Missouri Department of Health and Senior Services Missouri Cases

Missouri Medical Options, LLC (MMO) appealed the circuit court's dismissal of its petition for declaratory judgment against the Missouri Department of Health and Senior Services (DHSS). MMO sought to invalidate rescinded medical marijuana cultivation regulations and compel license issuance. The circuit court dismissed the petition as moot, finding no existing controversy. The appellate court affirmed, holding that a challenge to regulations already rescinded is moot, as a judgment would have no practical effect and effectual relief is impossible.

Bradley Hult, a registered nurse, was permanently placed on the Missouri Department of Health and Senior Services' Employee Disqualification List after being found to have knowingly neglected a patient and falsified records. The circuit court affirmed Hult's placement but reduced the duration to eighteen months, finding the permanent placement arbitrary. The appellate court affirmed the circuit court's judgment in part, upholding Hult's placement on the list, and reversed in part, reinstating the Department's decision for permanent placement, concluding it was not arbitrary or capricious.

MO CANN Do, Inc. appealed an administrative decision denying its application for a medical marijuana cultivation license because it failed to submit a certificate of good standing. The Administrative Hearing Commission and the circuit court affirmed the denial. On transfer, the Missouri Supreme Court affirmed the circuit court's judgment, holding that the application failed to meet minimum regulatory standards. The Court rejected arguments that the Department of Health and Senior Services waived the requirement or was equitably estopped from denying the application, emphasizing the high regulation of the marijuana industry.

MCD applied for a medical marijuana cultivation license, but the Missouri Department of Health and Senior Services (DHSS) denied the application, citing a missing certificate of good standing and low ranking. MCD appealed the denial, arguing that the DHSS failed to specify the missing document in its deficiency letter as required by its own regulation. The appellate court reversed the circuit court's affirmation of the Administrative Hearing Commission's decision, holding that the DHSS violated its regulation by not explicitly identifying the missing information. The case was remanded with directions to order the DHSS to grant MCD the cultivation facility license.

The Missouri Department of Health and Senior Services appealed a summary judgment in favor of Union Manor, a long-term care facility. Union Manor sought a declaratory judgment that it was exempt from a regulation requiring 70 square feet of bedroom space per resident, citing a grandfather clause. The appellate court affirmed in part and reversed in part, holding that Union Manor qualified for the 60 square feet exemption for multiple occupancy bedrooms but not for private bedrooms. The court also reversed the circuit court's rulings on equitable estoppel and retrospective law, and remanded for further proceedings on injunctive relief.

Hippos, LLC appealed the circuit court's judgment affirming the Administrative Hearing Commission's decisions, which found Hippos ineligible for 13 medical marijuana cultivation, manufacturing, and dispensary licenses. The Commission's decisions were based on a scoring process that resulted in inconsistent scores for identical application answers and an arbitrary rescoring methodology. The appellate court reversed the circuit court's judgment, holding that the Commission's decisions were arbitrary, capricious, and unsupported by competent and substantial evidence, particularly in its disregard of expert testimony and its flawed rescoring method. The case was remanded with directions for the circuit court to order the Department of Health and Senior Services to grant the licenses to Hippos.