The attempt by Texas officials to ban hemp-derived delta-8 THC products continues despite a recent court decision favoring the businesses involved.
The Texas Court of Appeals for the Third District at Austin on Sept. 28 upheld an injunction preventing the Department of State Health Services (DSHS) from listing delta-8 and other THC isomers as Schedule I controlled substances, originating from a 2021 action.
This ruling aligns with a federal appeals court that recognizes delta-8 as legal under the 2018 Farm Bill, which legalized hemp but did not explicitly address its intoxicating derivatives.
Delta-8 THC can be naturally found in cannabis or synthesized from CBD and delta-9 THC, as noted by Dr. Ethan Russo, M.D., CEO of CReDO Science.
The 2018 Farm Bill’s definition of hemp includes plants containing up to 0.3% THC. This allows the production of items containing significant amounts of THC, enabling companies to legally distribute such products nationwide.
The plummeting price of CBD oil has made delta-8 products an attractive alternative for businesses seeking profitability amidst Texas’ restrictive medical cannabis regulations.
In 2022, Texas-based cannabis businesses generated over $8 billion in revenue and provided jobs for over 50,000 workers. A significant portion of this income came from CBD and converted cannabinoid retail sales.
Hometown Hero has been at the forefront of the legal battle against delta-8 prohibitions. The recent court decision supports both the burgeoning industry and consumers dependent on these products.
The company, along with other stakeholders, challenged the DSHS’ scheduling actions, citing violations of the Texas Administrative Procedure Act (APA), which mandates public input before such rule implementations.
The court found in favor of the appellants, underscoring the “probable, imminent, and irreparable” harm caused by the DSHS’ actions, impacting businesses and individuals reliant on these products for health reasons.
The case’s outcome may not be final as state representatives could escalate it to the Texas Supreme Court, but the anticipated 2023 Farm Bill may override current legislation, offering clarity on hemp-derived cannabinoid products.
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