MENOMINEE, Mi. (WBAY) – A cannabis dispensary in Menominee, Michigan, submitted paperwork on Thursday to sue the city for $20 million in compensatory damages. This developing situation has quickly become one of the most talked-about business and political disputes in Menominee, raising questions about city governance, licensing, and the future of cannabis businesses in the area.
The mayor of Menominee, Casey Hoffman, and Nick Hannawa, the co-owner of PUFF Cannabis Company, both say the store has been ready to open and operate since July, but has remained closed because of the city council’s refusal to give them the final forms to open. For many residents and business owners, this has become another chapter in what has been a long, contentious struggle around cannabis licensing within Menominee.
In December of 2024, the city manager gave PUFF permission to proceed with construction and open when ready. At that time, the approval was considered a major step forward for cannabis business expansion in Menominee, signaling that the city appeared prepared to welcome additional dispensaries.
However, in August of 2025, just eight months later, there was a vote to allow only nine cannabis dispensaries in the city. There are eight open and operating right now. PUFF is looking to be the ninth, but the mayor says the city council has to take action in order for the store to open. This dispute has created frustration among business leaders who feel Menominee is sending mixed messages about cannabis expansion.
Financial losses of this scale could have a significant economic impact on future cannabis development within Menominee, as businesses may view the approval process as unpredictable or unstable.
“I am terrified by what my city council thinks right now. Half of them want to settle this and make it go away so that the city doesn’t bet the farm in court. And half of them want to sue and are convinced they can win,” says Mayor Casey Hoffman. “It’s not fair, it’s not right. PUFF has done nothing wrong. We came in, we played by the rules. We were issued a building permit. We had an approval for our marijuana license once that was completed. And you know, they are doing everything they can to block our opening,” says Nick Hannawa, who is also the legal counsel for PUFF Cannabis Company.
Action 2 News called the city manager on Thursday, but we have not heard back yet. As Menominee continues to navigate this conflict, residents and business owners are watching closely. The outcome of this high-stakes lawsuit may shape how future cannabis businesses operate in Menominee, influencing both economic growth and regulatory policies for years to come.