P&A Providers & Administrators
MenuMENU
SearchSEARCH

Michigan Judge Denies Carvana Request

A Michigan Court of Claims judge has denied Carvana's request for a temporary restraining order against Michigan Secretary of State Jocelyn Benson for suspending its Novi dealership operations.

October 21, 2022
Michigan Judge Denies Carvana Request

A Michigan Court of Claims judge has denied Carvana's request for a temporary restraining order against Michigan Secretary of State Jocelyn Benson for suspending its Novi dealership operations.

3 min to read


A Michigan Court of Claims judge has denied Carvana's request that a temporary restraining order be granted against Michigan Secretary of State Jocelyn Benson for suspending its Novi dealership operations.

State officials suspended the Carvana dealership operations in Novi for "imminent harm to the public," earlier this month. Carvana called the "baseless."

Ad Loading...

The state alleges Carvana LLC, owned by Paul Breaux and located off of Novi Road near I-96, violated the Michigan Vehicle Code. A state investigation discovered the alleged violations after multiple complaints from consumers about title problems with their vehicles.

Carvana filed injunction motions on Oct. 13 with the Michigan Court of Claims asking for an immediate stop to the state’s suspension. The filing alleged the state's suspension violated the Michigan Vehicle Code that mandates holding a hearing prior to a suspension.

Carvana spokesperson Kristin Thwaites called the suspension an "illegal and irresponsible attempt to shut down a growing Michigan business" over "technical paperwork violations involving title and transfer issues."

However, Michigan Court of Claims Judge Thomas Cameron ruled that the "defendant’s decision to suspend plaintiff’s license without a hearing is statutorily permitted” and thus not a violation of the plaintiff’s due process rights.  

Judge Cameron noted Carvana did not offer any evidence to support its claim that the suspension caused "irreparable injury to its goodwill" or affected its “overall economic well-being.”

Ad Loading...

Carvana's Thwaites told the Free Press in an email Thursday that the Secretary of State has agreed to allow the company to sell online to Michigan customers as the matter is addressed. Carvana plans to sell online but declined to outline how it will deliver cars sold online to customers.

"We are disappointed by the court’s decision, and we are considering all legal options to protect our customers and ensure the Secretary of State is held accountable for their illegal actions," Thwaites added.

Thwaites in an email also reported that the Secretary of State “has brazenly violated its own rules, regulations and due process requirements while making false and reckless statements rather than engaging in constructive dialogue to remedy these technical paperwork issues.”

The spokesperson promised that as Carvana considers its next steps, the company will continue to deliver extraordinary online car buying and selling experiences to Michigan customers.  And, “we will continue collaboratively working with state bureaucrats to remedy these issues as quickly as possible” she concluded.

Michigan Department of State spokeswoman Aneta Kiersnowski Crisp reported the state has received over 100 complaints from consumers since suspending the dealership.  

Ad Loading...

"Department staff met with Carvana on multiple occasions to explain Michigan law and suggest pathways to compliance," Crisp said. "But Carvana continued selling vehicles without titles to scores of Michigan families, putting the residents at risk of legal violations, fines and other penalties."

Cameron's ruling stated that a preliminary conference was scheduled for Oct. 20 and an administrative hearing on the matter scheduled for Nov. 22. During the Oct. 20 meeting, "Carvana provided some of the information the department requested for consideration ahead of the Nov. 22 administrative hearing," Crisp said. No further details were provided.

More: GM’s move to boost domestic partner, transgender benefits helps it compete

Originally posted on Auto Dealer Today

More Industry

Orange electric vehicle charging station.
Industry•by Lauren Lawrence•October 20, 2026

Charger Network Growth Slows

Despite a projected increase in public EV chargers in 2026, charging infrastructure remains a top concern for consumers as the gap between the most and least EV-friendly places remains substantial.

Read More →
Fan of $100 bills atop a white envelope
Industry•by Hannah Mitchell•October 13, 2026

Lenders, Consumers Take on More Auto Loan Risk

September records loosened credit access the most in over a decade as buyers took advantage of the conditions to afford trading, though loan applications fell.

Read More →
Red type R Honda civic parked on road.
Industry•by Lauren Lawrence•October 13, 2026

Next-Gen Hybrids in Sight

Dealerships can expect to see revamped hybrids from Honda next year as the company rolls out a new system and model lineup.

Read More →
Ad Loading...
Dodge ram emblem on orange vehicle exterior
Industry•by Hannah Mitchell•October 6, 2026

Gem State Stores Change Hands

A larger auto group founded in the industry’s early years sold two franchises to a neighbor group that's on a growth spurt.

Read More →
Graphic of model car driving on fake road.
Industry•by Lauren Lawrence•October 6, 2026

Charging In Motion

Honda has been researching wireless in-motion charging for electric vehicles since 2025, and new technology developments have put it a step closer to a final product.

Read More →
front grill of a Ford truck with blue Ford emblem
Industry•by Lauren Lawrence•September 30, 2026

Twin Cities Stores Sell

Minnesota-based Walser Automotive Group made what it called the most significant acquisition in its history with a three-rooftop deal in Minneapolis.

Read More →
Ad Loading...
Diesel engine on a production line in a factory
Industry•by Hannah Mitchell•September 29, 2026

U.S. Auto Sales Still Below Prepandemic Levels

Mobility Global industry observers don’t expect the market to return to the higher volumes that became routine before Covid but to stay well below its potential.

Read More →
Front of red tesla car.
Industry•by Lauren Lawrence•September 22, 2026

The Powertrain Shift

Electric-vehicle owners are backpedaling, according to new data, with product availability driving many to shift back to gas-powered engines.

Read More →
White BMW SUV driving on road.
Industry•by Hannah Mitchell•September 15, 2026

Achromatic Autos

The shades that dominate the U.S. car market don’t call attention to themselves, though grayscale may have plateaued after a 30-year upswing, research shows.

Read More →
Ad Loading...
Line of eclipse SUVs in parking lot.
Industry•by Lauren Lawrence•September 15, 2026

Used-Vehicle Affordability Worsens

Listing prices in August defied seasonal trends, rising above $27,000 for the second time this year.

Read More →