minimum wage | Fraser Blog

Five Stories That Matter in Michigan This Week – January 10, 2025

Michigan Minimum Wage Increase Reminder

On January 1, 2025, Michigan’s minimum wage increased from $10.33 to $10.56. On February 21, 2025, it will increase to $12.48. The minimum wage will continue to increase annually and reach $14.97 on February 21, 2028.

Why it Matters: Michigan employers will need to review and adjust their payroll systems, wage scales, and budgets to ensure compliance while considering potential compression issues with existing pay rates for more experienced workers.

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Michigan House Committee Advances Proposed FOIA Bills

The Michigan House Government Operations Committee recently advanced bills to the House floor that would, among other things, subject the legislature, governor, lieutenant governor and their executive offices the state’s Freedom of Information Act requirements.

Why it Matters: Only Michigan and Massachusetts currently have these types of exemptions in their FOIA laws. While the House Government Operations Committee’s actions keep the bills alive, it’s uncertain whether they will become law.

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13 Fraser Trebilcock Attorneys Honored by Leading Lawyers for 2025

Thirteen Fraser Trebilcock attorneys have been selected for inclusion in the list of Michigan’s Leading Lawyers for 2025, a distinction earned by fewer than five percent of all lawyers licensed to practice law in Michigan.

Why it Matters: Those selected include: H. Kirby Albright, Commercial Litigation; Land Use, Zoning & Condemnation Law; Real Estate Law: Commercial; Michael S. Ashton, Energy Law; Governmental, Municipal, Lobbying & Administrative Law; Public Utilities Law: Gas/Water/Electric; Douglas J. Austin, Land Use, Zoning & Condemnation Law; Real Estate Law: Commercial; Real Estate Law: Finance; Michael E. Cavanaugh, Commercial Litigation; Employment Law: Management; Governmental, Municipal, Lobbying & Administrative Law; Labor Law: Management; Michael P. Donnelly, Commercial Litigation; Jennifer Utter Heston, Energy Law; Governmental, Municipal, Lobbying & Administrative Law; Public Utilities Law: Gas/Water/Electric; David J. Houston, Employment Law: Management; Mark E. Kellogg, Closely & Privately Held Business Law; Tax Law: Individual; Trust, Will & Estate Planning Law; Thaddeus E. Morgan, Commercial Litigation, Construction Law; Melisa M.W. Mysliwiec, Elder Law; Michael H. Perry, Environmental Law; Gary C. Rogers, Bankruptcy & Workout Law: Commercial; Creditor’s Rights/Commercial Collections Law; Marlaine C. Teahan, Trust, Will & Estate Planning Law. Read more.

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IRS Announces 2025 Standard Mileage Rates

The IRS announced the 2025 standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical, or moving purposes. Beginning on January 1, 2025, the rate for business use is 70 cents per mile, an increase of 3 cents from 2024. However, the mileage rates for vehicles used for other purposes will remain unchanged from 2024.

Why it Matters: Self-employed individuals who operate an automobile for business use, as well as employers who reimburse employees who use their own vehicles to conduct business, should take note of these changes.

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FinCEN Petitions Supreme Court to Intervene

After a week and a half of yo-yoing federal court decisions affecting the implementation of the Corporate Transparency Act’s requirement for businesses and other entities to file Beneficial Owner Information Reports, the government has now petitioned the United States Supreme Court to weigh in.

Why it Matters: For now, the reporting requirement is once again “voluntary” per FinCEN’s guidance, but business owners and others are advised to pay close attention, as a decision by the Supreme Court could come swiftly. And if the injunction is lifted, any extension of the filing deadline is expected to be relatively short in light of the government’s arguments in the Application for a Stay and given the fact that FinCEN’s prior extension provided less than two additional weeks, moving the deadline from January 1, 2025, to January 13, 2025. Read more.

