In a significant decision for cannabis advocates and the cannabis industry, on September 1, 2023, the Michigan Court of Appeals issued an opinion directing the placement of a cannabis-related charter amendment on the November 7, 2023, ballot for the residents of the City of Keego Harbor, Michigan, to consider on Election Day. Thanks to the Court’s decision, the voters of Keego Harbor have the chance to directly determine whether they wish to permit recreational marijuana retailers in their community. John Fraser served as lead attorney on the matter in the Oakland County Circuit Court and the Michigan Court of Appeals with assistance from Lance Boldrey, Gary Gordon, Alan Wilk, Steve Liedel, Cheyenne Benyi, and Olivia Flower.Continue Reading Michigan Court of Appeals Orders Placement of Cannabis-Related City Charter Amendment on November 2023 Ballot
Cannabis is (Almost) Legal in Minnesota: Here’s What You Need to Know
After advancing through 13 committees and narrowly winning a 34-33 vote, Minnesota’s State Senate finally approved a bill to legalize adult-use cannabis on April 28th. But before it reaches the desk of Governor Tom Walz (who has pledged to sign it), the bill with have to move to a conference with the State House to reconcile differences with a companion reform measure passed three days prior. With the session ending on May 22nd, the clock is running for lawmakers to get the final bill in front of the governor. Here’s what sets the two versions apart:Continue Reading Cannabis is (Almost) Legal in Minnesota: Here’s What You Need to Know
IMMEDIATE ATTENTION: Michigan Cannabis Licensees Face Imminent Loss of METRC
Update II: We have been informed that METRC’s report to the state that 85% of licensees were in arrears was erroneous; METRC now reports that 11% of Michigan licensees are affected.
Update I: The CRA has had METRC agree to a 30-day pause before suspending any accounts. We will continue to monitor and report on updates as they unfold.
Related News: Michigan’s marijuana industry nearly shut down over new tracking system service provider fees
On February 27, 2023, Dykema’s Cannabis Industry Group was contacted by the Michigan Cannabis Regulatory Agency (“CRA”) about possible immediate suspensions of METRC user accounts. According to CRA, approximately 85% of all Michigan licensees may be impacted by these upcoming suspensions, so immediate action is critical.Continue Reading IMMEDIATE ATTENTION: Michigan Cannabis Licensees Face Imminent Loss of METRC
Dykema Launches First-Ever Cannabis Podcast
Dykema is thrilled to announce the launch of A Higher Law: a cannabis podcast from our award-winning cannabis practice group. A Higher Law will serve as an essential resource for cannabis operators looking to navigate latest legal developments in this complex industry.
Hosted by a rotating lineup of cannabis attorneys, we’ll sit down with industry insiders from across the industry to discuss a variety of topics: from understanding cannabis tax codes, to complying with OSHA as a cannabis operator, to the latest news that’s impacting the future of the industry.Continue Reading Dykema Launches First-Ever Cannabis Podcast
Legal Options for Investors and Owners of a Financially Struggling Marijuana Business
The adult-use marijuana market in Michigan has seen a plunge in the price of marijuana. According to the Cannabis Regulatory Agency, the average price of one ounce of marijuana in December 2020 was $350.88. In contrast, the average price fell to $109.22 in September 2022. This rapid price compression puts tremendous pressure on many marijuana businesses as they face greater competition with ever-slimming margins. For some, these market forces may present a financial or existential crisis.
Often, financially-distressed companies seek the protection afforded by federal bankruptcy courts to restructure their finances. There are several benefits to an overwhelmed debtor going through the bankruptcy process. As just one example, once a debtor files for bankruptcy, an automatic stay on actions prevents creditors from collecting against a debtor until the bankruptcy case is resolved or the Court allows the stay to be lifted. In addition, bankruptcy provides an orderly process that provides the debtor with the means of resolving creditor claims simultaneously.
Continue Reading Legal Options for Investors and Owners of a Financially Struggling Marijuana Business