Category: Cannabis Law

Five Stories That Matter in Michigan This Week – May 9, 2025

  1. Michigan Proposes Ban on Noncompete Agreements

Earlier this year, Michigan legislators introduced House Bill 4040, which aims to prohibit employers from implementing or enforcing noncompete clauses in employment contracts. The proposed legislation contains narrow exceptions only for situations involving the sale of business ownership interests or when an employee is responsible for selling the majority of a company’s assets.

Why it Matters: The proposed legislation comes amid significant national attention on noncompete agreements following the FTC’s attempted ban and the subsequent nationwide injunction blocking its enforcement. This has prompted many states to reconsider their noncompete policies. If passed, Michigan would join a select group of states including California, Minnesota, North Dakota, and Oklahoma. We will continue to monitor for new developments regarding this legislation.

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  1. Navigating Through Life’s Toughest Obstacles

When facing charges of any kind, criminal law experience matters most. You need someone on your side with inside knowledge to provide guidance for a solid defense. We have extensive experience representing individuals and businesses in all stages of criminal proceedings.

Why it Matters: Helping clients for more than two decades, Rob is an experienced criminal defense and professional licensing attorney who has successfully represented clients in both state and federal courts in felony and misdemeanor cases in more than 50 counties across the state of Michigan. He is passionate about what he does, and, understanding the direct and collateral consequences that a criminal conviction or professional licensing sanction can bring, he compassionately works with his clients to focus on what matters most to them. Learn more.

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  1. Michigan’s First Quarter Cannabis Sales in 2025 Hits $766 Million

In Michigan, total first quarter sales in 2025 for adult-use and medical cannabis totaled $766,198,323.48.

Why it Matters: Though there are reports of declining sales of cannabis starting in 2025, the prices of cannabis and cannabis-related products continue to decrease and make consumers happy. Growers on the other hand are seeing profits decrease.

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  1. NLRB Establishes Standard for Workplace Rules

The National Labor Relations Board (NLRB) has issued a ruling in Stericycle Inc., adopting a new legal standard for evaluating the lawfulness of employer work rules. Under the previous standard, an employer was not required to narrowly tailor its rules to promote its legitimate and substantial business interests without unnecessarily burdening employee rights.

Why it Matters: Workplaces may need to review existing policies to their employee handbooks to ensure compliance, and tailor their workplace rules to service legitimate business interests.

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  1. Ensuring Your Business is Secure Through Patent Protection

Whether it is a symbol that you use for branding or a formula that makes your product unique, your intellectual property assets need to be protected. Some of the most recognizable forms of intellectual property fall under copyrights, patents, and trademarks.

Why it Matters: A patent is a legal monopoly for protecting a utilitarian device, system, machine, composition or process. When should you file? Timing is of the essence to prevent a competitor from winning the race to the Patent Office. Our patent law attorneys can help you think through the issues and take the actions necessary to ensure your work and business are protected. Learn more.

Related Practice Groups and Professionals

Labor, Employment & Civil Rights | David Houston
Criminal Law | Robert Andretz
Cannabis Law | Sean Gallagher
Intellectual Property | Andrew Martin

Five Stories That Matter in Michigan This Week – May 2, 2025

  1. CRA Files Formal Complaint Against Adult-Use Marijuana Processor

This week, the Michigan Cannabis Regulatory Agency filed a formal complaint against Pure Roots LLC, alleging the adult-use marijuana processor purchased marijuana from a non-licensed marijuana establishment, and that they failed to properly transport the marijuana in a secure transporter.

Why it Matters: The CRA is intending on imposing fines and/or other sanctions against Pure Roots LLC license, which may include the suspension, revocation, restriction, and/or refusal to renew their license.

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  1. Ensuring Your Business is Secure Through Patent Protection

Whether it is a symbol that you use for branding or a formula that makes your product unique, your intellectual property assets need to be protected. Some of the most recognizable forms of intellectual property fall under copyrights, patents, and trademarks.

