Was tge restaurant aloud to refuse me liqour for having an out of state id?

I have not seen part of my family forever since they have moved. We planned on going to the bar having some drinks and playing arcade games there. I was actually the only one who had an out of state id out of everyone there. For reference this was in Michigan. I live in and my id is from Oklahoma. This establishment ruined my night because when the waitress asked for my id she said they don’t except out of state it’s. Now ladies and gentleman I did not want to be that guy but I was like well can I see the manager here I mean I am clearly of age I am 25. So then the manager came over and said that the waitress was right and they would not serve me. Then I had to be one of the only ones sober which was lame. My family actually apparently comes to this place a lot and now they said thet might not be returning after they did this to me.