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John Fraser

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John provides cannabis businesses with the regulatory guidance and counsel they need to secure and maintain licensure. John has organized, guided, and secured state and local licensure for dozens of cannabis businesses of all sizes and types throughout Michigan.

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Takeaways

  • Michigan lawmakers fast-tracked a new 24% wholesale cannabis tax with no hearings or industry input.
  • The bill attempts to sidestep voter-approved protections by avoiding the 75% supermajority required to amend Michigan’s cannabis initiative.
  • The tax could exceed 24% for non–vertically integrated businesses, as rebates and discounts cannot reduce the taxable amount.

As everyone in Michigan’s cannabis industry is all too painfully aware, Michigan’s Legislative leaders and Governor have agreed to create a new (minimum) 24% wholesale tax on the state’s cannabis industry. The Michigan House of Representatives passed the bill (House Bill 4951) last Thursday, September 25, and action by the State Senate is expected on Tuesday, September 30.Continue Reading Bucking the Trend: Michigan Wholesale Tax Nightmare at Hand

Takeways

  • HB 4963 would require licensees to pay for cannabis products at the time of transfer.
  • HB 4964 and related bills would create a new Industrial Hemp Processing Act and ban intoxicating or converted cannabinoids.
  • Passage appears likely, but the final impact will depend on legislative compromise and regulatory enforcement.

On Tuesday, September 16, the Chairman of Michigan’s House Regulatory Reform Committee, Representative Joseph Aragona, introduced a package of bills to address two significant problems confronting Michigan’s cannabis industry—licensees defaulting on payments and unregulated intoxicating hemp products being sold throughout the state. (This is part two of our examination of this issue in Michigan; part one can be found here, and we’ve addressed hemp issues in other states and at the federal level elsewhere on the Cannabis Law Blog.)Continue Reading Michigan House Looks to Solve Cannabis Industry Issues, Addressing Payment Defaults and Hemp Regulation

Flat-fee training prepares your team for inspections, reduces risk, and helps avoid penalties

Recent reporting showed that in 2024, the Michigan Cannabis Regulatory Agency (CRA) issued more than twice the number of violations of any other cannabis-legal state. This immediately followed CRA changing its inspection practice to a “no notice” basis. In response, Dykema has launched a new flat-fee Compliance & Risk Mitigation Training program designed to help cannabis businesses proactively prepare for CRA inspections, avoid violations, and protect their licenses.

Why This Matters Now

Continue Reading Protect Your License: Dykema Launches Michigan Cannabis Compliance & Risk Mitigation Training

Takeaways

  • CRA’s new disciplinary guidelines reduce fines for about two-thirds of violations, with many cut by 50%.
  • The changes come in response to sustained industry pushback amid ongoing economic struggles in Michigan’s cannabis market.
  • While most fines decreased, penalties have increased for egregious violations like selling illicit cannabis, signaling a shift in enforcement priorities.

During last week’s CRA quarterly public hearing, Executive Director Brian Hanna indicated that the agency would be releasing updated disciplinary guidelines that would reflect a change in agency policy to reduce fines in response to significant industry pushback and criticism. On July 1, 2025, CRA released its updated disciplinary guidelines, which generally provide for reductions in fines for about two-thirds of violations. Most of these reductions are substantial—often amounting to a 50% decrease.Continue Reading CRA’s July 2025 Updated Disciplinary Guidelines: A Much-Needed Lifeline

Takeaways

  • The proposed 32% wholesale tax on cannabis products could significantly raise prices for consumers, making it more challenging for an already struggling industry to maintain profitability.
  • The assessment of a wholesale tax would most likely radically restructure industry business practices.
  • Potential expansion of the Tobacco Products Tax Act (“TPTA”) would force the Marijuana industry to adapt to an entirely new regulatory and enforcement scheme, all while the industry is dealing with a comprehensive rewrite of the rules of the Cannabis Regulatory Agency.

On February 10, 2025, Michigan Governor Gretchen Whitmer released her “Mi Road Ahead” Plan to “fix the damn roads”—echoing her 2018 campaign slogan. To the consternation and fear of the cannabis community, the Mi Road Ahead Plan proposes creating a new 32% wholesale tax on cannabis products.Continue Reading Breaking Down Governor Whitmer’s Game-Changing Proposed New Wholesale Tax on the Michigan Marijuana Industry