A Michigan court denied Carvana Co.'s request to block the state's Oct. 7 suspension of its operating license over titling and registration issues.
In an opinion filed Wednesday, state Court of Claims Judge Thomas Cameron wrote Carvana's bid for a temporary restraining order against Michigan Secretary of State Jocelyn Benson failed to demonstrate "sufficient danger" of the suspension causing irreparable harm to its reputation and operations. Cameron wrote it was unlikely Carvana would lose its market foothold or see its competitors attempt to "replicate" its purchasing process in the short time span covered by a temporary restraining order.
He also concluded the state did not deny Carvana due process in the matter. Because the Michigan Department of State found Carvana's purported violations of the Michigan Vehicle Code to be a risk to public safety, it was "statutorily permitted" to suspend the company's license without a hearing, Cameron wrote in his opinion.