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Circuit Court Ruling for Arkansas Renders Texas Governor’s Hemp Veto Argument Moot

Published
11 hours agoon

A federal court vacated a preliminary injunction on June 24 that had been blocking Arkansas from implementing a ban on certain hemp-derived cannabinoids, including delta-8 THC, for the past two years.
Arkansas Gov. Sarah Huckabee Sanders signed Senate Bill 358 (Act 629) into law in April 2023, legislation to prohibit intoxicating hemp-derived cannabinoids by classifying a list of tetrahydrocannabinols as Schedule VI substances in the state. That list included delta-8, delta-9 and delat-10 THC, among other compounds.
The intent of the Arkansas General Assembly and Sanders was to stop the production and sale of intoxicating substances derived from federally compliant industrial hemp, as defined under the 2018 Farm Bill. State lawmakers and the governor specifically had concerns with products derived from industrial hemp that were produced as a result of a synthetic chemical process.
While Act 629 took effect in August 2023, U.S. District Judge Billy Roy Wilson placed a preliminary injunction on its implementation five weeks later after a quartet of cannabis-related businesses filed a lawsuit claiming that the ban violates the U.S. Constitution’s Supremacy, Due Process, Takings and Commerce clauses.
The plaintiff businesses include Bio Gen LLC, Drippers Vape Shop LLC, Cigarette Store LLC (d/b/a Smoker Friendly) and Sky Marketing Corp. (d/b/a Hometown Hero)—collectively, “Bio Gen.”
Wilson also denied a motion to dismiss that Sanders, Attorney General Tim Griffin and other Arkansas officials filed in the Eastern District Court. In part, the district court judge ruled that Bio Gen would likely succeed on the merits of its Supremacy Clause claim because the 2018 Farm Bill likely preempted Act 629.
However, the U.S. Court of Appeals for the Eighth Circuit reversed the lower court’s ruling this week, dealing a victory to the Arkansas officials.
“The text of the 2018 Farm Bill shows only that Congress wanted to facilitate state legalization of hemp, if a state wants to. Congress allows states to legalize hemp by removing the biggest hurdle—federal criminalization,” Eighth Circuit Judge Jonathan Allen Kobes wrote in the June 24 ruling.
Kobes said that, under the 2018 Farm Bill, Congress authorized the U.S. Department of Agriculture to allow states to apply for and receive the primary regulatory authority over their in-state hemp production programs.
Under the 2018 Farm Bill, states cannot interfere with the interstate commerce of hemp by preventing the continuous transportation of federally compliant materials through their borders. The Eighth Circuit ruled that Act 629 does not do that.
“The [2018 Farm Bill] text does not support Bio Gen’s claim that Congress intended to ‘federally protect hemp’ and coercively mandate nationwide legality,” the judge wrote. “States may obtain primary regulatory authority over hemp production. And with that primary regulatory authority, states may ‘regulate the production of hemp’ in any manner ‘more stringent than [the 2018 Farm Bill].’”
In other words, it’s the Eighth Circuit Court’s opinion that just because states may legalize hemp under the 2018 Farm Bill does not mean they are required to, nor does it mean they have to utilize the federal definition of hemp: a plant that tests at or below 0.3% delta-9 THC by dry-weight during a pre-harvest field test.
“This is a huge victory for the state and a great step towards protecting generations of Arkansas’ children from the dangers of synthetic marijuana,” Sanders said on social media following Tuesday’s court decision.
The American Trade Association for Cannabis and Hemp (ATACH), which filed an amicus brief in December 2023 supporting Arkansas officials, provided a statement to Cannabis Business Times in support of the Eighth Circuit’s decision.
“ATACH welcomes today’s Eighth Circuit ruling, which affirms the right of states to regulate intoxicating hemp-derived products and provides clarity to state lawmakers seeking to address these products in their states,” ATACH Vice President of Policy Chris Lindsey said.
