Who licenses the producers that grow and process legal cannabis?
CannSell: Licences, managers and store locations
Retail operator licence, store authorization and retail manager licence, what managers do, age 19 for applicants, the five-store limit, the 150-metre school rule, public notice and municipal opt-outs.
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- 13 questions
- Topic drill
Study reference: Ontario cannabis retail law and AGCO guidance (Oct 2026), Ch. 2 Licences and roles — Cannabis Licence Act ss. 3 to 8, 25, 41; O. Reg. 468/18 ss. 10 to 12; Registrar's Standards 1.3 to 1.5; AGCO Cannabis retail regulation guide
All 13 questions in this test
Every question and its answer choices. The correct answers and explanations appear when you take the test above.
Who licenses the producers that grow and process legal cannabis?
- The AGCO
- Each municipality
- Health Canada
- The Ontario Cannabis Store
Where must a copy of the Retail Manager Licence be kept?
- With the Ontario Cannabis Store's supply records
- At the manager's home address, never at the store
- At the store, for AGCO inspectors on request
- At the AGCO head office in Toronto only
Which task requires a Cannabis Retail Manager Licence?
- Checking ID at the front entrance of the store each shift
- Explaining product labels and THC levels to a customer
- Having authority to buy cannabis or make job offers
- Restocking shelves from the secure storage room daily
A municipality opted out of cannabis stores in 2019 and later opted in. Can it opt out again?
- Yes, by a council vote at any time
- Yes, but only before an election year
- Yes, if residents sign a petition
- No, a decision to allow stores is final
What is the minimum age to apply for a Cannabis Retail Manager Licence?
- 21
- 18
- 25
- 19
Which AGCO approval is needed for each individual cannabis store location?
- A municipal business licence for cannabis
- A federal licence to produce cannabis
- A Cannabis Retail Manager Licence
- A Cannabis Retail Store Authorization
How close to a school may a new cannabis retail store be located?
- No closer than 150 metres
- Any distance, if the school agrees
- No closer than 500 metres
- No closer than 50 metres
The 150-metre school rule does not apply to which kind of private school?
- One located on the second floor of a mall
- One that offers classes only over the Internet
- One with fewer than 100 enrolled students
- One that is closed during the summer months
A store holder wants an unlicensed assistant to supervise staff and handle compliance. Is this allowed?
- No, those duties require a retail manager licence
- Yes, if the assistant has completed CannSell training
- Yes, as long as a licensed manager visits once a week
- Yes, if the assistant is at least 25 years of age
How many authorized stores can one licensed retail manager be accountable for?
- Up to 150 stores
- Up to 10 stores
- Up to 5 stores
- Only 1 store
A person's retail manager licence was revoked. When can they usually apply again?
- After two years, unless circumstances change significantly
- Immediately, by paying a higher application fee to the AGCO
- Never, because any revocation is permanent in Ontario
- After six months, if they retake approved CannSell training
When reviewing resident comments on a proposed store, which matter may the Registrar consider as public interest?
- The personal moral views held by local residents
- Protecting youth and limiting their access
- Whether nearby businesses fear new competition
- Whether the neighbourhood already has enough stores
For how long must the public notice placard for a proposed store be posted?
- 30 calendar days
- 5 business days
- 60 calendar days
- 15 calendar days
Licences, managers and store locations: key rules to remember
Our summary of what the official handbook says on this topic, in our own words. Read it before or after the practice questions above, then check the original chapter. Read the official chapter ↗
Cannabis retail regulation guide, Overview of cannabis legislation
- Three AGCO approvals in cannabis retail: Cannabis Retail Operator Licence (CROL), Cannabis Retail Store Authorization (CRSA), Cannabis Retail Manager Licence (CRML).
- The CROL lets a person or business operate retail stores; each store location needs its own CRSA.
- Each authorized store must have at least one licensed retail manager.
- A sole proprietor or a partnership of individuals who personally do the manager duties may not need a separate CRML.
- A retailer may only sell cannabis bought through the Ontario Cannabis Store (OCS), under a supply contract with the OCS.
- The Ontario Cannabis Store (Ontario Cannabis Retail Corporation) is a Crown agency and the only legal wholesaler of cannabis to private stores; it also runs the provincial online store; the AGCO does not regulate the OCS.
- Health Canada licenses producers ("licensed producers"), the only legal growers and processors of cannabis.
Cannabis retail manager licence
- Manager functions that require a CRML: supervising or managing store employees; overseeing or co-ordinating the sale or distribution of cannabis; managing compliance issues about cannabis sales; having signing authority to buy cannabis, sign contracts or make job offers.
