A complaint was filed on May 2 through the U.S. District Court for the Northern District of California against Nahla Droubi, the landlord of the property that houses the dispensary. The lawsuit threatens to seize the property for allegedly violating federal law, which prohibits operating a marijuana dispensary.

Berkeley City Council members and representatives from Berkeley Patients Group held a press conference Wednesday afternoon in front of the Old City Hall expressing their opposition to the lawsuit.

“There is no legitimate reason to target Berkeley Patients Group,” said Sean Luse, chief operations officer at BPG. “They’re in compliance with state law. The U.S. attorney general … has chosen to hurt our patients by diverting attention from the real issues.”

Berkeley Patients Group also came into opposition with the federal government in February 2012, when it received letters from the U.S. attorney’s office for violating a federal law banning dispensaries from being located within 1,000 feet of a school. Even though California law dictates that the distance only has to be 600 feet, the dispensary voluntarily closed down and reopened at a new location in December a few blocks away.

According to the complaint, the U.S. attorney began sending Droubi letters again in November 2012 before the new location opened, warning that the new location would be in violation of the same federal law by being within 1,000 feet of two preschools. A second letter sent in February noted that the group could face criminal and civil penalties if operation continued.

Luse said that the federal government should focus its attention on other crime problems in the city, like illegal drug and gun trafficking. He also said that they plan to fight the lawsuit.

“We look forward to having our day in court and believe we will ultimately prevail,” Luse said.

City Councilmembers Darryl Moore, Kriss Worthington, Laurie Capitelli and Jesse Arreguin voiced their backing of Berkeley Patients Group at the press conference. Mayor Tom Bates also showed his support for the dispensary.

“I’m very, very disappointed that this has happened, and we’ll do anything we can to make sure they get back into business,” Bates said.

Councilmember Kriss Worthington said that the federal government was overstepping its boundaries, referencing the recent California Supreme Court ruling on City of Riverside v. Inland Empire Patients Health and Wellness Center. In the ruling, the court recognized the legality of medical cannabis dispensaries but allowed that local governments may ban dispensaries despite state law.

“Being a U.S. attorney doesn’t give you the right to change state law or city law,” Worthington said. “It’s so absurd. It’s a waste of time, and it’s threatening patient care.”

In the meantime, the dispensary will remain open, according to Henry Wykowski, attorney for Berkeley Patients Group.

“The only people that would benefit from the closing of Berkeley Patients Group are the gangs and cartels,” Wykowski said. “This action will cause them to prey on the patients who now have a clean, safe place to get their medicine.”

The federal government filed a similar lawsuit against a medical marijuana dispensary in Oakland last July. The city of Oakland filed a lawsuit in response, claiming that the federal government had overstepped its jurisdiction. A federal judge later dismissed the lawsuit, saying that only the dispensary and its landlords could contest the government’s seizure of property.

Wykowski said that they intend to file a claim in response to the lawsuit and will also present their case in court.

Contact Tara Hurley at thurley@dailycal.org.

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Although a date of reopening has not yet been determined, construction to renovate the interior and exterior areas of the new property at 2366 San Pablo Avenue in the commercial district has already begun.

According to a permit application submitted in July by Sean Luse, chief operating officer for the dispensary, BPG applied to remove and replace the asphalt parking lot and renovate the interior and exterior structures of the building, such as placing new tiles and adding doors to make it accessible for disabled people. The estimated exterior cost of renovations is $49,000, according to the application.

“BPG has and will continue to be a positive community resource serving patients in the City of Berkeley and the surrounding region,” reads a BPG press release.

Last fall, the U.S. Department of Justice began a statewide effort to enforce regulations on the the marijuana industry throughout California and sent letters to owners of commercial marijuana stores that they were not complying with federal laws and could be subject to closure.

BPG closed May 1 after receiving a letter from the U.S. Attorney’s Office warning the dispensary that it was in violation of a federal law that stipulates that dispensaries cannot be located within 1,000 feet of schools and playgrounds, although California law only requires a 600-ft. distance between schools and dispensaries. Since its closure, the dispensary has continued to operate through delivery services.

According to the press release, the dispensary’s new location will be more than 1,000 feet away from all elementary, middle and high schools.

BPG will also have a security guard stationed 24 hours per day for seven days a week to monitor the property, according to the release. The release states an eight-foot fence complete with an alarm system will surround the area and security cameras will be operated by a 24-hour remote.

Although neighbors have expressed some concerns regarding how the establishment may affect their businesses, the press release states the dispensary is “committed to working proactively” with the community.

Berkeley Patients Group could not be reached for comment as of press time.

“(BPG) intends to (reopen), and I would encourage them to,” said Dan Rush, chair of the Berkeley Medical Cannabis Commission and director of the Medical Cannabis and Hemp Division at United Food and Commercial Workers International Union.

According to Charles Pappas, a member of the commission, the commission will meet in September for further discussion regarding the move.

Last week, Congresswoman Barbara Lee, D-Oakland, introduced the Medical Marijuana Property Rights Protection Act, which would prevent the U.S. Department of Justice from using forfeiture laws to seize property from medical marijuana dispensaries that are compliant with state laws.

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Reports last month that BPG — the oldest and largest of Berkeley’s three dispensaries — had received a letter from the federal government last fall led many to speculate that the business had been warned they were operating in violation of federal law that requires a 1000-foot distance between schools and dispensaries, which would mean the dispensary would most likely have to relocate. The dispensary is located around the corner from two schools.

Documents revealed this week that the dispensary had signed an agreement Feb. 28 with the property owner for the dispensary’s location at 2747 San Pablo Ave. to vacate by May 1, 2012.

Dispensary officials have declined to comment on the details of the letter but said in a press release issued Thursday night that “BPG is not closing. We have been looking to relocate for several years and look forward to announcing our new site, soon. We are grateful for the level of support we have received from the Berkeley community over the years.”

In the press release, Sean Luse, chief operating officer for the dispensary, said that “Berkeley Patients Group remains dedicated to providing safe and affordable access to its patient-members, while working to preserve the jobs of its 70+ employees.”

Many city officials and neighboring businesses have praised the dispensary for its professionalism and generous donations to the community.

Sean Bryson — who manages the Berkeley Tattoo Parlour across the street from the dispensary — said that the 24/7 security the dispensary provides make many in the area feel safer.

“It’s funny that they’re not supposed to be near schools, but when they’re run well, they actually improve safety in the neighborhood,” Bryson said.

Many have said the current federal restrictions on dispensaries will greatly limit the locations Berkeley Patients Group can relocate to in the city.

“We strive to operate a dispensary that is a model of compassion and legal integrity. BPG operates in strict compliance with the letter and the spirit of California’s medical cannabis laws,” the press release reads.

Adelyn Baxter is the lead city government reporter.

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