The Eighth Circuit’s opinion holds jurisdiction in seven states: Arkansas, Iowa, Minnesota, Missouri, Nebraska, North Dakota and South Dakota.
Still, when Texas Gov. Greg Abbott vetoed legislation late Sunday night that would have banned consumable hemp products with trace amounts of THC in the Lone Star State, he pointed to neighboring Arkansas.
In his veto proclamation, Abbott argued that had he signed Senate Bill 3, its enforcement would have been enjoyed for years, leaving public health and safety concerns related to intoxicating hemp products unaddressed.
“In 2023, Arkansas enacted Senate Bill 358, which (like this bill) would have criminalized hemp products that Congress expressly legalized in the 2018 Farm Bill,” Abbott wrote on June 22, two days before the Eighth Circuit’s ruling.
“[The 2018 Farm Bill] converted hemp and hemp products from contraband to lawful commodities. The Arkansas law was challenged, and a federal court swiftly halted it in its entirety, finding it was likely preempted by federal statutes and that its criminal provisions were likely unconstitutionally vague,” Abbott wrote. “The result in Arkansas? Their law has sat dormant, meaningless, having no effect for nearly two years while further legal proceedings play out. That result must be avoided in Texas.”
RELATED: Texas Governor Vetoes Ban on Hemp Products, Calls For Special Session to Regulate THC
Instead of signing S.B. 3 to prohibit intoxicating hemp products in Texas, Abbott included the legislation as one of five bills for legislators to address during a 30-day special session slated to begin July 21, recommending they instead craft a regulatory framework for hemp products similar to alcohol.
The following day, Texas Lt. Gov. Dan Patrick, who spearheaded S.B. 3’s passage as the presiding officer in the state Senate, accused his GOP ally in the governor’s office of wanting to “legalize recreational marijuana.”
“That’s the headline, folks, because that’s what his proclamation does,” Patrick said during a June 23 press conference. “Now, whether it’s unintentional and he didn’t think through it, or whether it’s intentional, that’s the result of the veto.”
Patrick also questioned whether the state’s hemp businesses were running terrorist or cartel money laundering schemes, claiming that someone told him to “I better watch my step.” The lieutenant governor also asked, “Who convinced [Abbott] on his staff from the outside to kill Senate Bill 3?”
Patrick also reaffirmed that the governor indicated to him that he would sign S.B. 3, saying that he was puzzled by the last-minute veto because of the broad support for the legislation by lawmakers and law enforcement officials.
Patrick pointed to the 105 of 108 Republicans in the Texas Legislature who supported S.B. 3, suggesting that Abbott should have respected that near-unanimous backing for the bill.
“The governor and I will work together in the future, and we’ll disagree from time to time, but this is a fight that didn’t need to be,” he said.
Patrick also targeted Abbott’s inclusion of the Arkansas injunction in his veto proclamation, calling into question the governor’s argument that S.B. 3 would be subject to “valid constitutional challenges.” Abbott leaned on his background as a former Texas Supreme Court Justice and state attorney general in making that conclusion.
Despite Abbott’s law background, Patrick said the governor’s argument was “flawed.”
“We believe the Eighth Circuit will stand with Arkansas,” said Patrick, whose prediction came true the next day. “And so, if that happens while we’re going through this charade, then what’s the governor going to say? ‘Oh, I guess I was wrong about Arkansas?’”
Patrick said it should not matter if the same legal battle unfolds in the U.S. Fifth Circuit Court of Appeals, which holds jurisdiction over Texas.
“Since when did we care who sued us when we passed a bill?” the lieutenant governor asked. “We deal with lawsuits all the time, so that shouldn’t be a surprise.”
Following the Eighth Circuit Court’s ruling on June 24, Patrick posted an I-told-you-so message on X, indicating that he’ll fight to maintain S.B. 3’s prohibition language in the upcoming special session.
“As I said yesterday at my press conference, it appeared to my legal team and me that Arkansas would win this case and be able to ban THC,” he wrote. “It won’t be long before 8,000 smoke and vape shops will be out of business in Texas. All we have to do is pass S.B. 3, just like we passed during the regular session.”

