Michigan’s Cannabis Regulatory Agency (CRA) is discontinuing its scheduled semi-annual inspections of all licensed marijuana businesses, opting instead for unannounced visits by regulation officers. According to the CRA, this shift is intended to provide more scheduling flexibility and improve efficiency. It is also expected to enhance employees’ knowledge of rules and regulations.Continue Reading A Shift in Oversight: Michigan’s Cannabis Regulatory Agency Moves To Unannounced Inspections
Cannabis Regulatory Agency
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
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
Agency Head Announces Departure: What’s Next for Michigan’s Cannabis Industry
Yesterday, it became public that Michigan Cannabis Regulatory Agency Executive Director Andrew Brisbo will soon be leaving the agency.
Having spent nearly two decades working in licensing and regulation with the state of Michigan, Director Brisbo served with distinction as the first director of the Michigan Bureau of Medical Marihuana Regulation. Appointed by Governor Gretchen Whitmer to head the CRA in April 2019, Director Brisbo is credited for managing the state’s cannabis policy evolution and the rapid growth of the agency.
Continue Reading Agency Head Announces Departure: What’s Next for Michigan’s Cannabis Industry
Agency Name Change: Meet the Michigan Cannabis Regulatory Agency
Effective April 13, 2022, the Michigan Marijuana Regulatory Agency has a new name—the Cannabis Regulatory Agency. On February 11, 2022, Michigan Governor Gretchen Whitmer issued Executive Order No. 2022-1, which made a number of significant changes to various Michigan administrative agencies.
Notably, the Executive Order re-named the Marijuana Regulatory Agency to the Cannabis Regulatory Agency (“CRA”) and transferred the regulation and oversight of industrial hemp processing from the Michigan Department of Agriculture and Rural Development (“MDARD”) to CRA. Regulatory oversight and licensure of industrial hemp cultivation will remain with MDARD.
Continue Reading Agency Name Change: Meet the Michigan Cannabis Regulatory Agency