Texas retailers must stop selling smokable hemp again as legal battle continues

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Published  May 7, 2026 11:13am CDT
FOX Local

View of hemp flowers at Empire Standard, a hemp extract processing and distribution plant, on April 13, 2021 in Binghamton, New York.  (Photo by ANGELA WEISS/AFP via Getty Images)

The Brief

    • Smokable hemp products will once again be pulled from Texas shelves after the state appealed last week's ruling that blocked the Department of State Health Services from enforcing the ban.
    • State attorneys filed the appeal on Tuesday and the Texas Hemp Business Council said the appeal would allow the rules to take effect while the case is heard.
    • Advocates for the hemp industry say the rules would essentially force them to discard a large amount of inventory, and run them out of business. They also argue that the increased fees essentially amount to an "unconstitutional occupation tax."

AUSTIN, Texas - Smokable hemp products will once again be pulled from the selves of Texas retailers after the state appealed the most recent ruling.

Lawyers for the state filed an appeal Tuesday against last week's ruling that extended the pause on the smokable hemp ban. In response, the lawyers representing the hemp industry filed to keep the injunction in place while the case moves through the court system.

According to the Texas Hemp Business Council, the appeal paused the temporary injunction and allows the Department of State Health Services' rules to be enforced.

What they're saying:

"The State appealed the injunction we won in Travis County this week on Tuesday," Texas Hemp Business Council posted on X. "Because of that, the injunction is temporarily paused, and the DSHS rules are enforceable. We filed an emergency motion yesterday asking to put the injunction back in place while the case continues. This process could take 1-3 weeks."

The backstory:

DSHS enacted regulations on consumable hemp-derived products March 31. The rule required child-resistant packaging and testing. It also set a 0.3% THC limit for consumable hemp products, and hiked licensing fees for retailers from about $250 to $10,000 in some cases.

Advocates for the hemp industry say the rules would essentially force them to discard a large amount of inventory, and run them out of business. They also argue that the increased fees essentially amount to an "unconstitutional occupation tax."

Attorneys for the state argue that the rule is a public safety necessity. They call THC-A, a non-intoxicating compound found in most smokable hemp products, "marijuana in waiting" since it converts to an intoxicating form of THC called Delta-9 when heated.

The Source: Information in this article comes from the Texas Hemp Business Council, filings in Travis County District Court and previous FOX Local reporting.

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