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Office of Cannabis Management general counsel Linda Baldwin told the board Tuesday that the plaintiff, Variscite NY One, has agreed to settle.

Calls seeking comment were made to Variscite’s attorneys.

The company Variscite NY One claims that the state’s selection process favors New York residents over out-of-state residents in violation of constitutional interstate commerce protections.

A federal judge in Albany, New York, in November issued a temporary injunction against the licenses being handed out in those areas, after a lawsuit filed by Variscite NY One.

Variscite’s lawsuit, which is ongoing, says that is a violation of constitutional interstate commerce protections.