Author: mscannabiz.com
MScannaBIZ for all you Mississippi Cannabis News and Information.
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Marijuana Industry Workers Are The Happiest In Any Job Sector In The U.S., Survey Finds

Published
1 hour agoon
June 25, 2025
Hourly workers in the marijuana industry rank at the top of the list of “happiest” employees across multiple sectors—with more than 9 in 10 reporting a “positive sentiment” in their job—according to a new survey.
The annual Shift Pulse Report from the workforce management platform Deputy gauged how hourly workers felt about their jobs in 10 common industries—from cannabis to cleaning services to firearms.
While the overall finding of the report is that American workers are becoming less happy, with the happiness sentiment down to 78.5 percent in 2025 compared to 80 percent the prior year, the sector with the most content employees work at marijuana or e-cigarette/tobacco businesses.
A total of nearly 92 percent of cannabis and tobacco hourly workers said they feel positively about their jobs. By contrast, that sentiment is shared by 91 percent of hourly employees at catering, 90 percent in cafes, 90 percent of those in dentistry, 89 percent in gyms, 87 percent in firearms, 86 percent in sit-down restaurants, 84 percent in cleaning services and 83 percent in childcare.
“This may reflect stronger workplace culture and wage competitiveness in newer, regulated industries that prioritize employee retention as they scale rapidly,” Deputy said.
It’s also notable that cannabis sector hourly workers report higher levels of happiness in their trade considering that the industry faces unique challenges under federal prohibition, which has included an outsized risk of being targeted in robberies since many marijuana businesses operate in a largely cash-based environment.
“This year’s happiest industry sectors reveal a growing trend: purpose, predictability, and a sense of control over one’s workday matter just as much—if not more—than prestige or pay alone,” the report says. “For employers looking to improve sentiment, these industries offer practical lessons in team cohesion, autonomy, and culture-building.”
The “unhappiest sectors” among American hourly workers are those in pharmaceuticals (14 percent), delivery and postal services (14 percent), animal health (12 percent), doctor’s offices (12 percent), outpatient care centers (10 percent) and other hospitality services (8 percent).
“The 2025 Shift Pulse Report reveals sharp divides across the U.S. in how shift workers feel about their jobs—with sentiment driven not just by geography, but also by local economic conditions, industry makeup, and cultural attitudes toward work,” Deputy said.
“For employers and policymakers, this is a call to action: where people live still heavily influences how they feel about the work they do—and no single national strategy will solve for sentiment without considering these local realities,” the report concludes.
The report is based on an analysis of 1,515,790 Shift Pulse survey responses submitted by shift workers across the U.S. between April 2024 and April 2025.
Marijuana workers might rank among the happiest among various sectors, but they’re not without their set of challenges. Beyond the limited banking issue, there has also been a push to ensure that these employees are able to enter into labor peace agreements—a policy that’s been built into legalization laws in several states.
A federal judge recently struck down a voter-approved Oregon law that required licensed marijuana businesses enter into such agreements with workers and mandated that employers remain neutral in discussions around unionization.

Author: mscannabiz.com
MScannaBIZ for all you Mississippi Cannabis News and Information.
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Ohio Lawmakers Cancel Another Hearing On Bill To Alter Voter-Approved Marijuana Legalization Law Amid GOP Disagreements

Published
2 hours agoon
June 25, 2025
“We are going to push pause. We’re going to take the summer and come back and potentially take another crack at it.”
By Megan Henry, Ohio Capital Journal
Ohio lawmakers will likely go on summer break without making any changes to the state’s marijuana law, a Republican state representative said Tuesday.
For the second week in a row, Ohio Senate Bill 56 was up for a possible vote out of the Ohio House Judiciary Committee, but both times the vote did not take place.
Once the bill is voted out of committee, it can be brought to the House floor for a vote. The Senate passed the bill in February.
