A major legal battle over Texas’ evolving hemp laws is getting underway this week, as the Texas Hemp Business Council prepares to challenge new state regulations that could significantly reshape the industry.
The dispute centers on recently passed laws that tighten restrictions on hemp-derived products, particularly those containing compounds like delta-8 THC. Industry leaders argue the changes go too far and threaten to dismantle a market that has grown rapidly since hemp was legalized at the federal level in 2018.
Supporters of the new regulations, including several Texas lawmakers and public health advocates, say the measures are necessary to close loopholes and protect consumers—especially children—from unregulated and potentially harmful products.
The updated rules place stricter limits on THC content, labeling, and the sale of certain hemp-derived cannabinoids. Retailers could face new compliance requirements, and some products currently sold in stores may be banned outright.
State officials backing the law argue that many hemp products on the market have skirted the intent of earlier legislation, effectively allowing intoxicating substances to be sold outside of the state’s regulated marijuana framework.
The Texas Hemp Business Council and other industry groups say the regulations are overly broad and could devastate small businesses across the state.
“The legal team we have working on this is the best in the entire country for this specific purpose,” said Lukas Gilkey, founder and CEO of Hometown Hero. “We chose them for a reason.”
Gilkey is expected to be included in the lawsuit.
They argue that many hemp-derived products are legal under federal law and that Texas is overstepping by imposing restrictions that conflict with national standards. Business owners also warn of job losses and economic fallout if the rules are enforced as written.
“THC-A flower is a new interpretation of what has been on the market, this legal market for six years,” said Cynthia Cabrera, founder of the Texas Hemp Business Council.
Critics of the law say it unfairly targets responsible operators while failing to address bad actors directly.
On the other side of the debate, law enforcement groups and some lawmakers insist the changes are long overdue.
They point to concerns about mislabeled products, inconsistent potency, and the availability of psychoactive substances in convenience stores and smoke shops. Advocates say the tighter rules will bring clarity to the marketplace and reduce risks to public health.
There is also growing concern among parents and educators about the accessibility of hemp-derived THC products to minors, despite age restrictions.
The legal challenge expected this week could determine how—and whether—the new rules are enforced. A court decision may clarify the balance between state authority and federal hemp laws, a question that has sparked similar disputes across the country.
For now, both sides are preparing for what could be a lengthy legal fight with significant implications for Texas businesses and consumers alike.
