Attorney Jennifer Green, lead counsel for Puff Cannabis Co., speaks via Zoom at a hearing Thursday in Menominee County Circuit Court.
Hannawa
Botbyl
EagleHerald Editor
Hannawa
Botbyl
Attorney Jennifer Green, lead counsel for Puff Cannabis Co., speaks via Zoom at a hearing Thursday in Menominee County Circuit Court.
MENOMINEE — Puff Cannabis Co. may have lost a court battle, but owner Nick Hannawa says this marijuana dispensary war is far from finished.
“The fight’s not over – it’s going to ramp up from here,” he said. “Puff will never give up – ever – until our rights our vindicated for these bad acts that were committed on us. We’re going to clean up the corruption.”
Jennifer Green, lead counsel for Puff, said no decisions have been made in terms of an appeal.
“We’re considering our appeals and analyzing all of that,” she said on Thursday, adding that the Michigan Court of Appeals would be the first place to file an appeal. “This just happened yesterday so no firm decision has been made yet, but obviously, we’re weighing all of our options for our next step.”
Judge Mary B. Barglind, in a written decision dated Wednesday, granted the City of Menominee’s motion for a summary disposition, effectively dismissing the complaints filed by Puff against the city. In a summary disposition, a judge considers only factual pleadings from both sides and makes a decision without the case proceeding to trial.
The key issue the judge ruled on was a waiver signed by Puff in an updated application for a recreational marijuana license. The waiver states, in part, that the applicant waives and forever releases any claim, demand, action, legal, redress, or recourse against the City of Menominee, its elected officials and its employees.
Puff’s legal team had argued that the waiver was not part of its original application submitted on Dec. 3, 2024. At that time, the city ordinance permitted unlimited recreational marijuana sales licenses. Puff was doing business as First Class Cannabis at that time.
On Dec. 16, 2024, Menominee City Manager Brett Botbyl sent an email to First Class, stating, “I have reviewed the MJ Application packet and everything appears to be in order. At this time First Class would be approved for a license and can proceed. They can cantact the Building Department and acquire their building permits, etc. This will act as notice of their approval. A MJ Retail business license will be issued upon final inspections and a occupancy permit.” Barglind included that email in her ruling.
On Feb. 7, 2025, Puff submitted an updated application stating it was changing its trade name to Puff Cannabis Co. and adding three new members to its LLC. That application did contain the waiver language.
Barglind, in her ruling, said neither the city nor Botbyl did anything that amounts to misconduct in obtaining the waiver.
Green respectively disagreed with the judge’s ruling on the waiver.
“There are cases from across the country where courts have said the government cannot force people doing business in front of them to waive their constitutional rights just to get a permit from the government,” she said. “You can’t do it. Otherwise, what’s the point of the constitution? We will be appealing that piece of it for sure because we think it’s unenforceable.”
Barglind, in her ruling, referred to a “new application” and a “second application.” Green said there only was one application, and that it was updated.”
Hannawa said it was Botbyl who told Puff to fill out an entire new application form.
“At the time, you’re not thinking you are dealing with a city who has nefarious intent,” he said. “Come to find out, he already knew, before he did that based on the FOIA documents, there was an issue that would potentially come up.”
Barglind also sided with the city on a second issue. She said Puff did not have a protected right to receive a marijuana retail license, and the city denying them does not violate due process.
Green said she believes Menominee is projecting the wrong image for other businesses – cannabis or not – that want to enter the city.
“From the city’s perspective, this is how they’re treating people who come to do business in their community,” she said. “This is your legacy; this is how your are viewed.
“They have probably a myopic view of this case – that it’s us vs. Puff or whatever. It’s cannabis and we don’t want them here anyway. But it’s not. It’s a legitimate business. So if I am in a different industry and I’m looking at where I want to open up my next facility. Do you really want to do business in Menominee, Michigan, given the way the City Council has treated all of these business. Because it’s not just Puff. There are four other cannabis companies lined up in court.
“I’m sure the city feels vindicated that they won the waiver, but it’s bigger than that.”
Green said Puff followed every rule and regulation, spent millions to improve a blighted property that sat vacant for years and then had the rug pulled out from under them at the last minute.
“Who would want to do business in your town?” she said.
Hannawa tried to explain his level of frustration.
“I’m very frustrated with certain people in Menominee, with the city manager, with certain members of the council,” he said. “How do you let a business come in and do this and then take this kind of position against them. We didn’t do anything wrong. We came in there with good intentions. We came in there ready to be a productive business member of the community and they want to treat us like we’re criminals – that we’re trying to commit a crime against the city.”
Mayor Casey Hoffman issued the following statement on the ruliing: “I am very grateful to Judge Barglind for helping Menominee temporarily dodge a legal bullet. I fully anticipate Puff Cannabis will appeal this decision. In November 2023, Judge Mary Barglind temorarily shut down three Menominee cannabis companies. She later reversed her decision and allowed the companies to reopen after an emergency hearing to dissolve the motion. Puff Cannabis could win on appeal, just like in 2023. I pray the Menominee City Council adopts a policy solution before the appeals process begins.”
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Dan Kitkowski can be reached by email at dkitkowski@eagleherald.com
Hannawa
Botbyl
EagleHerald Editor
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