From Reform to Rebellion: Legal and Legislative Shifts in Louisiana’s Hemp Industry

On January 1, 2025, new laws surrounding tetrahydrocannabinol (THC) and cannabidiol (CBD) products took effect in Louisiana. These changes significantly tighten THC limits, age restrictions, labeling requirements, and penalties while increasing oversight on hemp processors, wholesalers, and retailers. This article is intended to shed light on the recent changes to Louisiana’s hemp laws, including major updates to labeling requirements, new restrictions on which retailers can sell specific products, and bans on hemp flower and inhalable products such as vapes. Additionally, it will explore a recent lawsuit filed against various state officials by members of the Louisiana hemp community in response to these regulatory changes.

Under the revised law of Act No. 752, a “consumable hemp product” is now defined as, “any product derived from industrial hemp that contains any cannabinoid, including cannabidiol or THC, and is intended for consumption or topical use.” This addition of THC to the definition marks a notable shift. By explicitly including THC in the definition, the state is broadening the category of what qualifies as a regulated hemp product. With THC explicitly in the definition, enforcement agencies now have a clear mandate to regulate and restrict any product that contains any form of THC. This means more products are now subject to stricter regulation. Louisiana legislators also added a revision to define those products that are not considered consumable hemp products. Though the new law does not specifically list which products are consumable hemp products are acceptable, the Louisiana Department of Health provides guidance in an attempt to clarify what types of products are not allowed to be registered or sold in Louisiana under the current law, stating, “Statutory language prohibits consumable hemp products in forms intended for inhalation. In addition, due to the potential for confusion, LDH is not registering products such as suppositories, injections, infusions, implants or similar forms that are traditionally associated with pharmaceuticals.”

Previously, there were no clear requirements for retailers to verify the age of people attempting to purchase a hemp product. The new law now requires retailers to verify the age of any person attempting to purchase or receive a consumable hemp product prior to the sales transaction of the product by requiring a purchaser to produce a valid federal or state issued photo identification card. Louisiana residents may utilize their state digitized identification card. Along with verifying age requirements, retailers now must maintain all consumable hemp products in a location that is inaccessible to the public without the assistance of an employee. The only exception to that rule is consumable hemp beverages.

The new regulations also prohibit retailers that sell gasoline, essentially gas stations, from selling consumable hemp products. However, some qualified truck stops are exempt from the ban. Likewise, many businesses that hold permits which allow them to sell alcoholic beverages for consumption on the premises, like bars and restaurants, are now banned from selling consumable hemp products. However, establishments that previously obtained permits to sell consumable hemp products are grandfathered in and may continue to sell hemp beverages. It is estimated that only around 220 bars and restaurants in Louisiana currently hold these rare and highly coveted “unicorn” permits, making their ability to legally sell certain hemp products a tightly regulated privilege.

Further restrictions include a ban on the sale of alcoholic beverages containing hemp. It also prevents the sale of any consumable hemp product for inhalation, in addition to the sale of floral hemp material. The law also reduces the amount of THC allowed per serving from 8 mg to 5 mg per serving while the total THC per package is capped at 40 mg. A single consumable hemp beverage cannot exceed 5 mg of THC and cannot be less than 12 ounces, with a maximum of four individual containers per package.

Manufacturers and processing companies were also significantly impacted by the new laws. Perhaps the biggest change that has taken place is the new labeling requirements. The new law requires that labels must clearly state the amount of THC per serving and per package, include a scannable QR code or link to lab test results, and warn that THC consumption may cause a failed drug test. For non-beverage products, the packaging must be child resistant, and the new law also bans packaging that appeals to children. Additionally, labels may not include medical claims. According to the Louisiana Department of Health, medical claims include, but are not limited to: “for sleep”, “melatonin”, “for digestion”, “for digestive purposes”, “cure”, “treat”, “heal”, “cancer”, “relieve”, “pain”, “ache”. All hemp products sold in Louisiana are now required to undergo review and receive approval from the Louisiana Department of Health, while also meeting strict quality and safety standards.