Last week, the bill was removed from the committee agenda and this week the committee meeting—which only had S.B. 56 on the agenda—was canceled.
“We are going to push pause,” state Rep. Brian Stewart, R-Ashville, said when asked about the marijuana bill. “We’re going to take the summer and come back and potentially take another crack at it.”
Ohio House Speaker Matt Huffman, R-Lima, said the Senate raised more than a dozen issues related to S.B. 56 last week.
“I just told my caucus, ‘We’re not going to just say, OK, because we’re so anxious to pass the marijuana bill, which I’d like to get it done, but we’re not going to give up House priorities to do that,’” he said last week.
The lawmakers are currently working on the state’s two-year operating budget, which Ohio Gov. Mike DeWine (R) must sign before July 1. The lawmakers will go on summer break after the budget is finished.
S.B. 56 would reduce the THC levels in adult-use marijuana extracts from a maximum of 90 percent down to a maximum of 70 percent, limit the number of active dispensaries to 400 and prohibit smoking in most public places.
It would keep Ohio’s home grow the same at a limit of six plants per person and 12 plants per residence. State Sen. Steve Huffman, R-Tipp City, introduced the bill in January and the bill originally would have limited Ohio’s home grow from 12 plants down to six.
Ohioans passed a citizen-initiated law to legalize recreational marijuana in 2023 with 57 percent of the vote, and sales started in August 2024. Ohio lawmakers can change the law since it passed as a citizen initiative not a constitutional amendment.
“The people of Ohio spoke very clearly on this issue,” said Ohio House Minority Leader Dani Isaacsohn, D-Cincinnati. “They knew what they were voting on, and they voted to pass adult-use cannabis recreationally here in the state of Ohio.”
Intoxicating hemp products
The House has made significant changes to S.B. 56, most notably adding regulations to intoxicating hemp products.
As the bill currently stands, only a licensed marijuana dispensary would be able to sell intoxicating hemp products that have been tested and complied with packaging, labeling and advertising requirements.
The Ohio Department of Commerce would regulate intoxicating hemp products and drinkable cannabinoid products. Grocery stores, carryout stores, bars, and restaurants would continue to be able to sell drinkable cannabinoid products.
Isaacsohn agrees there should be regulations around intoxicating hemp products, but wants it to happen through a “clean bill.”
“It is so tied up in trying to overturn the will of the voters,” he said. “If we had a clean bill to fairly regulate intoxicating hemp, we could have voted on it months ago, years ago… There are so many common sense things that we agree on, and when the majority brings forward a clean bill, we would be happy to vote for it.”
The 2018 Farm Bill says hemp can be grown legally if it contains less than 0.3 percent THC.
State Rep. D.J. Swearingen, R-Huron, was planning on introducing amendments to the bill’s hemp provisions during Tuesday’s committee meeting, but that didn’t happen since the meeting was canceled.
The American Republic Policy worked with Swearingen on the amendments which would have allowed licensed hemp companies in Ohio to continue to operate their retail stores and create a unified regulatory framework for hemp and marijuana products, said Dakota Sawyer of American Republic Policy.
“The same regulations that would apply to marijuana under the Ohio administration code would apply to hemp products as well,” he said. “We are ensuring that we do not have state-sanctioned monopolies in the state of Ohio, that federally legal hemp products can be accessed through independent businesses, and that they would not be forced to go into dispensaries.”
Sawyer said forcing hemp products into only dispensaries would eliminate market competition.
“We want to ensure that there are options out for people, to ensure that they are able to purchase what they love, what they would want…and to ensure that we do not have state-sanctioned monopolies,” he said.
State Rep. Jennifer Gross, R-West Chester, said 3,000 hemp businesses would close if S.B. 56 passes as it currently stands—with hemp products only being sold in dispensaries.
“We need to reward the good actors,” she said. “We need to ID check our hemp products when it is consumable. We also need to allow these businesses to stay open.”
