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 67 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

Michigan Cannabis Regulatory Agency Abandons Plan to Allow Hemp to be Synthetically Converted to THC

Citing safety concerns and the lack of scientific and public health data, on April 15, 2022, the Michigan Cannabis Regulatory Agency (CRA) dropped its plan to allow hemp to be synthetically converted to THC.

The decision was handed down just days after the regulatory body was renamed from the Marijuana Regulatory Agency and assumed authority over hemp-derived products, pursuant to Governor Whitmer’s Executive Order No. 2022-1.

According to draft rules proposed earlier this year, hemp growers would have been permitted to sell hemp to marijuana processors, who could then convert it to THC for use in edibles, vaping cartridges, and other products being sold in the licensed marijuana market.

While safety was cited as the primary reason for dropping the proposal, issues related to business and competition likely also influenced the CRA’s decision. Specifically, hemp growers, including out-of-state growers, could have posed a new competitive threat to the state’s existing marijuana industry.

Currently, licensed businesses are permitted to extract THC oil from marijuana. If the CRA’s plans to allow hemp to be synthetically converted to THC were to proceed, it could lead to the existing producers going out of business.

If you have any questions about the impact of this decision by the CRA, or the cannabis industry in general in Michigan, please contact Klint Kesto or your Fraser Trebilcock attorney.


Fraser Trebilcock attorney and former Michigan State Legislator Klint Kesto has nearly two decades of experience working in both the public and private sectors, including serving as Co-Chair of the CARES Task Force. You can reach him at kkesto@fraserlawfirm.com or 517.377.0868.