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California Hemp Industry Sues to Overturn Ban on Consumable Products

Cheech and Chong’s Company Sues to Overturn California Hemp Product Ban

A group of hemp industry members, including Cheech and Chong’s cannabis company, have filed a lawsuit against the California Department of Public Health (CDPH) to overturn a new ban on most consumable hemp products in the state. The ban, which took effect on September 24, prohibits hemp products with any detectable amount of total THC, and limits non-intoxicating products to five servings per package and sale to adults 21 and older.

The lawsuit, filed on behalf of the U.S. Hemp Roundtable and several individual businesses, argues that the ban is based on a faulty declaration of “emergency” and that regulators failed to effectively implement hemp regulation legislation enacted in 2021. The plaintiffs claim that the ban will devastate the emerging hemp industry, which consists mainly of small business owners.

The ban has the support of Governor Gavin Newsom, who has expressed concern about the proliferation of unregulated hemp products, including those containing intoxicating cannabinoids, in California. Newsom has stated that the industry has failed to police itself and that the ban is necessary to protect public health.

However, opponents of the ban argue that it is overly broad and will harm medical patients who rely on high-CBD hemp extracts to treat serious conditions. They also argue that the ban will drive the industry underground, making it harder to regulate and ensuring that untested and unregulated products continue to flood the market.

The lawsuit seeks to overturn the ban and restore the status quo ante, allowing hemp products with detectable amounts of THC to be sold legally in California. The plaintiffs are also seeking a temporary restraining order to prevent enforcement of the ban while the litigation proceeds.

In related news, a federal appeals court has ruled that cannabinoids derived from hemp, such as THC-O-acetate, are legal under the 2018 Farm Bill. The ruling has sparked debate among cannabis industry stakeholders about how to address hemp-derived cannabinoids, with some advocating for a ban on semi-synthetic cannabinoids and others arguing that the industry should be allowed to self-regulate.

The California hemp industry has faced unique regulatory hurdles since the state legalized hemp in 2018. Despite the challenges, the industry has continued to grow, with some estimates suggesting that it is larger than all state marijuana markets combined. However, the ban has raised concerns about the long-term viability of the industry and the potential for further regulation and restrictions.