Related Practice Groups and Professionals

Labor, Employment & Civil Rights | David Houston
Business & Tax | Robert D. Burgee

Five Stories That Matter in Michigan This Week – November 8, 2024

New Approval Procedures for Large-Scale Renewable Energy Projects to Take Effect on November 29, 2024

The Michigan Public Service Commission and other state regulators have recently finalized procedures for approval processes for large-scale solar and wind projects to implement a 2023 law that transfers decision-making authority, in some cases, from local governments to the state. The new procedures will take effect on November 29, 2024.

Why it Matters: Renewable energy project approval processes will, in most instances, still need to begin at the local level. However, the law allows developers to seek state approval from the Public Service Commission if a project is denied by a local government.

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Business Education Series: Referral Generation: Avoid Peaks & Valleys in Your Sales Funnel

Every business owner prefers a referral to a cold lead. Referrals have a basis of trust and understanding that makes the sales process simpler to execute and winning easier to achieve. Referrals can’t be generated intentionally however, right? On Tuesday, December 17, Ian Richardson, BBA, CSAP, MCSA, Principal Consultant, Fox & Crow Group LLC & Managing Partner, Richardson & Richardson Consulting, LLC, will discuss how this is incorrect.

Why it Matters: Learn how to structure an intentional referral generation pipeline from existing clients while minimizing the risk of client churn. Three takeaways include preparing conversations with clients, retention efforts for clients who are not ready to refer, and review of how to prepare a referral list for clients. Full information and to register.

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Two House Bills Introduced Aimed at Amending Minimum Wage, Earned Sick Time Leave Act

House Bills 6056 and 6057 were introduced into the Michigan House this week, seeking to amend the Earned Sick Time Leave Act, and keep the tipped wage at the current 38%.

Why it Matters: The bipartisan legislation aims to keep the tipped wage at 38%, while slightly accelerating the minimum wage increase, as well as providing a clearer definition of an employee, and how employers can manage benefits. This legislation comes as the state is preparing for the February 21, 2025 deadline, where the minimum wage and paid sick time leave laws will be altered.

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Michigan Court of Appeals Confirms Commercial Roof Replacement Qualifies as “New Construction” for Property Tax Purposes

In a recent decision that clarifies the scope of property tax “additions” under Michigan law, the Court of Appeals held that installing a new roof on a commercial building constitutes “new construction” that can trigger increases in taxable value beyond the standard legislative cap.

Why it Matters: By confirming that even basic building improvements like roof replacements constitute “additions” that can trigger increased tax assessments, the ruling clarifies a power that local tax assessors have long possessed but may not have consistently exercised.

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FTC Overhaul of Hart-Scott-Rodino Act Pre-Merger Notification Rules

On October 10, 2024, the Federal Trade Commission (FTC) unveiled extensive modifications to the Hart-Scott-Rodino Act (HSR) pre-merger notification regulations. These changes, set to take effect in January 2025, significantly expand disclosure requirements for mergers and acquisitions.

Why it Matters: The Act applies to transactions that meet specific size thresholds, which are adjusted annually. Generally, in 2024, transactions where one party has a size of at least $239 million; the other party has a size of at least $23.9 million; and the size of the transaction is at least $119.5 million, must be reported. The Act aims to give regulators the opportunity to review potentially anticompetitive deals before they are consummated.

Related Practice Groups and Professionals

Energy, Utilities & Telecommunication | Sean Gallagher
Business & Tax
Labor, Employment & Civil Rights | David Houston

Five Stories That Matter in Michigan This Week – October 4, 2024

With Election Looming, it’s Important to be Informed About Michigan’s AI Election Communications Law

A little less than a year ago, in November, 2023, Michigan became the fifth U.S. state to pass a law regulating artificial intelligence use in election communications. The legislation requires a disclaimer on political advertisements created using A.I.-generated content.

Why it Matters: Under the law, a person who knowingly violates this section is guilty of a misdemeanor punishable by a fine of not more than $1,000.00 or imprisonment for not more than 93 days, or both. You can access more information about the law here.

