A provision slipped into the spending package signed into law to reopen the government effectively reverses a key part of the 2018 Farm Bill, which federally legalized hemp.
Key takeaways:
- The Reversal: The new language significantly narrows the federal definition of "hemp." It effectively bans most intoxicating hemp-derived cannabinoid products, including popular items containing Delta-8 THC, THCA flower, and certain synthetic cannabinoids.
- The Impact: This move is set to outlaw almost all consumable hemp products that have proliferated across the country since 2018, putting an estimated 300,000+ jobs and countless small businesses—from farmers to retailers—at risk.
- The Timeline: The new prohibition doesn't take effect immediately, providing a one-year grace period (until late 2026) before the tougher restrictions on hemp-derived THC products kick in. This window is a critical "lifeline" for the industry to mobilize for legislative or legal action.
You can review the full text of the legislation and its provisions here:
https://www.congress.gov/bill/119th-congress/house-bill/5371
This is a stark reminder of how quickly policy can change and the profound impact that those changes can have on entire industries.
This regulatory whiplash is great for lawyers like me, whose job it is to help businesses navigate the ever-changing regulatory landscape. It’s bad for everyone else.
By Jon Dedon, Kennyhertz Perry, LLC
About Kennyhertz Perry, LLC
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