Why it Matters: A patent is a legal monopoly for protecting a utilitarian device, system, machine, composition or process. When should you file? Timing is of the essence to prevent a competitor from winning the race to the Patent Office. Our patent law attorneys can help you think through the issues and take the actions necessary to ensure your work and business are protected. Learn more.

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  1. Senate Labor Committee Hears Testimony Over Independent Contractor Proposal

The Senate Labor Committee heard testimony this week regarding proposed legislation over independent contractors.

Why it Matters: A few changes SB 6–7 would make include implementing an ABC test, and requiring three years of wage information for similar roles. Additionally, fines and penalties for misclassification would increase, and in some cases, may lead to prison sentences for business owners.

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  1. Gain Peace of Mind Through Life’s Toughest Obstacles

When facing charges of any kind, criminal law experience matters most. You need someone on your side with inside knowledge to provide guidance for a solid defense. We have extensive experience representing individuals and businesses in all stages of criminal proceedings.

Why it Matters: Helping clients for more than two decades, Rob is an experienced criminal defense and professional licensing attorney who has successfully represented clients in both state and federal courts in felony and misdemeanor cases in more than 50 counties across the state of Michigan. He is passionate about what he does, and, understanding the direct and collateral consequences that a criminal conviction or professional licensing sanction can bring, he compassionately works with his clients to focus on what matters most to them. Learn more.

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  1. CRA to Hold Public Hearing and Receive Comments on New Package of Rules

The Michigan Cannabis Regulatory Agency has scheduled a public hearing for the purpose of receiving public comment on a proposed omnibus rule-making package on Tuesday, May 6, beginning at 9:00 a.m.

Why it Matters: The proposed rules are meant to address a number of important policy issues, including accounts receivable and hemp-derived products. Once the public hearing has concluded and the public comment period has ended, the CRA’s final rules will be sent to the Legislative Service Bureau for formal certification. The draft rules can be found here.

Related Practice Groups and Professionals

Cannabis Law | Sean Gallagher
Intellectual Property | Andrew Martin
Labor, Employment & Civil Rights | David Houston
Criminal Law | Robert Andretz

Five Stories That Matter in Michigan This Week – April 25, 2025

  1. Michigan Supreme Court Rules that Vehicle Search Based on Smelling Marijuana Alone is not Allowed

In early April, the Michigan Supreme Court, in a 5-1 decision, ruled that the smell of marijuana cannot be the sole reason for police to search a car without a warrant.

Why it Matters: The court’s ruling struck down a 25-year-old precedent. The court explained: “[I]n light of the voters’ intent to legalize marijuana usage and possession, the smell of marijuana, standing alone, no longer constitutes probable cause sufficient to support a search for contraband.”

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  1. Michigan CRA Scheduling Public Hearing Over Proposed Rule Changes

The Michigan CRA is scheduling a public hearing for the purpose of receiving public comment on the proposed rule set2023-25 LR (Marihuana Rules).

Why it Matters: Some of the proposed rule changes include requiring licensees to notify the CRA prior to making a change to their business structure (for example LLC to a C-Corp), requiring licensees to provide up to date contact information for their business, and requiring applicants to notify the CRA within 10 days if there are any new lawsuits, legal proceedings, charges, etc., related to the applicant.

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  1. What You Need to Know About Pet Trusts

A pet trust is a legal document that allows you to provide for the care of your beloved pet if you become incapacitated and after you pass away. A pet trust can be created as a standalone document, or as part of a revocable (living) trust or will. In addition, a durable power of attorney can provide instructions to an agent for the care of a pet during your lifetime.

Why it Matters: Estate planning with pets in mind is an increasingly popular way for pet owners to ensure that their furry companions are taken care of, even when the owners can no longer care for themselves. Learn more about how to effectively care for your pets if you become incapacitated or pass away.

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  1. Business Education Series: From Inbox to Impact – Optimize Email Marketing and Website Performance

Creating impactful email campaigns using 2025’s best practices while keeping your subscribers engaged and avoiding outdated pitfalls is essential for businesses in this day and age. On top of that, you need to make sure that your website and digital presence is up to date and active.