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Michigan Sales Tax Applies to Credit Card Surcharges

Recently, the Michigan Department of Treasury provided guidance on the application of a Michigan sales tax on credit card “surcharges” for businesses. The Michigan Department of Treasury considers the surcharge added to a customer’s bill a “service cost” or “other expense of the seller” under the General Sales Tax Act, making it part of the taxable “sales price” of a transaction.

Why it Matters: Compliance with this guidance is important. Failure to do so may result in underpayment of taxes due to the State of Michigan, potentially subjecting your business to penalties and interest. If you have any questions about how this guidance applies to your specific situation, please contact Paul McCord or your Fraser Trebilcock attorney. Read more.

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Update: Michigan Supreme Court Clarifies its “Adopt and Amend” Minimum Wage and Tipped Worker Ruling

The Michigan Supreme Court recently issued a clarification of its July 31, 2024 ruling on minimum wage and paid sick leave standards. This update, released on September 18, 2024, comes in response to a request from the State of Michigan and its attorney general, addressing several key points of confusion that arose from the original decision.

Why it Matters: Employers should remain vigilant for any further updates or guidance from state authorities. The complex nature of these changes underscores the importance of staying informed and seeking experienced legal counsel to ensure full compliance with Michigan’s evolving wage laws. Read more from your Fraser Trebilcock attorney.

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Business Education Series: Avoid the Five Business Dangers

On Wednesday, October 30, Tom Hamp, Hamp Business Coaching, will delve into the critical issues of poor leadership skills and their impact on organizational success, explore strategies to overcome underperforming sales, and discuss the consequences of ineffective marketing. Additionally, we will examine the importance of robust human capital management and the detrimental effects of financial mismanagement. This seminar is designed to provide practical solutions and actionable insights to help you navigate and resolve these common business problems effectively.

Why it Matters: Learn how to understand your business’s financials, understand profit and loss and use it to your advantage. Also learn how leadership impacts staff and how to manage employees better by increasing leadership skills. Full information and to register.

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Fraser Trebilcock Attorney Secures Victory for Firm Client

Fraser Trebilcock attorney Danielle Lofton was successful in securing a victory for the firm’s client in an insurance matter. A mother of an eight-year-old daughter in Florida had been sued over an accident that occurred in Michigan involving her daughter having caused a serious injury to a cousin while driving an ATV.

Why it Matters: The mother’s insurance company in Florida had gone into insolvency, leaving the mother on her own to defend herself in the civil lawsuit. Although she was initially faced with many roadblocks, Attorney Lofton was successful in convincing the Florida Insurance Bureau to not only settle the underlying claim, but to reimburse the firm’s client for the defense costs she incurred. Read more.

Related Practice Groups and Professionals

Business & Tax | Paul McCord
Labor, Employment & Civil Rights | David Houston
Insurance Law | Danielle Lofton

Five Stories That Matter in Michigan This Week – September 20, 2024

Michigan Supreme Court Clarifies Minimum Wage Ruling

The Michigan Supreme Court released an order following Attorney General Dana Nessel’s recent request for clarification from the Court on certain issues, including a precise start date for calculating inflations, related to the Court’s recent “adopt and amend” minimum wage and sick leave ruling in the case of Mothering Justice v Attorney General.

Why it Matters: Per the Court’s ruling, increases to the state’s minimum wage and tipped wage laws, and the expansion of the state’s earned sick time laws, will go into effect February 21, 2025. The Court’s order clarified the tipped minimum wage and date of annual increases, as well as specified new minimum wage rates. You can find the order here.

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Michigan Cannabis Sales Grow Despite Ohio Starting Recreational Sales

According to the Detroit Free Press, Ohio cannabis dispensaries sold nearly $55 million in recreational cannabis in August—the state’s first month of legal recreational sales. Michigan recreational sales increased 3% month over month, and 9% year over year, in August.

Why it Matters: There has been quite a bit of speculation about what impact Ohio’s recreational sales would have on Michigan’s cannabis marketplace. So far, Michigan seems to be continuing its growth trajectory.

