Michigan Judge Reverses Media Ban On Drawn-Out Legal Battle Between THC Testing Lab & State Agency

A Michigan judge lifted a months-long media ban on a Michigan legal dispute concerning a historic cannabis recall in 2021, reported MLive.

At the center of the legal battle is the state's Cannabis Regulatory Agency (CRA) at its allegations against Viridis Laboratories accusing it of producing inaccurate test results and inflating THC potency data. Viridis denied the claims and countersued the CRA, accusing the regulator of unfair targeting.

Hearings, which followed numerous court filings, audits and formal complaints over the past year and a half were kept secret from the public and media since February, per an order from Judge Stephen B. Goldstein. At the time, Judge Goldstein didn't provide a specific reason for the decision though pointed to state law that allows the move if media or public attendance "disrupts proceedings" or to "avoid undue disruption."

Both the state regulators and Viridis leadership applauded the move to lift the ban.

"Transparency with the public is very important to the CRA and we will continue to honor the judge's orders," CRA spokesman David Harns said.

Greg Michaud, Viridis CEO agreed. "There should be a full public accounting and transparency around the CRA's actions leading up to the botched recall of 2021 and after." 

How It All Began

In November 2021, Michigan regulators issued a recall of marijuana products, impacting nearly 70% of the state's on-shelf cannabis products sold at more than 400 stores. The marijuana testing facility at the center of the debacle filed a lawsuit against the Marijuana Regulatory Agency.

At the time, MRA reported that it detected "inaccurate and/or unreliable results" of all products - excluding inhalable concentrate products, such as live resin, distillate or vape carts - tested by Viridis Laboratories between Aug. 10 and Nov. 16, reported local news outlets. According to the lawsuit, the recall resulted in an estimated $229 million disruption in the industry.

MRA had been overseeing the market prior to Governor Gretchen Whitmer's executive order in 2022, which consolidated the regulation of the processing, distribution and sale of marijuana and hemp into a single state agency: the Cannabis Regulatory Agency.

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