Why it Matters: During the May Business Education Series facilitated by Jacki Krumnow of Now Marketing and Joe Ford of Netvantage SEO, this session will help you measure website health and digital campaign performance effectively, as well as creating impactful email campaigns. Whether you’re starting fresh or refining your approach, this session is packed with actionable insights, tools, and insider advice to boost your marketing efforts. Learn more.

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  1. How to Calculate Post Judgment Interest Rates in Michigan

Michigan post judgment interest rates are often considered a confusing aspect of determining the value of a final judgment.

Why it Matters: If an attorney does not understand how to determine the value of a post judgment interest, they are leaving money on the table that could otherwise be in their client’s pockets. Read more from your Fraser Trebilcock attorney.

Related Practice Groups and Professionals

Cannabis Law | Sean Gallagher
Trusts & Estates | Elizabeth Siefker
Business & Tax | Andrew Martin

Five Stories That Matter in Michigan This Week – April 18, 2025

  1. Michigan Supreme Court Upholds Contract Law Principles in Kircher Decision

On March 27, 2025, the Michigan Supreme Court unanimously ruled in Kircher v. Boyne USA, Inc. that the implied covenant of good faith and fair dealing does not create an independent cause of action under Michigan law.

Why it Matters: By clarifying that the good faith covenant cannot be used as a standalone basis for litigation, the Court has reinforced traditional contract interpretation principles, providing greater certainty for businesses and individuals entering contractual relationships while potentially limiting avenues for parties seeking to challenge otherwise valid agreements.

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  1. How to Calculate Post Judgment Interest Rates in Michigan

Michigan post judgment interest rates are often considered a confusing aspect of determining the value of a final judgment.

Why it Matters: If an attorney does not understand how to determine the value of a post judgment interest, they are leaving money on the table that could otherwise be in their client’s pockets. Read more from your Fraser Trebilcock attorney.

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  1. A Health Professional’s Guide to Navigating the Disciplinary Process: What to Expect if You Are Facing a Professional Licensing Investigation or Administrative Complaint

Health professionals are committed to caring for patients with expertise, compassion, and integrity. However, in the heavily regulated healthcare field, those professionals can sometimes find themselves navigating not just the medical challenges of their patients but licensing issues of their own as well. Licensing issues can arise unexpectedly, and, when they do, they can cause tremendous stress and uncertainty.

Why it Matters: As an attorney with years of experience handling professional licensing matters for health professionals, Robert J. Andretz has witnessed firsthand how professional licensing investigations and Administrative Complaints can disrupt health professionals’ careers and their ability to provide patient care. He will explore how to navigate the disciplinary process in Michigan so that you can know what to expect if you are ever faced with a threat to your license. Learn more.

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  1. Michigan Cannabis Exceeds $276 Million in March ‘25

Cannabis sales surpassed $276 million in March 2025, via the monthly report from the Michigan Cannabis Regulatory Agency. Michigan adult-use sales came in at $276,290,892.17, while medical sales came in at $655,117.62, totaling $276,946,009.76.

Why it Matters: While the prices of cannabis and cannabis-related products continue to decrease and make consumers happy, growers on the other hand are seeing profits decrease resulting in them seeking ways to halt new licenses to be granted in an effort to steady prices.

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  1. Business Education Series: From Inbox to Impact – Optimize Email Marketing and Website Performance

Creating impactful email campaigns using 2025’s best practices while keeping your subscribers engaged and avoiding outdated pitfalls is essential for businesses in this day and age. On top of that, you need to make sure that your website and digital presence is up to date and active.

Why it Matters: During the May Business Education Series facilitated by Jacki Krumnow of Now Marketing and Joe Ford of Netvantage SEO, this session will help you measure website health and digital campaign performance effectively, as well as creating impactful email campaigns. Whether you’re starting fresh or refining your approach, this session is packed with actionable insights, tools, and insider advice to boost your marketing efforts. Learn more.