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Michigan Cannabis Exceeds $295 Million in August ‘24

Cannabis sales surpassed $295 million in August, via the monthly report from the Michigan Cannabis Regulatory Agency. Michigan adult-use sales came in at $294,151,545.18, while medical sales came in at $1,260,707.52, totaling $295,412,252.70.

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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Business Education Series: Avoid the Five Business Dangers

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Intellectual Property and Rebranding: What Business Leaders Need to Know

Rebranding a business is exciting. It’s often done at a time of growth and transformation, such as a merger or acquisition, when a business is launching an important new product, entering a new geographic market, or trying to appeal to a new customer demographic. Whether you’re updating your logo, changing your company name, or overhauling your entire brand identity, it’s a big step that can lead to great opportunities.

Why it Matters: But before you dive into the creative process, it is crucial to consider the intellectual property (IP) law implications of a rebrand. Your brand is one of your most valuable assets, and rebranding involves important legal considerations that can impact your business’s future. In this article, we’ll walk you through some key IP issues you need to consider when rebranding. These considerations will help you protect your new identity and avoid costly legal pitfalls along the way. Read more.

Related Practice Groups and Professionals

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

Five Stories That Matter in Michigan This Week – September 13, 2024

AG Nessel Asks Michigan Supreme Court to Clarify Minimum Wage Ruling

Attorney General Dana Nessel recently sought clarification from the Michigan Supreme Court as to certain issues, including a precise start date for calculating inflations, related to the Court’s recent “adopt and amend” minimum wage and sick leave ruling in the case of Mothering Justice v Attorney General.

Why it Matters: Per the Court’s ruling, increases to the state’s minimum wage and tipped wage laws, and the expansion of the state’s earned sick time laws, will go into effect February 21, 2025. With many businesses scrambling to prepare for the impact, the Court may provide some helpful clarity to those businesses as well as the state in administering and enforcing the law.

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Attorney Douglas J. Austin Honored as “Lawyer of the Year” in Real Estate Law in Lansing

Fraser Trebilcock attorney Douglas J. Austin has been named the Best Lawyers in America^® 2025 Real Estate Law “Lawyer of the Year” in Lansing. “I am honored to be recognized by Best Lawyers^®as a 2025 ‘Lawyer of the Year’ for Real Estate Law in Lansing,” said Mr. Austin.

Why it Matters: This is a high distinction, as only one attorney in each practice area in each community is identified as “Lawyer of the Year.” Mr. Austin has been at the center of real estate law for over 45 years. In addition to being a shareholder at Fraser Trebilcock, he is also the past chair of the firm’s Real Estate Law department.

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Michigan CRA Publishes August ’24 Data: Average Price Increases

Per data released by the Cannabis Regulatory Agency (CRA), the average retail price for adult-use sale of an ounce of cannabis in August was $80.14, a minor increase from $79.70 in July. This is a decrease from August 2023, where the average price was $94.16.

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Intellectual Property and Rebranding: What Business Leaders Need to Know

Why it Matters: But before you dive into the creative process, it is crucial to consider the intellectual property (IP) law implications of a rebrand. Your brand is one of your most valuable assets, and rebranding involves important legal considerations that can impact your business’s future. In this article, we’ll walk you through some key IP issues you need to consider when rebranding. These considerations will help you protect your new identity and avoid costly legal pitfalls along the way. Read more.

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Fraser Trebilcock Lawyers Selected Among “The Best Lawyers in America©” 2025 Edition in Lansing

Fraser Trebilcock is proud to announce that 12 attorneys from the firm have been selected for inclusion in The Best Lawyers in America© 2025 edition in Lansing. Those selected include: Michael S. Ashton, Administrative / Regulatory Law; Litigation – Regulatory Enforcement (SEC, Telecom, Energy); Utilities Law; Douglas J. Austin, Real Estate Law; Michael E. Cavanaugh, Administrative / Regulatory Law; Bet-the-Company Litigation; Commercial Litigation; Litigation – Labor and Employment; Michael P. Donnelly, Commercial Litigation; Sean P. Gallagher, Environmental Law; Litigation – Environmental; Jennifer Utter Heston, Administrative / Regulatory Law; Mark E. Kellogg, Closely Held Companies and Family Business Law; Corporate Law; Hon. Paula J. Manderfield (Ret.), Mediation; Thaddeus E. Morgan, Commercial Litigation; Litigation – Construction; Michael H. Perry, Environmental Law; Gary C. Rogers, Bankruptcy and Creditor Debtor Rights / Insolvency and Reorganization Law; Litigation – Insurance; and Marlaine C. Teahan, Trusts and Estates.

