Michigan Changes Medical Marihuana Licensing Process to Facilitate Investment, Provide Path for Publicly Traded Companies

As one of the final acts of its 99^th Legislative Session, the Michigan Legislature passed amendments to the Medical Marihuana Facilities Licensing Act (MMFLA), as well as changes to the Marihuana Tracking Act. These amendments were signed by outgoing Governor Rick Snyder on December 28, 2018, with the MMFLA amendments effective January 1. The Tracking Act amendments took effect immediately. Read More ›

Unlicensed Michigan Medical Marihuana Facilities Must Close December 31

CLOSE OR BE DENIED!  In a major year-end development, the Michigan Court of Claims today dismissed the last of the cases that allowed unlicensed Michigan medical marihuana facilities to operate. All court orders preventing Michigan’s Department of Licensing and Regulatory Affairs (LARA) from setting a date by which the so-called temporary operators must close have now been dissolved—technically, that leaves in place the emergency rule by which unlicensed facilities must close by October 31, 2018, although the court had enjoined enforcement of that until its order was dissolved today. In an Advisory Bulletin issued late this afternoon, LARA announced that it would extend temporary operation until December 31, but no longer. Read More ›

Michigan Passes New Industrial Hemp Law, Sets Up Statutory Conflict

On the last day of the legislative session, the Michigan Legislature passed House Bills 6330, 6331, and 6380 to create the Industrial Hemp Research and Development Act (IHRDA). If signed by the Governor, IHRDA will require the registration of industrial hemp growers and processors as a prerequisite to grow or sell industrial hemp. Oversight authority is given to the Michigan Department of Agriculture and Rural Development (MDARD). To register, growers and processors would be required to submit basic identification information—including the identities of owners holding more than 10% equity in the applicant—and the location of their business. An annual application fee is also required: $100 for growers and $1,350 for processors. Applications may be denied for such reasons as the applicant demonstrating an unwillingness to comply with regulations or making false statements to MDARD. Failure to comply with the IHRDA may result in suspension or revocation of a registration, destruction of product, or a fine; allowing the taking of a falsified sample is a felony. IHRDA is set to take effect on January 15, 2019. Read More ›

Industrial Hemp – Now Legal and Unregulated in Michigan

On November 6, 2018, Michigan voters approved Proposal 1 and made Michigan the twelfth U.S. jurisdiction to legalize recreational marijuana. The Michigan Regulation and Taxation of Marihuana Act (MRTMA) went into effect December 6. What has been lost in all the smoke from the past several weeks is how MRTMA impacts the regulation of industrial hemp. Read More ›

The STATES Act, Rooted in Federalism, Would Address Systemic Risk in Cannabis-Related Banking

Coauthored by Dykema Summer Associate Shaun Sullivan-Towler.

For financial institutions interested in banking state-legal marijuana businesses, 2018 has been a rollercoaster. In January, Attorney General Jeff Sessions rescinded the Obama-era policy of lenient federal enforcement, creating new confusion for banks and credit unions about the future of marijuana-related banking. Many feared that the Financial Crimes Enforcement Network (FinCEN) would withdraw or amend its guidance as well, thereby eliminating the only federal guidance directed to financial institutions on banking marijuana businesses. But FinCEN has since been clear that its guidance remains in place and announced that, as of March 31, 2018, a total of 411 banks and credit unions now provide services to marijuana-related businesses, up from 365 a year ago. Read More ›

Department of Licensing and Regulatory Affairs Extends Deadline for Issuing Medical Marihuana Facility Licenses to Existing Facilities

Today, the Department of Licensing and Regulatory Affairs (“LARA”) released an amended set of emergency administrative rules that implement the Medical Marihuana Facilities Licensing Act (“MMFLA”) and establish a transition period for existing medical marihuana facilities to become licensed. The most notable change to the rules benefits temporary operators who faced a fast-approaching June 15, 2018 deadline under the old rules to either be licensed or shut down. Read More ›

Medical Cannabis - Every Little Victory Counts

Individuals and businesses operating in the medical cannabis industry have seen ample foes and scrutiny by the federal government. It is not a secret Jeff Sessions is a long standing antagonist of cannabis products and the laws supporting the industry. However, in the past month, the world of medical cannabis has experienced minor victories. Read More ›

Michigan Changes Required Disclosures for Marihuana Applicant Criminal History

by Annabel Shea

As is the case in every state, entities and individuals applying for a medical marihuana facility license through the Bureau of Medical Marihuana Regulation in Michigan must complete a series of disclosure forms. In Michigan, those are found in the State’s Entity/Individual Prequalification Application Packet. The disclosure forms require applicants to disclose information pertaining to entity information, ownership interest, financial information, government regulation, criminal history and litigation history. Read More ›

BMMR News! Updates From Michigan Medical Marihuana Licensing Board

At the March 22nd Michigan Medical Marihuana Licensing Board meeting, Andrew Brisbo, Director of the State’s Bureau of Medical Marihuana Regulation (“BMMR”), provided some important updates on Michigan’s licensing process. Read More ›

Michigan Medical Marihuana Licensing Board Divided on Licenses

Today marked the first day Michigan’s Medical Marihuana Licensing Board took action on licenses under Michigan’s relatively new Medical Marihuana Facilities License Act (“MMFLA”). Although industry observers were hoping for some initial signals on the standards the Board will apply in decisions, today’s meeting instead revealed confusion on the part of Board members, and failed to reach any conclusions. Read More ›