Oklahoma § 12-1560 - Foreclosure of licensed medical marijuana business –

§ 12-1560. Foreclosure of licensed medical marijuana business –

Continuation of operations.

A. In the event that a licensed medical marijuana dispensary,

commercial grower or processor is foreclosed, is the subject of an

order appointing a receiver, becomes insolvent, bankrupt or

otherwise ceases operations, a secured party or receiver may

continue operations at the dispensary, grower or processor upon

submitting to the Oklahoma Medical Marijuana Authority, State

Department of Health, proof that the secured party or receiver, or

if the secured party or receiver is a business entity, any

individual who has a financial interest in the secured party or

receiver, meets the requirements and restrictions set forth in:

1. For licensed medical marijuana dispensaries, Section 421 of

Title 63 of the Oklahoma Statutes;

2. For licensed commercial medical marijuana growers, Section

422 of Title 63 of the Oklahoma Statutes; or

3. For licensed medical marijuana processors, Section 423 of

Title 63 of the Oklahoma Statutes.

Oklahoma Statutes - Title 12. Civil Procedure

The Authority may prescribe the form and manner of submitting

proof under this subsection. Neither the state nor agency of this

state shall require an additional fee from the secured party or

receiver, other than payment of annual fees which may become due

during the operation by the secured party or receiver.

B. Subject to the requirements of subsection A of this section,

the Oklahoma Medical Marijuana Authority, State Department of

Health, shall promulgate rules for the manner and conditions under

which:

1. Marijuana items left by a deceased, insolvent or bankrupt

person or licensee, or subject to a security interest or a court

order appointing a receiver, may be foreclosed, sold under execution

or otherwise disposed whether by foreclosure or by sale as a going

concern;

2. The business of a licensee who is deceased, insolvent,

bankrupt, or the subject of an order appointing receiver or a

foreclosure by a secured party, may be operated for a reasonable

period following the death, insolvency, appointment of a receiver or

bankruptcy; and

3. A secured party or court-appointed receiver may continue to

operate a business for which a license has been issued under Section

421, 422 or 423 of Title 63 of the Oklahoma Statutes for a

reasonable period after default on the indebtedness by the debtor or

after the appointment of the receiver.

Added by Laws 2019, c. 435, § 1, eff. Nov. 1, 2019.