Why it Matters: “These twelve attorneys are proven leaders in their field, and practice at a very high level. We congratulate them on this recognition by Best Lawyers®,” said Thaddeus E. Morgan, President of Fraser Trebilcock. Read more.

Related Practice Groups and Professionals

Labor, Employment & Civil Rights | David Houston
Real Estate Law | Doug Austin
Cannabis Law | Sean Gallagher
Intellectual Property | Andrew Martin

Michigan Supreme Court Rules on Adopt and Amend: What Businesses Need to Know

Background: Adopt and Amend Unauthorized

In Mothering Justice v Attorney General, a 105-page, 4-3 party-line decision, the Michigan Supreme Court ruled that the state Legislature lacked the authority to “adopt and amend” two employment-related ballot initiatives in 2018. In support of the legislature’s authority, the minority noted that there is nothing in the Michigan constitution limiting that authority. The majority found the legislature’s action to have been a usurpation of the right of the voters to initiate and effectively implement new legislation. The ruling reinstates two ballot initiative measures affecting Michigan workers. Much more will be written about this aspect of the decision, however, the bottom-line for Michigan employers is: Employees are going to be more costly and more difficult to manage within the law.

What This Means for Businesses

The case involved the “Wage Act” proposing changes to minimum wage and overtime laws, and the “Earned Sick Time Act.” In its ruling, the Court ordered that increases to the state’s minimum wage and tipped wage laws, and the expansion of the state’s earned sick time laws will go into effect February 21, 2025. The “standard” minimum wage for non-tipped employees will increase to an adjusted rate, calculated by the state treasurer, of more than $12 per hour. Tipped workers, the percentage that businesses pay will increase to 48%. By this formula, the minimum wage will increase each year until 2029, when the tipped and non-tipped minimum wages will be the same.

Earned sick time leave will also see an overhaul for both large and small employers. Employers with more than 10 employees must provide 72 hours of paid sick time leave, and employers with less than 10 employees must provide 40 hours of paid sick time leave annually and 32 hours of unpaid leave. Employees, including part-time and seasonal, will receive one hour of paid medical leave for every 30 hours worked, up to 72 hours per year. This is an increase from the previous maximum of 40 hours per year. Additionally, employers with less than 50 employees are no longer exempt from having to offer earned sick time leave.

Employers will need to educate their staff on these changes, adjust payroll systems, and ensure their company’s policies are updated to reflect the new laws before the February 21, 2025, deadline to remain compliant.

If you’re concerned about these changes or have questions, please contact David J. Houston or your Fraser Trebilcock attorney.

This alert serves as a general summary and does not constitute legal guidance. Please contact us with any specific questions. You can read the full Opinion here.

Fraser Trebilcock Shareholder Dave Houston has over 40 years of experience representing employers in planning, counseling, and litigating virtually all employment claims and disputes including labor relations (NLRB and MERC), wage and overtime, and employment discrimination, and negotiation of union contracts. He has authored numerous publications regarding employment issues. You can reach him at 517.377.0855 or dhouston@fraserlawfirm.com.

Five Stories That Matter in Michigan This Week – August 2, 2024

DOL Issues Bulletin to Wage and Hour Field Staff Regarding AI Use in Workplace

The United States Department of Labor recently issued a Field Assistance Bulletin to its Wage and Hour Division field staff regarding the application of the Fair Labor Standards Act (FLSA) and other federal labor standards as employers increasingly use artificial intelligence (AI) and other automated systems in the workplace. For example, the bulletin advises that, “Reliance on automated timekeeping and monitoring systems without proper human oversight, however, can create potential compliance challenges with respect to determining hours worked for purposes of federal wage and hour laws.”

