Marijuana Licenses

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At 3:00 a.m. on October 3, 2025, Michigan’s Legislature passed a 24% wholesale tax on legal marijuana sales, without hearing a single second of testimony and just eight days after the bill’s language was made public (the tax is the subject of multiple other posts here on the Cannabis Law Blog). Unless blocked by the courts or repealed, the tax will take effect on January 1, 2026.Continue Reading Michigan Cannabis Tax Passes: Numbers

Takeaways

  • New compliance requirements are coming: Texas agencies will soon roll out stricter rules on age verification, labeling, and retailer obligations.
  • Retailers face heightened risk: Noncompliance could result in loss of permits and increased enforcement by multiple state agencies.
  • Costs may rise: Licensing fees and compliance expenses are expected to increase, reshaping the competitive landscape.

On September 10, 2025, Texas Governor Greg Abbott issued Executive Order GA-56 to impose more rigorous regulations on THC products derived from hemp. The order comes amid legislative gridlock on how to regulate or ban hemp-derived THC products, as we previously reported on July 24 and July 7.

Key Provisions of EO GA-56Continue Reading Texas Issues New Executive Order on Hemp-Derived THC Products: What It Means for Industry and Lawmakers

Takeaways

  • The Second Circuit invalidated New York’s cannabis licensing rules for discriminating against out-of-state applicants.
  • The Court ruled that social equity goals cannot justify residency-based advantages.
  • This Decision adds to a growing circuit split that could reach the U.S. Supreme Court.

On Tuesday, August 12, the U.S. Court of Appeals for the Second Circuit became the second federal appellate court to invalidate a state cannabis licensure program that discriminates against out-of-state residents.Continue Reading Second Circuit Says Social Equity Goals Cannot Justify Discriminatory Application Process

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

On August 30, 2022, the Wayne County Circuit Court issued rulings denying injunctive relief to several cannabis companies that challenged the implementation of the City of Detroit’s adult-use cannabis ordinance (the “Ordinance”). In addition to denying motions for preliminary injunctions, the Court also dismissed the cases entirely. In doing so, the court reached several conclusions that are at odds with a full reading of Michigan’s cannabis statutes and rules. The opinions can be found here: Case No. 22-006534-CZ Jars Holding LLC et al v. City of Detroit; and here: Case No. 22-00594-CZ House of Dank et al v. City of Detroit.

Following these rulings, the City began accepting adult-use applications on September 1 and will accept applications until September 30. It has been a long and torturous route to get to this point.
Continue Reading Detroit Opens Adult-Use Retail Licensing After Victory in Court