Dykema Obtains Preliminary Injunction Blocking Mackinac Island Ordinance Regulating Ferry Operators

Dykema, a leading national law firm, announced today that a litigation team from the firm secured a preliminary injunction in federal court on behalf of Shepler’s Inc. and Mackinac Island Ferry Company, effectively blocking the City of Mackinac Island from enforcing a newly adopted ordinance that sought to impose extensive new regulatory controls on ferry operations.

The ruling, issued by Judge Robert J. Jonker of the U.S. District Court for the Western District of Michigan, prevents the City from enforcing Ordinance No. 629, which was set to take effect July 1, 2025. The ordinance aimed to give the City broad authority over ferry fares and services, including the regulation of parking and luggage fees, despite the existence of a current franchise agreement between the parties.

Judge Jonker’s opinion found a strong likelihood that Dykema’s clients would succeed on the merits of their claims and held that neither party has the unilateral authority to determine when competition has ceased under the agreement. He further noted that upholding the status quo was in the best interest of both the public and the parties—particularly during the Island’s busy summer season.

“This case involves not just questions of municipal authority, but fundamental principles of contract law,” said Mark Magyar, who led the Dykema team. “We are pleased the Court recognized the importance of preserving the parties’ long-standing agreement while these issues are resolved.”

The injunction ensures that ferry operations to and from Mackinac Island can continue under existing terms, providing critical continuity for residents, businesses, and the millions of tourists who visit the Island each year.

In addition to Magyar, Rick Aaron and Steve Liedel were members of the Dykema litigation team.

The case remains pending.