Why it Matters: As AI use becomes more pervasive across businesses, employers must be aware that their use of AI can create legal compliance challenges, and that regulatory agencies are paying attention to these issues.

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Michigan Supreme Court Rules Against “Adopt and Amend”

In Mothering Justice v Attorney General, a 105-page. 4-3 party-line decision, the Michigan Supreme Court ruled that the state Legislature lacked the authority to “adopt and amend” two employment-related ballot initiatives in 2018.

Why it Matters: In its ruling, the Court ordered that increases to the state’s minimum wage and tipped wage laws, and the expansion of the state’s earned sick time laws will go into effect February 21, 2025.

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Michigan CRA Files Formal Complaint Against Adult-Use Marijuana Processor

The Michigan Cannabis Regulatory Agency recently filed a formal complaint against Sky Labs LLC, an adult-use marijuana processor, alleging that the business received THCA isolate from an out-of-state business to convert to marijuana distillate and disguised the purchase in the METRC monitoring system as Sky Labs LLC does not have the proper license to convert THCA isolate to marijuana distillate.

Why it Matters: The CRA intends to impose fines and/or other sanctions against Sky Labs, LLC, which include suspension, restriction, or revocation, of the business’s license.

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Federal Judge Upholds FTC Ban on Non-Compete Agreements

A federal judge recently denied a tree-trimming company’s bid to block the FTC’s ban on non-compete agreements, following the agency issuing the final rule in April, which is set to take effect on September 4, 2024.

Why it Matters: Under the final rule, “Non-compete clause” is defined as “a term or condition of employment that prohibits a worker from, penalizes a worker for, or functions to prevent a worker from: (i) seeking or accepting work in the United States with a different person where such work would begin after the conclusion of the employment that includes the term or condition; or (ii) operating a business in the United States after the conclusion of the employment that includes the term or condition.” The final rule covers all entities subject to the FTC Act (generally, most for-profit entities, but not non-profit organizations). Read more from your Fraser Trebilcock attorneys.

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Michigan Supreme Court Rules that Condo Association Owes Duty of Care to Co-Owners for Premises Liability

In a ruling on July 11, 2024, the Michigan Supreme Court overturned previous case law and redefined the legal relationship between condominium associations and their co-owners with respect to premises liability.

Why it Matters: The Court ruled that when using common areas of the condominium, a co-owner is deemed to be an invitee. This classification requires the condominium association to exercise reasonable care to protect co-owners from hazardous conditions in these shared spaces. Learn more.

Related Practice Groups and Professionals

Labor, Employment & Civil Rights | David Houston
Cannabis Law | Sean Gallagher
Real Estate | Andrew Moore

Five Stories That Matter in Michigan This Week – January 5, 2024

Reminder: Michigan LLCs Must File Annual Report by February 15

With the new year upon us, we want to remind you that limited liability companies formed with the Michigan Department of Licensing and Regulatory Affairs must file their annual report (called an Annual Statement) by February 15.

Why it Matters: LLCs that fail to file are subject to fines. More importantly, failure to file an annual report after two consecutive years results in an LLC falling out of good standing with the state of Michigan, which may lead to the dissolution of the entity. Contact a Fraser Trebilcock lawyer if you require help with corporate filing and reporting requirements.

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Michigan Minimum Wage Increased After New Year

Now that we’re into calendar year 2024, Michigan’s minimum wage has increased per the Improved Workforce Opportunity Wage Act of 2018 which establishes the annual schedule of increases. The minimum hourly wage increased to $10.33 per hour; the 85% rate for minors aged 16 and 17 increased to $8.78 per hour; the tipped employee rate of hourly pay increased to $3.93 per hour; and the training wage of $4.25 per hour for newly hired employees ages 16 to 19 for their first 90 days of employment remains unchanged.

Why it Matters: It’s important to be aware of new laws, and changes to existing laws, that have taken effect as of January 1, 2024. Contact us with any questions.

