Takeaways

  • New compliance requirements are coming: Texas agencies will soon roll out stricter rules on age verification, labeling, and retailer obligations.
  • Retailers face heightened risk: Noncompliance could result in loss of permits and increased enforcement by multiple state agencies.
  • Costs may rise: Licensing fees and compliance expenses are expected to increase, reshaping the competitive landscape.

On September 10, 2025, Texas Governor Greg Abbott issued Executive Order GA-56 to impose more rigorous regulations on THC products derived from hemp. The order comes amid legislative gridlock on how to regulate or ban hemp-derived THC products, as we previously reported on July 24 and July 7.

Key Provisions of EO GA-56Continue Reading Texas Issues New Executive Order on Hemp-Derived THC Products: What It Means for Industry and Lawmakers

Takeaways

  • The Second Circuit invalidated New York’s cannabis licensing rules for discriminating against out-of-state applicants.
  • The Court ruled that social equity goals cannot justify residency-based advantages.
  • This Decision adds to a growing circuit split that could reach the U.S. Supreme Court.

On Tuesday, August 12, the U.S. Court of Appeals for the Second Circuit became the second federal appellate court to invalidate a state cannabis licensure program that discriminates against out-of-state residents.Continue Reading Second Circuit Says Social Equity Goals Cannot Justify Discriminatory Application Process

Flat-fee training prepares your team for inspections, reduces risk, and helps avoid penalties

Recent reporting showed that in 2024, the Michigan Cannabis Regulatory Agency (CRA) issued more than twice the number of violations of any other cannabis-legal state. This immediately followed CRA changing its inspection practice to a “no notice” basis. In response, Dykema has launched a new flat-fee Compliance & Risk Mitigation Training program designed to help cannabis businesses proactively prepare for CRA inspections, avoid violations, and protect their licenses.

Why This Matters Now

Continue Reading Protect Your License: Dykema Launches Michigan Cannabis Compliance & Risk Mitigation Training

Takeaways

  • The Texas Senate is advancing Senate Bill 5 (SB 5), which would impose one of the strictest bans on hemp-derived THC products in the nation, including criminal penalties for manufacturers, distributors, and consumers.
  • SB 5 defines “detectable” THC with vague thresholds, creating potential compliance challenges and legal uncertainty for the hemp industry.
  • Governor Abbott favors a regulated THC system with low milligram caps over a full prohibition, setting up ongoing tension with Senate leadership.

The Texas Legislature kicked off a special session Monday, July 21, 2025, to address more than a dozen matters, including responding to Governor Greg Abbott’s recent veto of a full THC ban (as previously reported). Now that the first week of Senate action has concluded, it’s obvious that the Senate is not backing down. The Senate State Affairs Committee unanimously reported out Senate Bill 5 (SB 5), which, like the vetoed Senate Bill 3, would ban virtually all consumable hemp-derived THC products. Like its predecessor, SB 5 would impose criminal penalties on manufacturers, distributors, and consumers of any product containing a detectable amount of THC, with narrow exceptions for non-psychoactive cannabinoids such as CBD and CBG.Continue Reading Texas Senate Continues to Push Broad Ban on Hemp-Derived THC in Special Session

Key Takeaways:

  • Texas’s attempt to ban hemp-derived THC products failed—for now. Senate Bill 3, which would have banned products like delta-8, was vetoed, leaving current laws in place. A special session beginning July 21 with consumable hemp regulation is at the top of the agenda.
  • Arkansas’s Act 629 survives federal challenge. The Eighth Circuit ruled that it does not conflict with the 2018 Farm Bill and is not unconstitutionally vague.
  • States may continue to diverge on hemp policy. The Eighth Circuit decision reinforces states’ authority to tightly regulate or prohibit intoxicating hemp products, adding to a patchwork legal landscape that cannabis and hemp businesses must navigate carefully.

As every reader of this blog should know, on June 21, 2025, Texas Governor Greg Abbott vetoed Senate Bill 3, a measure that would have effectively banned consumable hemp products containing THC and imposed infeasible costs and regulations on other hemp products. In his veto message, Abbott pointed to a then-active federal court decision that had blocked enforcement of Arkansas’s similar hemp law, suggesting it demonstrated legal vulnerability in banning these products.Continue Reading Texas Governor’s Hemp Product Veto Highlights National Legal Uncertainty—Even as Cited Ruling Is Overturned