Raucous cannabis store grand opening has Cookies franchisee in trouble

New Mexico regulators fined the legal entity behind a Cookies-branded cannabis store in Albuquerque $350,000 for five violations of state law during the retailer’s grand opening.

It’s at least the second example of state regulators finding fault with the behavior at a Cookies franchisee’s rambunctious store launch party.

In the latest case, which dates to November 2023, infractions against Blue Whale Enterprises’ Cookies franchise in Albuquerque included allowing a minor “onto the licensed premises” and “promoting the over consumption of cannabis products,” according to a settlement signed July 16.

In June 2023, Maryland regulators briefly suspended Cookies Baltimore’s license for alleged violations of state law that included the use of a marijuana “smoke blower.”

The notorious Cookies “smoke gun” made an appearance during the Albuquerque store’s grand opening as well, according to video of the event posted to social media.

The grand opening was promoted on the social media channels of Cookies co-founder Berner, arguably one of the legal marijuana industry’s biggest stars.

As in other states, Cookies Albuquerque is not directly owned by Berner, whose given name is Gilbert Milam Jr., or his affiliated companies.

Instead, Cookies signed a licensing deal with a New Mexico-based company in 2022 for a property at 1340 Broadway Blvd. NE in Albuquerque, according to Albuquerque Business First.

Byron Butcher, the CEO of Hi Extracts and Bloom New Mexico, signed the settlement agreement on behalf of Albuquerque-based Blue Whale Enterprises, according to documents filed with the state Cannabis Control Division (CCD).

Neither Butcher nor his partners, including Bloom Brand’s Vitaly Mekk, immediately responded for MJBizDaily request for comment.

Butcher and Blue Whale agreed on July 16 to pay $350,000 to avoid the revocation of its state license after the grand opening event allegedly got out of hand.

The initial notice of violation notes that CCD inspectors’ evidence included Cookies social media posts as well as a local newspaper story that identified a minor using marijuana at the event.

Albuquerque TV station KRQE first reported the violation and the settlement.

According to the settlement, violations at the grand opening included:

At the time, the store’s owners didn’t seem to have any regrets.

Long lines of customers decked out in Cookies gear braved rain for an opportunity to see Berner and pose for the many cameras on scene.

Mekk posted on Instagram after the event that the opening of “Cookies New Mexico was unforgettable!”

Blue Whale has 30 days from July 16 to pay the $350,000 fine, according to the agreement.

According to Mekk’s social media, Cookies had another grand opening in New Mexico on July 20, this time at a location in Sunland Park.

Chris Roberts can be reached at chris.roberts@mjbizdaily.com.

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