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Fraser Trebilcock Announces Department Chairs for 2024

Fraser Trebilcock announces new Department Chairs for 2024: Sean P. Gallagher, Administrative Law; Robert D. Burgee and Paul V. McCord, Business & Tax; Robert D. Burgee, Employee Benefits: Welfare/Health; David J. Houston, Labor, Employment, and Civil Rights; Michael P. Donnelly, Litigation; Jared A. Roberts, Real Estate; and Marlaine C. Teahan and Mark E. Kellogg, Trusts and Estates.

Why it Matters: A new year brings a renewed commitment to leadership within our firm. When it matters in Michigan, we are the trusted advisor for businesses and individuals requiring planning and consulting services, or facing legal and regulatory challenges, and our capabilities extend to wherever clients require counsel. Read more.

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Reminder: Prevailing Wage Act Being Reinstated in Michigan in 2024

It’s important for businesses to be aware of laws that will take effect in 2024. One is the reinstatement of Michigan’s Prevailing Wage Act (the “Act”), which will require contractors and subcontractors in Michigan to pay the prevailing wage and benefit rates to employees working on most state funded construction projects.

Why it Matters: A prevailing wage law was in effect in Michigan from 1965 until 2018 when the law was repealed. On March 24, 2023, Governor Whitmer signed the Act into law. It will take effect in March of 2024.

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How do you Defend an Amazon Neutral Patent Evaluation?

Amazon’s Neutral Patent Infringement Program (NPE) is Amazon’s version of a quasi-judicial court to resolve patent infringement disputes between sellers. It is akin to an arbitration or mediation overseen by an experienced and vetted patent practitioner. NPE is not a court of law, so any of the rulings are not prejudicial on any platform or marketplace other than Amazon.com. However, it aims to provide a more cost-effective method to resolve patent disputes between sellers.

Why it Matters: The program is initiated once a patent holder submits a complaint to Amazon through Amazon’s seller portal. The accused product is immediately removed from its Amazon listing and the accused infringer is notified. The accused infringer then may negotiate a settlement directly with the rights holder or agree to participate in the NPE program. Learn more from your Fraser Trebilcock attorney.

Related Practice Groups and Professionals

Business & Tax | Robert Burgee
Labor, Employment & Civil Rights | David Houston
Intellectual Property | Andrew Martin

Five Stories That Matter in Michigan This Week – December 8, 2023

Governor Whitmer Signs Executive Order for State Vehicles to be Zero-Emission by 2040

On Tuesday, Governor Whitmer signed an executive directive mandating the state government to convert its fleet of cars and trucks to zero-emission vehicles by 2040.

Why it Matters: In a statement accompanying the directive, Governor Whitmer stated that the transition would reduce air pollution, help boost demand for Michigan-made electric vehicles, and lower fuel costs. The directive comes on the heels of Governor Whitmer signing legislation that will impose a new 100% clean energy standard for utilities to hit by 2040.

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Patentable vs. Infringing: What’s the Difference?

The patent system is intended to spur innovation, incentivize inventors, and protect against infringement. One of the big challenges innovators face in this realm is understanding patentability and what constitutes infringement.

Why it Matters: The distinction between what is patentable and what is infringing is defined by the scope of the patent claims. For instance, a new invention that improves upon a patented product may still be patentable even though the envisioned product itself may infringe on the patented claims. On the other hand, a product that is not patentable may also infringe granted patents. Learn more from your Fraser Trebilcock attorney.

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Michigan Supreme Court Hears Arguments on Minimum Wage

Earlier this week, the Michigan Supreme Court heard arguments on whether the “adopt-and-amend” actions on two ballot initiatives from 2018 that alter the state’s minimum wage and paid sick leave requirements were constitutional.

Why it Matters: The Michigan Supreme Court is anticipated to make a decision in 2024. If the Supreme Court upholds the adopt-and-amend process that the Court of Appeals deemed constitutional, then employers will operate under the current minimum wage and paid sick leave requirements. However, if the process is found unconstitutional and the Supreme Court overrules the lower court’s decision, then it would reinstate the original 2018 initiatives on minimum wage and paid sick leave requirements.