Wesley Bryant, company owner of 420 Craft Beverages in Cleveland, said he already does many of the things that are outlined in the proposed amendment.
“Every square inch of my facility is fully covered by cameras,” he said. “We have a full track and traceability of everything that comes into my facility. We even go so far as to double check IDs. And my doors stay locked throughout the day. You have to be buzzed in order to enter the facility.”
DeWine and various lawmakers have expressed safety concerns for children when it comes to hemp products, but Sawyer said the average age of an Ohio hemp customer is 40 years old.
“It’s not geared towards children,” Sawyer said. “What some legislators have done is created this mystical boogeyman that says that all these hemp people are doing all these crazy things that are attracting minors. And essentially we’re saying, let’s punish the bad actors that are doing that, but let’s not punish the good guys for that.”
But Adrienne Robbin, deputy executive director of Ohio Cannabis Coalition (OHCANN), said Ohio children are being put at risk by intoxicating hemp products.
“It’s a sad day for all Ohioans that we’re going to continue to see these illicit products be sold in our state over the summer,” she said. “These products are being marketed to [children] specifically,” she said. “I think the hemp industry is really good at pulling a few good actors out and highlighting them, but the reality is, the majority of these products are illicit.”
Sawyer said he would prefer to see the legislation as two separate bills—one with marijuana regulations and a separate one with hemp regulations.
“Marijuana and hemp are totally separate in terms of the industry and products,” he said.
This story was first published by Ohio Capital Journal.
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Photo courtesy of Chris Wallis // Side Pocket Images.

Author: mscannabiz.com
MScannaBIZ for all you Mississippi Cannabis News and Information.
featured
Ohio Lawmakers Cancel Another Hearing On Bill To Alter Voter-Approved Marijuana Legalization Law Amid GOP Disagreements

Published
2 hours agoon
June 25, 2025
“We are going to push pause. We’re going to take the summer and come back and potentially take another crack at it.”
By Megan Henry, Ohio Capital Journal
Ohio lawmakers will likely go on summer break without making any changes to the state’s marijuana law, a Republican state representative said Tuesday.
For the second week in a row, Ohio Senate Bill 56 was up for a possible vote out of the Ohio House Judiciary Committee, but both times the vote did not take place.
Once the bill is voted out of committee, it can be brought to the House floor for a vote. The Senate passed the bill in February.
Last week, the bill was removed from the committee agenda and this week the committee meeting—which only had S.B. 56 on the agenda—was canceled.
“We are going to push pause,” state Rep. Brian Stewart, R-Ashville, said when asked about the marijuana bill. “We’re going to take the summer and come back and potentially take another crack at it.”
Ohio House Speaker Matt Huffman, R-Lima, said the Senate raised more than a dozen issues related to S.B. 56 last week.
“I just told my caucus, ‘We’re not going to just say, OK, because we’re so anxious to pass the marijuana bill, which I’d like to get it done, but we’re not going to give up House priorities to do that,’” he said last week.
The lawmakers are currently working on the state’s two-year operating budget, which Ohio Gov. Mike DeWine (R) must sign before July 1. The lawmakers will go on summer break after the budget is finished.
S.B. 56 would reduce the THC levels in adult-use marijuana extracts from a maximum of 90 percent down to a maximum of 70 percent, limit the number of active dispensaries to 400 and prohibit smoking in most public places.
It would keep Ohio’s home grow the same at a limit of six plants per person and 12 plants per residence. State Sen. Steve Huffman, R-Tipp City, introduced the bill in January and the bill originally would have limited Ohio’s home grow from 12 plants down to six.
Ohioans passed a citizen-initiated law to legalize recreational marijuana in 2023 with 57 percent of the vote, and sales started in August 2024. Ohio lawmakers can change the law since it passed as a citizen initiative not a constitutional amendment.
“The people of Ohio spoke very clearly on this issue,” said Ohio House Minority Leader Dani Isaacsohn, D-Cincinnati. “They knew what they were voting on, and they voted to pass adult-use cannabis recreationally here in the state of Ohio.”
