabis products, and is solely for the purpose of licensing New York State and out-of-state cannabis brands so they can partner with a New York State licensed processor who is authorized to conduct plant touching processing activities, to white label and manufacture their cannabis brand. All required recordkeeping for the production of any cannabis products (from the brand) must be maintained by a licensee who is authorized to conduct plant touching activities.
All relationship restrictions that apply to a processor license, apply to a brand licensee, including but not limited to restrictions relating to undue influence, control, ownership, and true parties of interest. No processor, brand licensee, or its true party of interest, is permitted to have any direct or indirect interest, including by being a true party of interest, passive investor, or having a goods and services agreement with, or by any other means, in an adult-use retail dispensary, on-site consumption, delivery, registered organization registered under article 3 of the Cannabis Law, or cannabis laboratory licensee or permittee. A brand licensee shall only conduct those activities specified on its application, whether on an initial or amended application, that have been approved by the Office of Cannabis Management (Office) for such processor.
As with processors, brand licensees and true parties of interest are subject to all applicable laws, rules, regulations, and guidance. Failure to comply with any current or future laws, rules, regulations, or guidance issued by the Office may result in disciplinary action, including, but not limited to, revocation of the license.
If you have any questions about the Adult-Use Processor Type 3 – Branding license or have issues applying, please call 1-888-OCM-5151 (1-888-626-5151) or reach out to AUlicensing@ocm.ny.gov for assistance. Please note that only completed applications with payment of the correct application fee will be reviewed.
Program Contact Information:
Telephone: 1-888-OCM-5151 (1-888-626-5151)
E-Mail: AUlicensing@ocm.ny.gov
Website: https://cannabis.ny.gov/
Requirements
- The applicant and anyone in the ownership structure must be 21 years of age or over.
- The applicant must be a United States citizen, or a person lawfully admitted for permanent residence in the United States. A corporation that otherwise conforms to the requirements of the Cannabis Law may be licensed if each of its principal officers and more than one-half of its directors are citizens of the United States or persons lawfully admitted for permanent residence in the United States.
- The applicant must provide a federal employee identification number (“FEIN”) or, if operating as a sole proprietor with no employees, a social security number may be used. (Did you know you can get an FEIN even if operating as a sole proprietor here? Consult with your accountant or attorney for more information)
- The applicant must provide name and contact information for all True Parties of Interest. What is a True Party of Interest?
- The applicant must provide ownership, management, and financial information including organizational structure/ charts, capitalization tables/ ownership structures, and any proposed or existing sources of capital.
- Payment of non-refundable Application Fee.
How to Apply
- All applications must be submitted online through New York Business Express (NYBE) at https://www.businessexpress.ny.gov
- Sign in or create a NY.gov account.
- Your application has a save and resume feature. You do not need to complete it within one sitting.
- After you submit your application, you can log in to NYBE at any time to check your application status.
More Information at
https://www.businessexpress.ny.gov/app/answers/cms/a_id/3833
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