Trendy cannabis shops in Southampton are facing challenges from local authorities, raising concerns they might be shut down. Recently, the Charlie Fox store, which has been compared to Bergdorf Goodman for cannabis products, encountered immediate restrictions from town officials right after its grand opening.
On Tuesday, the town board responded by filing an injunction in New York State Court, aiming to halt new cannabis shops due to a lack of a “special permit” for operation.
Charlie Fox’s co-founders, James Marios and Julia Levy, are committed to contesting the town’s actions in court, arguing that state licensing should supersede local regulations. Marios emphasized that Southampton isn’t a private country club and insisted that the town’s actions are detrimental to small businesses.
However, town attorney James Burke clarified that even if a business has a state cannabis license, local approval is still necessary. He asserted that all state permits require compliance with local regulations.
Burke mentioned that if the court grants the injunction they plan to file, the town hopes that Charlie Fox will comply, allowing them to explore options for a legal reopening.
Marios, who runs several New York restaurants, pointed out that the town officials failed to opt out of the state’s cannabis program by the 2021 deadline. He expressed disbelief at the lengths the town goes to enforce its own rules, suggesting that their reasoning for deeming the use of his shop inappropriate is misguided.
Burke countered, explaining that while the town did not opt out of the program, special use permits must still be obtained. He added that the planning committee would need to review the certificate of occupancy for Charlie Fox, suggesting it is designated for a different use.
The town also contends that it is working with the cannabis management office to ensure compliance with state regulations, asserting that they cannot impose stricter rules than those at the state level.
Currently, the only legal cannabis shop in the area operates on the territory of the Cinecock Indian Nation along the Montauk Highway.
Two other businesses, Brown Buddha and Motts Green grocery, are also challenging the town in court for creating what they believe are illegal barriers to cannabis operations. So far, Charlie Fox has not pursued legal action against Southampton.