Related Practice Groups and Professionals

Business & Tax | Andrew Martin
Professional Licensing | Robert Andretz
Cannabis Law | Sean Gallagher

Five Stories That Matter in Michigan This Week – April 11, 2025

  1. Michigan Supreme Court Declines to Fast-Track Legislative Dispute

The Michigan Supreme Court has rejected a request to bypass the Court of Appeals in a constitutional clash between the Michigan Senate Democratic Majority Leader and Republican House over nine bills. The dispute centers on the decision to withhold bills passed by the previous Legislature from reaching Governor Whitmer’s desk, with Democrats arguing this violates the state constitution.

Why it Matters: While the Court of Claims ruled in February that the bills should go to the governor, it declined to enforce this decision, highlighting the delicate balance between judicial oversight and legislative independence in Michigan’s governance structure as partisan tensions continue to impact policy implementation.

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  1. Michigan Supreme Court Rules Cannabis Odor Insufficient Probable Cause for Vehicle Search

The Michigan Supreme Court in a 5-1 decision ruled that cannabis odor alone is insufficient probable cause to search a vehicle when police officers are conducting traffic stops or other situations.

Why it Matters: This ruling stems from a 2020 case where police officers were conducting a compliance check observed a vehicle parked on the side of the street and smelled burnt cannabis odor, leading them to question the two individuals who were in the car. It led to the officers asking the individuals to get out of the car, which led to an officer noticing a handgun on the passenger seating, resulting in an arrest of one individual.

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  1. Michigan CRA Publishes March ’25 Data: Average Price Decreases

Per data released by the Cannabis Regulatory Agency (CRA), the average retail price for adult-use sale of an ounce of cannabis in March 2025 was $65.14, a decrease from $65.21 in February 2025. This is a decrease from March 2025, where the average price was $90.70.

Why it Matters: While the prices of cannabis and cannabis-related products continue to decrease and make consumers happy, growers on the other hand are seeing profits decrease resulting in them seeking ways to halt new licenses to be granted in an effort to steady prices.

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  1. Business Education Series: From Inbox to Impact – Optimize Email Marketing and Website Performance

Creating impactful email campaigns using 2025’s best practices while keeping your subscribers engaged and avoiding outdated pitfalls is essential for businesses in this day and age. On top of that, you need to make sure that your website and digital presence is up to date and active.

Why it Matters: During the May Business Education Series facilitated by Jacki Krumnow of Now Marketing and Joe Ford of Netvantage SEO, this session will help you measure website health and digital campaign performance effectively, as well as creating impactful email campaigns. Whether you’re starting fresh or refining your approach, this session is packed with actionable insights, tools, and insider advice to boost your marketing efforts. Learn more.

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  1. Fraser Trebilcock Attorney Obtains Complete Dismissal for Firm Client

Fraser Trebilcock Shareholder and Firm Secretary Jared A. Roberts recently obtained complete dismissal of a Bureau of Professional Licensing Complaint for the firm’s client.

Why it Matters: In this instance, the real estate salesperson’s meticulous preservation of all documents, emails, and text messages were key to establishing a timeline that disproved the allegations. Mr. Roberts advises real estate salespeople to preserve everything and move every scrap into their digital deal file after closing. Read more.

Related Practice Groups and Professionals

Cannabis Law | Sean Gallagher
Real Estate | Jared Roberts

Five Stories That Matter in Michigan This Week – April 4, 2025

  1. Real ID Deadline is May 7, 2025

Beginning May 7, 2025, Michigan residents will need to present a REAL ID-compliant document to fly within the United States and enter certain federal facilities to comply with federal law.

Why it Matters: The requirement arose from a 2005 law passed by Congress to establish nationwide security standards for state-issued identification documents.

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  1. Fraser Trebilcock Attorney Obtains Complete Dismissal for Firm Client

Fraser Trebilcock Shareholder and Firm Secretary Jared A. Roberts recently obtained complete dismissal of a Bureau of Professional Licensing Complaint for the firm’s client.

Why it Matters: In this instance, the real estate salesperson’s meticulous preservation of all documents, emails, and text messages were key to establishing a timeline that disproved the allegations. Mr. Roberts advises real estate salespeople to preserve everything and move every scrap into their digital deal file after closing. Read more.

