Michigan’s cannabis industry failed to secure an injunction against the new wholesale tax, but the judge left the door open for the underlying legal challenge to proceed as questions remain about voter intent and market impact.

DETROIT – Michigan’s legal cannabis industry took a major hit Monday after a judge refused to block a new 24% wholesale tax on marijuana. The ruling clears the way for the tax to take effect on Jan. 1.

Michigan Court of Claims Judge Sima Patel denied the Michigan Cannabis Industry Association’s request for an injunction, siding with the state’s argument that adding a tax does not change the state’s marijuana laws.

Patel rejected the industry’s central claim — that only the Michigan Regulation and Taxation of Marihuana Act (MRTMA) can authorize taxes on regulated

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