Although Texas has a medical marijuana program, as established by the Texas Compassionate Use Act in 2015, only three “Dispensing Organizations” have been granted licenses by the Texas Department of Safety (“DPS”) to cultivate, process, and dispense low-THC cannabis (up to a 0.5 percent THC limit as of the date of this blog) in Texas to prescribed patients. See 37 Tex. Admin. Code § 12.1. Texas is a vertically integrated state, meaning that the Dispensing Organization must cultivate, process, package, and dispense the medical marijuana.
Yesterday, our office filed a lawsuit against the Texas Department of State Health Services (“DSHS”) on behalf of our client, Crown Distributing LLC (“Crown”), challenging the smokable hemp bans in Texas. A copy of our filed Petition can be accessed here.
In June of 2020, the Financial Crimes Enforcement Network (“FinCEN”) issued updated guidance regarding the Bank Secrecy Act/Anti-Money Laundering (“BSA/AML”) regulations for hemp-related business consumers. Financial institutions must do their due diligence for customers, but especially for hemp-related businesses, as the legalities and recommended practices are continually changing. Additionally, the National Credit Union Administration (“NCUA”) recently put forth further guidance for credit unions serving hemp-related businesses. As the hemp industry continues to progress, the banking industry is actively organizing their expectations and guidelines to keep up and simplify hemp-related interactions. Below, we summarize each of these resources to give you the straightforward essentials.
The Texas Department of State Health Services (“DSHS”) adopted and published its final rules governing the Texas consumable hemp program (the “DSHS Final Rules”) to the Texas Register. The DSHS Final Rules become effective on August 2, 2020. Any potential changes to the statute governing our hemp program will not occur until the Texas Legislature reconvenes in January of 2021.
To the detriment of many in the Texas hemp industry, the DSHS Final Rules only slightly diverge from the DSHS Proposed Rules. Our prior blog series on the DSHS Proposed Rules provided an in-depth analysis of the proposed DSHS rules. This blog focuses on the changes made by DSHS in the adopted Final Rules.
As the cannabis, hemp, and cannabidiol (CBD) industries continue to boom, legal cannabis businesses often find themselves in need of legal counsel. But how do you choose a hemp lawyer? The answer may depend on your specific situation. However, there are a few critical things to look for in a cannabis or hemp attorney. Below, we break down three key characteristics to help you identify an experienced hemp lawyer for all of your legal cannabis, hemp, or CBD needs.
As cannabidiol (CBD) continues to grow in popularity, the industry is becoming increasingly competitive. CBD business owners have been forced to resort to creative measures in their marketing efforts. Many CBD companies often ignore the various rules and regulations associated with CBD advertising online. However, it is important for CBD businesses and entrepreneurs to pursue compliant marketing strategies for their products to avoid account suspensions, government enforcement actions, or other business interruptions.
As the legalization of cannabis and cannabis-related products continues to make progress, keeping legalities straight can be challenging. The rise of the cannabidiol (CBD) industry has also led to an abundance of misinformation online and in the media, making it harder for the average consumer to find the right answers to their questions. But cannabis, hemp, hemp derivatives, CBD, and marijuana continue to gain popularity, and it is important to fully understand what is legal and what is not. Below, we have put together a comparison between the legalities of marijuana and the legalities of hemp as a thorough examination and differentiation.
We are pleased to announce that attorney Chelsie Spencer has been selected by Thomson Reuters as a Super Lawyers Rising Star of 2020.
Super Lawyers is a rating service for exceptional lawyers that covers over 70 areas of practice. Only 2.5% of lawyers in each state are selected as Rising Stars by Super Lawyers. These lawyers are selected based on independent research, peer nominations, and peer evaluations.
Over the next few days, hemp attorney Chelsie Spencer will be addressing issues that she has noted with the United States Department of Agriculture’s (“USDA”) proposed program rules, the Texas Department of Agriculture’s (“TDA”) Revised Interim Program Rules, and the Texas Department of State Health Services (“DSHS”). Keep in mind that these rules are all in their proposed period and that now is the time for the public to provide input. Today, we will be highlighting issues with the USDA’s program rules.
Comments on the USDA Interim Rules may be submitted HERE.
After learning the application and hemp license holder requirements in Part I of this Series and the rules and procedures regarding the sampling and testing of hemp in Part II, it is now time to turn to the TDA plan’s provisions covering violations, license suspension and revocation, hemp transportation, and hemp seed requirements.
As a hemp license holder, if you violate the TDA plan, it is imperative to comply with any enforcement action or corrective action plan imposed by the TDA in order to avoid any further negative consequences for you and/or your hemp operations.