- An applicant for a CRML must be at least 19.
- After a refusal or revocation, a person generally must wait until after the second anniversary before applying again, unless circumstances have changed significantly.
- A CRML cannot be transferred to another person (AGCO retail manager licence page).
Operator licence; managers
- An individual applying for a retail operator licence must be at least 19; for a corporation, every director, officer and shareholder must be at least 19.
- No one may perform manager functions unless they hold a CRML or a retail operator licence.
- A CRSA holder must not employ anyone to perform manager functions unless that person holds a CRML.
- A licensed manager must carry out duties in a way consistent with the Act's sale rules (sections 18 to 24).
Conditions, renewals
- Every licence and authorization is conditional on complying with the Cannabis Licence Act, the Cannabis Control Act, 2017, the federal Cannabis Act and their regulations.
- The Registrar can attach conditions to a licence based on risk (risk-based licensing); conditions can also be imposed by the Licence Appeal Tribunal.
- A renewal application must be made before the licence expires; if filed with the fee on time, the licence continues until the renewal decision.
- If an operator licence is revoked or not renewed, the store authorizations held by that operator are revoked too.
General standards
- A licensed retail manager (or an operator acting as manager) may be accountable for up to 5 authorized stores.
- A copy of the Retail Manager Licence must be kept at the store and shown to AGCO inspectors or investigators on request.
- The store's operating name must match the name on the retail store authorization.
Location and maximum authorizations
- A store may not be located less than 150 metres from a school or private school (measured from the property line, or from the space the school occupies if it shares a building).
- The 150 m rule does not apply to a private school on a reserve or one that only offers classes online.
- One operator and its affiliates may hold at most 150 store authorizations.
Public notice; Cannabis Licence Act s. 41
- Each proposed store location goes through a 15-calendar-day public notice; a placard must be posted at the location within 24 hours of the AGCO's notice.
- Residents and the municipality may make written submissions; the only public-interest matters the Registrar may consider are public health and safety, protecting youth and restricting their access, and preventing illicit activity (O. Reg. 468/18 s. 10).
- Municipalities had a one-time chance to opt out of stores by January 22, 2019; a municipality that opted out can later opt in, but an opt-in cannot be reversed.
- A First Nations band council can ask the Registrar not to issue store authorizations on its reserve.
Study the Licences, managers and store locations rules as flashcards →
Other topics
- Training and certificationWho must complete AGCO Board-approved cannabis retail training before the first shift, the two approved programs, the 80% final-exam standard, background checks and training records.
- Legal age and checking IDAge 19 in Ontario, ID checks at the door for anyone who appears under 25, the good-faith ID defence, fake ID, proxy purchases, no staff under 19 and youth offences.
- Products, sources and purchase limitsBuying only from the OCS, what else a store may sell, the 30-gram limit per visit or order, federal equivalency amounts, THC limits for edibles and extracts and packaging rules.
- Cannabis and its effectsTHC and CBD, onset and duration for inhaled and ingested cannabis, short- and long-term effects, overconsumption and poisoning, pregnancy, mixing with alcohol and safe storage.
- Lower-risk use guidelinesCanada's Lower-Risk Cannabis Use Guidelines: delaying use, lower-THC products, avoiding synthetics and smoking, occasional use, six hours before driving and who should not use, plus the store's duty to share responsible-use information.
- Intoxication and refusing a saleThe ban on selling to anyone who is or appears intoxicated, signs of cannabis impairment, overconsumption, proxy buying, compliance records and police powers on premises.
- Running the storeHours of 7 a.m. to 11 p.m., the cannabis retail seal, posting the authorization, enclosed retail space, surveillance, secure storage, sensory displays and the ban on self-service and vending machines.
- Delivery, curbside and online salesWho may deliver, delivery hours of 9 a.m. to 11 p.m., residences and private places only, ID at the door, returning undelivered orders, curbside pick-up rules and First Nations delivery restrictions.
- Advertising, promotion and inducementsWhat store advertising may not do, federal promotion limits, no free product or contests to drive sales, and the rules on inducements from licensed producers.
- Records, inventory and destructionThree-year records, monthly inventory counts, certified point-of-sale systems, destroying unsellable cannabis on camera, recalls, inter-store transfers and preventing diversion.
- Inspections, offences and penaltiesAGCO inspections and inspectors' powers, whistle-blower protection, fines under the Cannabis Licence Act and Cannabis Control Act, monetary penalties and Licence Appeal Tribunal hearings.
- Where to use it, transport and drivingWhere adults may and may not smoke or vape cannabis in Ontario, possession and home-growing limits, carrying cannabis in vehicles and boats, and impaired-driving consequences.