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August 25, 2018 I Volume 12 I Issue 16 <br />Zoning Bulletin <br />ing permit, and did not make a substantial beginning to reconstruct the <br />building at the Property. The County also argued that the state <br />Legislature did not intend to preempt local municipalities from exert- <br />ing zoning control over the medical cannabis industry. <br />The circuit court found that the Applicants "failed to meet the <br />requirements under Maryland law to assert a claim that they acquired a <br />property interest to develop [the Property] and, as a result, [could] not <br />meet the burden required to prove either a substantive due process or <br />procedural due process claim." The circuit court also concluded that <br />the Ordinance was not preempted "by any other legislation." <br />The Applicants appealed. <br />DECISION: Judgment of circuit court affirmed. <br />The Court of Special Appeals of Maryland first held that the Ap- <br />plicants did not acquire a vested property interest or "have a legitimate <br />claim of entitlement to any other cognizable constitutional interest." <br />In so holding, the court explained that there were "two avenues" by <br />which the Applicants could acquire a constitutionally protected prop- <br />erty interest: (1) by obtaining a "vested right" in the existing zoning <br />use; or (2) by possessing a "legitimate claim of entitlement" to a permit <br />or approval. The court addressed each of those avenues. <br />The court explained that, under Maryland law, in order to obtain a <br />vested right in the existing zoning use that will be constitutionally <br />protected against a later change in the zoning ordinance prohibiting or <br />limiting that use, the owner must: "(1) obtain a permit or occupancy <br />certificate where required by the applicable ordinance and (2) must <br />proceed under that permit or certificate to exercise it on the land <br />involved so that the neighborhood may be advised that the land is be- <br />ing devoted to that use." Here, the court found that the Applicants <br />"never acquired a vested property interest" since they did not obtain a <br />permit at the Property, and did not make a substantial beginning to <br />reconstruct the building at the property such that "the neighborhood <br />[was] advised that the land [was] being devoted to that use." <br />In finding that the Applicants also did not have a legitimate claim of <br />interest to a permit or approval, the court explained that whether the <br />property interest at issue here was a permit license or a medical can- <br />nabis dispensary license, the test would be the same: "a constitution- <br />ally cognizable interest requires a `legitimate claim of entitlement' and <br />turns on whether the `local agency lacks all discretion to deny issuance <br />of the permit or to withhold its approval.' " Here, the court found that <br />the County did not lack discretion to deny the permit or withhold its <br />approval. In fact, the court found that "the [Cannabis] Commission's <br />regulations indicate that local zoning authorities wield independent <br />authority in the licensing process." Specifically, Commission regula- <br />tions authorize the Commission to issue a dispensary license on a de- <br />8 © 2018 Thomson Reuters <br />