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  1. Michigan Cannabis Exceeds $241 Million in February ‘25

Cannabis sales surpassed $241 million in February 2025, via the monthly report from the Michigan Cannabis Regulatory Agency. Michigan adult-use sales came in at $241,295,133.97, while medical sales came in at $631,498.46, totaling $241,926,632.43.

Why it Matters: While the prices of cannabis and cannabis-related products continue to decrease and make consumers happy, growers on the other hand are seeing profits decrease resulting in them seeking ways to halt new licenses to be granted in an effort to steady prices.

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  1. FinCEN Update: U.S. Companies No Longer Needed to Report

On Friday, March 21, 2025, the Financial Crimes Enforcement Network (FinCEN) issued an interim final rule regarding the Corporate Transparency Act (CTA), revising the definition of “reporting company” such that entities formed under the laws of any U.S. State or Tribal jurisdiction likely will not have to file a beneficial owner information report (BOIR).

Why it Matters: Through this interim final rule, all entities created in the United States, including those previously known as “domestic reporting companies,” and their beneficial owners will be exempt from the requirement to report BOI to FinCEN. Read more.

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  1. U.S. Court of Appeals Rules on AI-Generated Copyright Eligibility

On March 18, 2025, the U.S. Court of Appeals for the District of Columbia Circuit issued a decision for Thaler v. Perlmutter, which addressed whether a work created autonomously by artificial intelligence (AI) is eligible for copyright protection.

Why it Matters: This case reaffirms the prevailing legal principle that copyright protection is reserved for works created by humans. As AI continues to evolve, questions about the extent of human involvement necessary for copyright eligibility remain open for future consideration. ​ Indeed, the question will be directly addressed in the upcoming case in Allen v. Perlmutter in the District Court of Colorado. Read more.

Related Practice Groups and Professionals

Real Estate | Jared Roberts
Cannabis Law | Sean Gallagher
Business & Tax | Robert D. Burgee
Intellectual Property | Andrew Martin

Five Stories That Matter in Michigan This Week – March 28, 2025

  1. FinCEN Update: U.S. Companies No Longer Needed to Report

On Friday, March 21, 2025, the Financial Crimes Enforcement Network (FinCEN) issued an interim final rule regarding the Corporate Transparency Act (CTA), revising the definition of “reporting company” such that entities formed under the laws of any U.S. State or Tribal jurisdiction likely will not have to file a beneficial owner information report (BOIR).

Why it Matters: Through this interim final rule, all entities created in the United States, including those previously known as “domestic reporting companies,” and their beneficial owners will be exempt from the requirement to report BOI to FinCEN. Read more.

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  1. U.S. Court of Appeals Rules on AI-Generated Copyright Eligibility

On March 18, 2025, the U.S. Court of Appeals for the District of Columbia Circuit issued a decision for Thaler v. Perlmutter, which addressed whether a work created autonomously by artificial intelligence (AI) is eligible for copyright protection.

Why it Matters: This case reaffirms the prevailing legal principle that copyright protection is reserved for works created by humans. As AI continues to evolve, questions about the extent of human involvement necessary for copyright eligibility remain open for future consideration. ​ Indeed, the question will be directly addressed in the upcoming case in Allen v. Perlmutter in the District Court of Colorado. Read more.

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  1. Michigan CRA Publishes February ’25 Data: Average Price Decreases

Per data released by the Cannabis Regulatory Agency (CRA), the average retail price for adult-use sale of an ounce of cannabis in February 2025 was $65.21, a decrease from $66.50 in January 2025. This is a decrease from February 2024, where the average price was $91.94.

Why it Matters: While the prices of cannabis and cannabis-related products continue to decrease and make consumers happy, growers on the other hand are seeing profits decrease resulting in them seeking ways to halt new licenses to be granted in an effort to steady prices.

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  1. Business Education Series: Anatomy of a Data Breach

Data breaches can wreak havoc on your company and almost always lead to litigation. With each new breach, we gain valuable insight into what companies could have done better. Your legal, contractual, and business obligations can sometimes be confusing and in conflict with each other.