Together, these sweeping changes represent a major shift in how hemp products are regulated, sold, and consumed in Louisiana. By tightening THC limits, enhancing labeling and packaging standards, restricting who can sell specific products, and banning certain forms like hemp flower and vapes, the state has drawn a clear line on public safety and consumer transparency. As the landscape evolves, both consumers and businesses will need to stay informed and compliant with these heightened standards to operate lawfully in Louisiana’s hemp marketplace.

Though the new law took effect in January 2025, all members of the Louisiana hemp community did not welcome the changes with open arms. Prior to the law taking effect and on October 18, 2024, the Hemp Association of Louisiana and Cypress Hemp, LLC, a Louisiana hemp manufacturer, filed for declaratory and injunctive relief seeking to halt the law’s enactment alleging in pertinent part that Act 752 is unconstitutional, violates the 2018 Farm Bill, and ultimately, that the plaintiffs businesses and as well as the Louisiana hemp industry’s growth would be severely impacted.

The Defendants, Louisiana’s Governor and Attorney General, Jeff Landry and Liz Murrill, along with the District Attorney of East Baton Rouge Parish, Hillar Moore, filed their Motion to Dismiss and Opposition to the Plaintiffs’ Motion for Preliminary Injunction on November 19, 2024. The gist of the Defendants’ argument is that the Plaintiffs’ claims should be dismissed for lack of subject matter jurisdiction and because Plaintiffs failed to state a claim for relief under the Farm Bill. Presiding over this matter is the Honorable John W. deGravelles, district judge for the Middle District of Louisiana. Judge deGravelles set a hearing to hear arguments regarding the above-mentioned pleadings on December 13, 2024 wherein the Defendants’ Motion to Dismiss was granted. However, Judge deGravelles granted the Plaintiffs leave to amend their complaint and refile their motion for a preliminary injunction.

The Plaintiffs, on December 17, 2024, filed their Amended Complaint for Declaratory and Injunctive Relief now only naming as Defendants, Ernest P. Legier, Jr., Deputy Commissioner of Louisiana Alcohol and Tobacco Control and Michael Harrington, former Secretary of Louisiana Department of Health, who has since retired. The Plaintiffs’ arguments were similar to their original request for declaratory and injunctive relief, alleging in pertinent part that Act 752 is unconstitutional and that it violates the 2018 Farm Bill. As an alternative argument, the Plaintiffs argued that Act 752 deregulates hemp derived products, including but not limited to, products intended for consumption or topical use and contain more than 0.3 percent total THC concentration by dry weight but less than or equal to 0.3 percent total delta-9 THC concentration by dry weight or “Farm Bill Products”.

The Defendants filed their Motion to Dismiss and Opposition to Plaintiffs’ Second Motion for Preliminary Injunction on January 22, 2025. The newly named Defendants argued that there was a lack of subject matter jurisdiction and that the claims that Act 752 violate the 2018 Farm Bill and deregulates Farm Bill Products fail. Oral Argument was held on March 27, 2025 before Judge deGravelles when the Plaintiffs requested permission to amend the complaint. After careful consideration, the Court permitted Plaintiffs to file a formal motion to amend the complaint. On April 11, 2025, the Plaintiffs filed their Motion to Amend Complaint. At the time this article was written, the Defendants had not yet filed responsive pleadings.

As litigation continues, the outcome of this case could have far-reaching implications for the future of hemp regulation not only in Louisiana but potentially across other states navigating the balance between federal hemp protections and state-level restrictions. While Act 752 remains in effect, the legal challenges underscore the tension between industry stakeholders and regulatory authorities, highlighting unresolved questions surrounding the scope of the 2018 Farm Bill and the limits of state power in regulating hemp-derived products. The court’s forthcoming decisions will be closely watched by policymakers, businesses, and legal practitioners alike.