October 17, 2017 10:04 pm

Ontario court allows City of Toronto to block Canna Clinic marijuana dispensary sales

A Canna Clinic marijuana dispensary is seen at 213 Ossington Ave. in Toronto on Dec. 23, 2016.

Global News

An Ontario court ruling has granted the City of Toronto an interim injunction to shut down marijuana sales at Canna Clinic locations.

The city filed an application with the Ontario Superior Court of Justice back in February, which looked for both an interim and permanent injunction block the sale of illegal cannabis at Canna Clinic locations.

READ MORE: Ontario to sell marijuana in 150 government-run stores; must be used in ‘private residences’

The application argued the marijuana dispensary storefronts were operating in contravention to the city’s zoning bylaw.

The interim matter was heard by Justice Pollak in an Ontario Superior courtroom on Sept. 15 and 26.

WATCH: (Sept. 28) The risks and rewards of investing in the marijuana industry in Canada ahead of legalization

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The court decision, released on Monday, rules in favour of the City of Toronto and will prohibit Canna Clinic, as well as any affiliated businesses and directors, from using any properties in the city to sell, store or distribute marijuana.

READ MORE: Toronto police charge 20 people after Canna Clinic marijuana dispensaries reopen following raids

The property owners are also prohibited from allowing the use of their property for marijuana sales.

A hearing for a permanent injunction at the locations is scheduled for December of 2018.

The City of Toronto told Global News in a written statement that city staff are currently reviewing the decision and will be determining next steps.

READ MORE: Canna Clinic marijuana dispensary raided twice in 1 week, 8 more employees charged: Toronto police

Canna Clinic currently operates two storefronts in Toronto, including in Kensington Market and in Parkdale. The locations on Broadview Avenue, Dundas Street, Ossington Avenue, Yonge Street and Eglinton Avenue are currently closed.

WATCH: (Sept. 8) Cannabis use in Ontario only allowed in private residences, for now

The federal government is working towards legalizing marijuana in Canada by July 1, 2018. The Ontario government announced in September it plans to sell and distribute recreational marijuana in 150 dedicated stores run by the province’s liquor control board.

Among the provincial government’s priorities is clamping down on illegal distribution channels.

© 2017 Global News, a division of Corus Entertainment Inc.

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