Why it Matters: During the April Business Education Series facilitated by Nate Steed and Kelly R. Hollingsworth, this session will examine recent cases and best practices to protect your company from a breach including: lessons learned from recent data breaches; proactive strategies to insulate your business. Learn more.

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  1. Elizabeth M. Siefker Selected as a Member of Michigan Lawyers Weekly “Up & Coming Lawyers Class of 2025”

Fraser Trebilcock attorney ​Elizabeth M. Siefker has been selected as a member of Michigan Lawyers Weekly’s “Up & Coming Lawy​ers Class of 2025.” This special award recognizes those who have excelled in the profession and are standouts among their peers — all in their first 10 years of practice.

Why it Matters: Ms. Siefker focuses her practice on estate planning, elder law, guardianships and conservatorships, probate litigation, and tax planning. With experience assisting clients in every aspect of the estate planning process, she understands that each plan will be unique to the client’s situation. Ms. Siefker is included in Super Lawyers® as a “Michigan Rising Star” in Estate & Probate, and received the American Jurisprudence Award for civil procedure, contracts, first amendment, and torts. She is an active member of several legal organizations, having previously served on the Board of Directors of the Women Lawyers Association of Mid-Michigan as the Regional Representative. Read more.

Related Practice Groups and Professionals

Business & Tax | Robert D. Burgee
Intellectual Property | Andrew Martin
Cannabis Law | Sean Gallagher
Elizabeth Siefker

Five Stories That Matter in Michigan This Week – March 21, 2025

  1. Corporate Transparency Act BOI Reporting Requirements Deadline is Here

Friday, March 21, 2025, is the deadline for most reporting companies to file their beneficial ownership information (BOI) reports as required by FinCEN under the Corporate Transparency Act (CTA).

Why it Matters: While there is pending legislation that would delay the enforcement of the CTA until January 1, 2026, companies should adhere to the reporting requirements now to avoid any fines or penalties. Contact your Fraser Trebilcock attorney if you have any questions or need assistance.

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  1. Elizabeth M. Siefker Selected as a Member of Michigan Lawyers Weekly “Up & Coming Lawyers Class of 2025”

Fraser Trebilcock attorney ​Elizabeth M. Siefker has been selected as a member of Michigan Lawyers Weekly’s “Up & Coming Lawy​ers Class of 2025.” This special award recognizes those who have excelled in the profession and are standouts among their peers — all in their first 10 years of practice.

Why it Matters: Ms. Siefker focuses her practice on estate planning, elder law, guardianships and conservatorships, probate litigation, and tax planning. With experience assisting clients in every aspect of the estate planning process, she understands that each plan will be unique to the client’s situation. Ms. Siefker is included in Super Lawyers® as a “Michigan Rising Star” in Estate & Probate, and received the American Jurisprudence Award for civil procedure, contracts, first amendment, and torts. She is an active member of several legal organizations, having previously served on the Board of Directors of the Women Lawyers Association of Mid-Michigan as the Regional Representative. Read more.

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  1. Michigan Cannabis Industry Faces Price Pressure Despite High Sales Volume

According to the Michigan Cannabis Regulatory Agency, Michigan cannabis sales reached $241.3 million in February, down 7.6% year-over-year, with adult-use sales decreasing 4.7% to $246.6 million while medical sales fell 71.1% to just $0.6 million. The average flower price hit a new low of $1,043 per pound, falling 29.1% from last year and 2.0% from January.

Why it Matters: While Michigan’s cannabis market maintains substantial sales volume (despite a slight 3.0% decline in early 2025), the continuing downward trend in prices is creating significant profitability challenges for industry operators. Expanding supply and competition are forcing cannabis businesses to adapt to thinner margins and more challenging business conditions.

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  1. Michigan Supreme Court Upholds Victory for Firm’s Client

Fraser Trebilcock attorneys Michael P. Donnelly and Laura S. Faussié successfully represented a fiber optic company before the Michigan Supreme Court. On January 24, 2025, the Court, after hearing oral argument from the parties, denied an application for leave to appeal in a case involving the firm’s client, a fiber optic company, effectively upholding the lower courts’ decisions in the client’s favor. The case addressed whether a fiber optic or other telecommunication company was required to obtain permission from, and pay large fees to, a railroad company before installing fiber optic cables under their tracks located at public crossings.

