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Licensing Rules Flashcards

7 cards from real METRC practice questions. Tap to flip, then mark Knew It or Still Learning โ€” missed cards come back until you master them.

Read the first 7 Licensing Rules flashcards as text
  1. In METRC, a 'license type' designation primarily determines:

    Answer: Which activities (cultivation, manufacturing, retail, etc.) are authorized and tracked

    License type defines which cannabis activities are permitted, and METRC enforces these boundaries by restricting available transaction types accordingly.

  2. Under METRC licensing rules, a 'vertically integrated' licensee is one who:

    Answer: Holds licenses for multiple activity types such as cultivation, manufacturing, and retail

    Vertical integration means holding licenses that span multiple tiers of the supply chain, all of which must be tracked individually in METRC.

  3. What happens in METRC when a license is placed on 'administrative hold' by the regulatory authority?

    Answer: METRC access may be restricted and inventory movements halted per state order

    An administrative hold typically restricts or suspends the ability to conduct transactions in METRC until the regulatory issue is resolved.

  4. A cannabis testing laboratory receives samples to test. Under METRC licensing rules, the lab:

    Answer: Must hold a cannabis license and record sample receipts and test results in METRC

    Licensed testing laboratories are required to use METRC to record sample intake, testing activities, and results, maintaining chain of custody.

  5. Which of the following would constitute an unauthorized license activity in METRC?

    Answer: A retailer selling directly to a licensed dispensary for resale

    A retailer's license authorizes sales to consumers, not wholesale transfers to other retailers for resale; such activity exceeds licensed scope.

  6. How does METRC handle a licensee that has been issued a temporary operating permit while their full license is pending?

    Answer: The temporary permit holder gets a time-limited METRC account subject to the same tracking rules

    Temporary permit holders are typically granted a time-limited METRC account and must comply with all standard tracking requirements from day one.

  7. When a licensed cannabis business closes permanently, what is the required METRC procedure?

    Answer: Notify the state regulator, properly dispose of or transfer all remaining inventory, and close the METRC account per state procedures

    Permanent closure requires regulatory notification, compliant disposition of all inventory tracked in METRC, and formal account closure per state rules.