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Hemp industry of Tennessee makes last-minute bid to preserve their industry

In December 2024, Tennessee’s hemp industry faced a significant challenge due to new state regulations. The Tennessee Department of Agriculture introduced rules set to take effect on December 26, 2024, aiming to ban the sale of certain hemp products that had been legally available since 2019.

These regulations targeted products containing tetrahydrocannabinolic acid (THCA), a non-intoxicating compound found in hemp plants. When heated, THCA converts into delta-9 THC, the psychoactive component of marijuana. The new rules proposed measuring the combined concentration of delta-9 THC and THCA, prohibiting products exceeding a 0.3% threshold.

The hemp industry in Tennessee, generating an estimated $280 to $560 million in annual sales, viewed these regulations as a threat to their businesses. Retailers and producers argued that the rules would lead to immediate store closures and employee layoffs. They contended that the Department of Agriculture overstepped its authority by effectively outlawing products that the state legislature had not banned.

In response, two industry groups—the Tennessee Healthy Alternatives Association and the Tennessee Growers Coalition—filed legal challenges seeking to block the implementation of the new rules. They argued that the regulations would devastate the burgeoning hemp industry and negatively impact consumers who rely on these products for relief from various conditions.

On December 23, 2024, Davidson County Chancellor I’Ashea Myles issued a temporary injunction, delaying the enforcement of the new regulations until February 18, 2025. This decision provided a temporary reprieve for the hemp industry, allowing businesses to continue operations while the court gained a deeper understanding of the proposed testing methods.

The Department of Agriculture stated that it respected the court’s decision and looked forward to a final resolution. The outcome of this legal battle will significantly impact the future of hemp-derived products in Tennessee and could set a precedent for how such products are regulated in other states.

As the situation develops, stakeholders in the hemp industry and consumers alike are closely monitoring the proceedings, understanding that the court’s final decision will have far-reaching implications for the availability and legality of cbd hemp-derived products in Tennessee.

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Update as of Dec 23rdJudge temporarily blocks the law

A Nashville judge has temporarily halted new state product testing rules that were set to take effect this week, which would have banned the sale of popular hemp products legally sold in Tennessee since 2019.

In a decision issued late Monday, Davidson County Chancellor I’Ashea Myles granted a temporary injunction, delaying the implementation of these rules until February 18. This pause allows the court to gain a better understanding of the proposed testing before making a final ruling on the legal challenges contesting the rules.