Why it Matters: In a 5-1 decision, with one justice not participating, the Supreme Court left in place the Michigan Court of Appeals’ ruling that the fiber optic company could proceed with installing underground cables beneath railroad tracks at public road crossings after obtaining necessary municipal permits, without requiring additional permission from or fees to the railroad company. Read more.

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  1. Business Education Series: Anatomy of a Data Breach

Data breaches can wreak havoc on your company and almost always lead to litigation. With each new breach, we gain valuable insight into what companies could have done better. Your legal, contractual, and business obligations can sometimes be confusing and in conflict with each other.

Why it Matters: During the April Business Education Series facilitated by Nate Steed and Kelly R. Hollingsworth, this session will examine recent cases and best practices to protect your company from a breach including: lessons learned from recent data breaches; proactive strategies to insulate your business. Learn more.

Related Practice Groups and Professionals

Business & Tax | Robert D. Burgee
Elizabeth Siefker
Cannabis Law | Sean Gallagher
Litigation | Michael Donnelly
Litigation | Laura Faussié

Five Stories That Matter in Michigan This Week – March 14, 2025

  1. Michigan Federal Court Rules that CTA is Unconstitutional 

Shortly after the U.S. Department of Treasury announced a suspension of enforcement the Corporate Transparency Act (CTA), the U.S. District Court of the Western District of Michigan ruled in Small Business Association of Michigan, et al v. Yellen, et. al. that the CTA’s reporting requirements violated the Fourth Amendment of the U.S. Constitution.

Why it Matters: While the ruling applies only to plaintiffs who brought the case (such as members of the Small Business Association of Michigan), it may influence other courts’ considering similar constitutional challenges to the CTA throughout the country.

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  1. Michigan Supreme Court Upholds Victory for Firm’s Client

Fraser Trebilcock attorneys Michael P. Donnelly and Laura S. Faussié successfully represented a fiber optic company before the Michigan Supreme Court. On January 24, 2025, the Court, after hearing oral argument from the parties, denied an application for leave to appeal in a case involving the firm’s client, a fiber optic company, effectively upholding the lower courts’ decisions in the client’s favor. The case addressed whether a fiber optic or other telecommunication company was required to obtain permission from, and pay large fees to, a railroad company before installing fiber optic cables under their tracks located at public crossings.

Why it Matters: In a 5-1 decision, with one justice not participating, the Supreme Court left in place the Michigan Court of Appeals’ ruling that the fiber optic company could proceed with installing underground cables beneath railroad tracks at public road crossings after obtaining necessary municipal permits, without requiring additional permission from or fees to the railroad company. Read more.

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  1. Thaddeus E. Morgan Selected as a Member of Michigan Lawyers Weekly “Hall of Fame Class of 2025”

Fraser Trebilcock Shareholder Thaddeus E. Morgan has been selected as a member of Michigan Lawyers Weekly’s “Hall of Fame Class of 2025.” Mr. Morgan is President of Fraser Trebilcock and has over 30 years of litigation experience in both state and federal courts in a wide variety of areas, including, commercial and business disputes, employment and shareholder litigation, construction, health care, real estate, insurance, and intellectual property. He is a former assistant prosecutor and assistant attorney general.

Why it Matters: This special award recognizes esteemed members of the legal profession who have been in practice for at least 30 years. These lawyers truly are legends, making their mark in the courtroom or the boardroom, in their firms and with community organizations, and with local, state and national bar associations. Read more.

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  1. Michigan Treasury to Distribute Nearly $100 Million from Marijuana Tax

The Michigan Treasury Department announced in February its plan to distribute nearly $100 million to 302 local entities and tribes as part of the Michigan Regulation and Taxation of the Marijuana Act.

