Michigan Government Orders Closure of 200 Marijuana Dispensaries

In early March, around 40 marijuana dispensaries across Michigan received official notices from the state government, ordering them to cease operations or face criminal penalties. At the time, officials stated that these notifications were just the beginning of a large-scale operation to shut down dispensaries allegedly violating legalization laws. Now, an additional 200 dispensaries throughout the state are facing the threat of forced closure by law enforcement.

Most of the dispensaries facing closure have been operating since 2008, when Michigan first passed a relatively liberal law legalizing the sale of medical marijuana. At the end of 2016, the new state administration amended the existing law to clarify its main provisions and toughen penalties for violations. After these amendments, state authorities allowed existing businesses to continue serving customers, provided they could complete a new certification process over the following years.

With the new regulations officially taking effect at the beginning of April, the state ruled that all dispensaries failing to obtain a new business certificate from the administration by February 15 of this year would be closed immediately and without negotiation. As a result, about 210 businesses across the state received closure notices last Friday. Approximately 150 of these unlicensed dispensaries are located in Michigan’s largest city, Detroit. The remaining businesses are mostly concentrated in other major cities, such as Lansing and Flint.

“After our initial notifications, a surprisingly large number of unlicensed businesses decided to close without unnecessary conflict,” said David Harns, a spokesperson for the Bureau of Marijuana Regulation, in an interview with local media. “Although we can’t say with absolute certainty that these businesses aren’t operating underground, it’s worth noting that several organizations have already contacted the bureau to report imposters operating under their brand names.” Some businesses have contested the closures, claiming they can continue operating based on local court decisions.

While the closure of so many dispensaries could create serious challenges in serving the needs of more than 277,000 patients officially registered in the state’s medical system, Mr. Harns notes that there are still 215 dispensaries in Michigan that meet the new certification requirements. These businesses were able to secure the right to continue operating by passing renewed state inspections before February 15. “Rest assured, there are still plenty of reputable businesses on the regional market that meet the standards set by the state government,” Harns assured reporters. “Legal marijuana is still available at more than 200 certified dispensaries, which continue to operate smoothly in both large and small communities across Michigan.”