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Ohio Senate Passes Bill Altering Legal Cannabis Program

On Wednesday, the Ohio Senate voted on a proposal that would alter the state’s legal cannabis program, after voters passed Issue 2 in November, allowing the sale of recreational cannabis to adults 21 years or older.

Why it Matters: The bill now moves onto the House, and if it passes, the Governor has indicated he will sign it. Some of the proposed changes include reducing the number of homegrown plants allowed to 6 (from 12), increasing the tax on sales from 10% to 15%, allowing medicinal shops to sell to recreational users, and altering the way tax revenue would be spent, allocating funds to different programs.

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Michigan Cannabis Sales in Third Quarter Nearly $75 Million More than Second Quarter

Michigan cannabis sales totaled $827,737,257.25 in the third quarter of 2023, a nearly $75 million increase from the second quarter in which sales totaled $752,770,513.25.

Why it Matters: Marijuana sales remain strong in Michigan, particularly for recreational use. However, there still are significant concerns about profitability and market oversaturation that the industry is contending with.

Related Practice Groups and Professionals

Energy, Utilities & Telecommunication | Sean Gallagher
Intellectual Property | Andrew Martin
Labor, Employment & Civil Rights | David Houston
Cannabis Law | Sean Gallagher

Five Stories That Matter in Michigan This Week – December 1, 2023

Michigan Overhauls K-12 Evaluation Process

Governor Whitmer signed two bills into law (SB 395 & SB 396) on November 22, 2023, transforming the evaluation methods for teachers and school administrators in K-12 education.

Why it Matters: This new legislation substantially alters how teachers are evaluated, including streamlining rating categories, adjusting the evaluation criteria to prioritize teacher performance, and requiring educator participation in creating evaluation instruments.

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Governor Whitmer Signs Package of Clean Energy Bills

Earlier this week, Governor Whitmer signed a package of clean energy bills, including one that would require companies to make 100% of their energy through renewables such as solar and wind by 2040, and also seeks to reduce energy waste, among other objectives.

Why it Matters: Clean energy legislation is a major priority for Michigan Democrats but is opposed by Republicans and has received pushback from many business groups, who argue the legislation would increase energy costs.

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Cannabis Consumption Lounges Set for Detroit

The City of Detroit back in August announced its second round of recreational cannabis licenses, which included licenses for consumptions lounges. These lounges would be a place for adults 21 years or older to meet and safely consume cannabis that was legally purchased elsewhere.

Why it Matters: For some residents in Detroit, these consumption lounges can be the only safe and legal spot to consume cannabis. It is important to understand the rules and regulations tied to these lounges to ensure compliance.

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Michigan Minimum Wage Set for Increase for 2024

Michigan’s minimum wage is set to increase on January 1, 2024, per the Improved Workforce Opportunity Wage Act of 2018 which establishes the annual schedule of increases. The minimum hourly wage will increase to $10.33 per hour; the 85% rate for minors aged 16 and 17 will increase to $8.78 per hour; the tipped employee rate of hourly pay increases to $3.93 per hour; and the training wage of $4.25 per hour for newly hired employees ages 16 to 19 for their first 90 days of employment remains unchanged.

Why it Matters: As we approach the new year, t’s important to be aware of new laws, and changes to existing laws, that are set to take effect as of January 1, 2024. Contact us with any questions.

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Streamline Corporate Transparency Act Reporting with a FinCEN Identifier

The Financial Crimes Enforcement Network (FinCEN), announced and elaborated on the use and availability of FinCEN identifiers. Under this new guidance, FinCEN identifiers may be crucial for business owners, particularly for those managing multiple entities.

Why it Matters: A FinCEN identifier is a unique number assigned by FinCEN to individuals and reporting companies, streamlining the reporting process under the CTA. Businesses will need to be prepared come 2024 for the new reporting requirements. Learn more from your Fraser Trebilcock attorneys.

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