Intoxicating hemp products
The House has made significant changes to S.B. 56, most notably adding regulations to intoxicating hemp products.
As the bill currently stands, only a licensed marijuana dispensary would be able to sell intoxicating hemp products that have been tested and complied with packaging, labeling and advertising requirements.
The Ohio Department of Commerce would regulate intoxicating hemp products and drinkable cannabinoid products. Grocery stores, carryout stores, bars, and restaurants would continue to be able to sell drinkable cannabinoid products.
Isaacsohn agrees there should be regulations around intoxicating hemp products, but wants it to happen through a “clean bill.”
“It is so tied up in trying to overturn the will of the voters,” he said. “If we had a clean bill to fairly regulate intoxicating hemp, we could have voted on it months ago, years ago… There are so many common sense things that we agree on, and when the majority brings forward a clean bill, we would be happy to vote for it.”
The 2018 Farm Bill says hemp can be grown legally if it contains less than 0.3 percent THC.
State Rep. D.J. Swearingen, R-Huron, was planning on introducing amendments to the bill’s hemp provisions during Tuesday’s committee meeting, but that didn’t happen since the meeting was canceled.
The American Republic Policy worked with Swearingen on the amendments which would have allowed licensed hemp companies in Ohio to continue to operate their retail stores and create a unified regulatory framework for hemp and marijuana products, said Dakota Sawyer of American Republic Policy.
“The same regulations that would apply to marijuana under the Ohio administration code would apply to hemp products as well,” he said. “We are ensuring that we do not have state-sanctioned monopolies in the state of Ohio, that federally legal hemp products can be accessed through independent businesses, and that they would not be forced to go into dispensaries.”
Sawyer said forcing hemp products into only dispensaries would eliminate market competition.
“We want to ensure that there are options out for people, to ensure that they are able to purchase what they love, what they would want…and to ensure that we do not have state-sanctioned monopolies,” he said.
State Rep. Jennifer Gross, R-West Chester, said 3,000 hemp businesses would close if S.B. 56 passes as it currently stands—with hemp products only being sold in dispensaries.
“We need to reward the good actors,” she said. “We need to ID check our hemp products when it is consumable. We also need to allow these businesses to stay open.”
Wesley Bryant, company owner of 420 Craft Beverages in Cleveland, said he already does many of the things that are outlined in the proposed amendment.
“Every square inch of my facility is fully covered by cameras,” he said. “We have a full track and traceability of everything that comes into my facility. We even go so far as to double check IDs. And my doors stay locked throughout the day. You have to be buzzed in order to enter the facility.”
DeWine and various lawmakers have expressed safety concerns for children when it comes to hemp products, but Sawyer said the average age of an Ohio hemp customer is 40 years old.
“It’s not geared towards children,” Sawyer said. “What some legislators have done is created this mystical boogeyman that says that all these hemp people are doing all these crazy things that are attracting minors. And essentially we’re saying, let’s punish the bad actors that are doing that, but let’s not punish the good guys for that.”
But Adrienne Robbin, deputy executive director of Ohio Cannabis Coalition (OHCANN), said Ohio children are being put at risk by intoxicating hemp products.
“It’s a sad day for all Ohioans that we’re going to continue to see these illicit products be sold in our state over the summer,” she said. “These products are being marketed to [children] specifically,” she said. “I think the hemp industry is really good at pulling a few good actors out and highlighting them, but the reality is, the majority of these products are illicit.”
Sawyer said he would prefer to see the legislation as two separate bills—one with marijuana regulations and a separate one with hemp regulations.
“Marijuana and hemp are totally separate in terms of the industry and products,” he said.
This story was first published by Ohio Capital Journal.
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Photo courtesy of Chris Wallis // Side Pocket Images.

Author: mscannabiz.com
MScannaBIZ for all you Mississippi Cannabis News and Information.

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