Why it Matters: 108 cities, 36 villages, 80 townships, 74 counties, and 4 tribes will receive these payments. According to the state, this means for every licensed store and microbusiness in their respective jurisdiction, they will receive over $58,200.

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  1. Keep Your Michigan Cottage in the Family

The family cottage is a place for fun and relaxation in Michigan. For many, the family cottage becomes the meeting place for generations and where lifelong memories are made. As a result, it’s often the intent of the owner to pass the cottage on to future generations to enjoy. Unfortunately, challenges such as high property taxes and family disputes can prevent that from happening. These obstacles can be overcome through careful cottage succession planning.

Why it Matters: If you own a cottage in Michigan, our Cottage Law team can help you think through the issues and take the actions necessary to create a cottage plan. A cottage plan usually addresses the concerns through the creative use of a limited liability company (LLC) or a trust to own the property. Learn more.

Related Practice Groups and Professionals

Business & Tax | Robert D. Burgee
Litigation | Michael Donnelly
Litigation | Laura Faussié
Thaddeus Morgan
Cannabis Law | Sean Gallagher
Cottage Law | Mark Kellogg

Five Stories That Matter in Michigan This Week – March 7, 2025

  1. CTA Update: Treasury Department Issues Statement

The United States Treasury Department recently issued a statement casting doubt on the future enforceability of the Corporate Transparency Act (CTA), at least in its current form. This is particularly relevant for US entities owned by US citizens. While not legally binding, Treasury’s guidance strongly signals that the rules enacting the CTA are likely to be rescinded or significantly revised before implementation. FinCEN has previously announced its intention to issue revised rules and updated reporting deadlines by March 21, 2025.

Why it Matters: Businesses that have already implemented CTA compliance processes, are advised to continue those efforts to ensure ongoing compliance. This recommendation remains in effect until FinCEN issues a new final rule or the law is formally amended. Read more from your Fraser Trebilcock attorney.

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  1. Whitmer Proposes New Wholesale Tax on Marijuana Products in Road Funding Plan

Governor Whitmer’s $3 billion “MI Road Ahead Plan” proposes closing an alleged “loophole” by imposing a new wholesale tax on marijuana products, similar to taxes on tobacco, potentially generating $470 million for road repairs.

Why it Matters: While details remain scarce about what specific “loophole” is being addressed or how the tax would be structured and implemented, marijuana businesses in Michigan should stay apprised of new developments regarding this proposed tax.

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  1. Fraser Trebilcock Welcomes Dakota A. Larson to the Firm

We are pleased to announce the hiring of Dakota A. Larson who will primarily work in the firm’s Lansing office.

Why it Matters: Ms. Larson focuses on insurance defense and business matters. She has experience handling complex liability, coverage, and bad faith claims in multiple lines of insurance and in multiple jurisdictions. Learn more.

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  1. Keep Your Michigan Cottage in the Family

The family cottage is a place for fun and relaxation in Michigan. For many, the family cottage becomes the meeting place for generations and where lifelong memories are made. As a result, it’s often the intent of the owner to pass the cottage on to future generations to enjoy. Unfortunately, challenges such as high property taxes and family disputes can prevent that from happening. These obstacles can be overcome through careful cottage succession planning.

Why it Matters: If you own a cottage in Michigan, our Cottage Law team can help you think through the issues and take the actions necessary to create a cottage plan. A cottage plan usually addresses the concerns through the creative use of a limited liability company (LLC) or a trust to own the property. Learn more.

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  1. Business Education Series: Anatomy of a Data Breach

Data breaches can wreak havoc on your company and almost always lead to litigation. With each new breach, we gain valuable insight into what companies could have done better. Your legal, contractual, and business obligations can sometimes be confusing and in conflict with each other.

Why it Matters: During the April Business Education Series facilitated by Nate Steed and Kelly R. Hollingsworth, this session will examine recent cases and best practices to protect your company from a breach including: lessons learned from recent data breaches; proactive strategies to insulate your business. Learn more.

Related Practice Groups and Professionals

Business & Tax | Robert D. Burgee
Cannabis Law | Sean Gallagher
Dakota Larson
Cottage Law | Mark Kellogg