LEGAL

PHOTO CREDIT: © MIRO- STOCK. ADOBE. COM by STEVE SCHAIN

Are cannabis drinks in trouble? Although the government, through an Appropriates Bill, wants to severely restrict the hemp-derived intoxicating products market, three separate legislative efforts seek to diffuse the Appropriations Bill’ s potential explosiveness.

First, what are hemp-derived intoxicating beverages and why are they so popular? The loophole is that these products fall outside of the Controlled Substance Act’ s narrow marijuana definition. They are hemp-derived products that rely on synthetic forms of THC, mirroring naturally occurring Delta−9 THC’ s effects( i. e. what gets you stoned). In short, the products have a legal form of Delta−9 THC without the same license requirements, hence why you can buy them online and at local retailers.

Hemp is a fast-growing, sustainable and inexpensively produced variety of the Cannabis sativa L. plant. The Farm Bill both legalized hemp and its derivatives, and removed Cannabis sativa L. containing no more than 0.3 % Delta−9 THC on a dry-weight basis from the Controlled Substance Act. But you can synthesize the hemp to amplify the naturally occurring THC, resulting in the hemp-derived intoxicating products you find on store shelves.

Hemp-derived intoxicants have exploded nationally. For instance, Texas reported $ 5.5 billion of annual sales of hemp-derived intoxicating Beverages. Because they can be sold at major retailers including Target, Circle K and Total Wine, mainstream retail outlets like grocery and convenience stores, and liquor stores, bars and restaurants, hemp derived intoxicating Products instantly became popular.

However, in light of concerns surrounding the proliferation of intoxicating hemp products, the aforementioned Appropriations Bill reversed the Farm Bill’ s legalizing of hemp and its derivatives, and subjected them to the Controlled Substances Act and DEA’ s purview, resulting in massive commercial hemp products ban as of November 12, 2026. In other words, the Appropriations Bill would close the current loophole, because under the new bill, to qualify as legal " hemp,” it must maintain a Total THC concentration of not more than 0.3 % on a dry weight basis, and not exceed 0.4 MGs total THC per container.

Legally, the Appropriations Bill eliminates interstate commerce for hemp and hemp products exceeding the 0.4 MGs total THC threshold. Operationally, the Appropriations Bill derails most of hemp cultivation and hemp-derived products’ manufacture and sales. However, there are several efforts underway to derail the Appropriations Bill’ s massive changes.

First, on December 12, 2025, the Cannabinoid Safety and Regulation Act was re-introduced. This seeks to establish more moderate THC limits on hemp and hemp products for states that do not enact their own caps. For example, the Cannabinoid Safety and Regulation Act allows up to 10 MGs of total THC per hemp-derived intoxicating beverage, and gives the FDA the power to ensure safety standards are met, including prohibiting marketing hemp-derived intoxicating products to children. Second, on January 10, 2026, a bipartisan bill was filed seeking to delay the Appropriations Bill implementation for two years up to November 12, 2028.

Third, on January 22, 2026, bipartisan congressional lawmakers introduced the Hemp Enforcement, Modernization, and Protection Act, allowing consumable hemp products sales to adults 21 and older. This act also imposes regulatory restrictions, including that packaging couldn’ t appeal to youth, is tamper-proof, lists all cannabinoids and includes a QR code linking to a certificate of analysis.

The Hemp Enforcement, Modernization, and Protection Act also prohibits producers from adding substances“ with effects that could interact with cannabinoids or enhance or alter their effects”( ex., alcohol, caffeine, tobacco, nicotine, or melatonin), manufacturing and testing requirements( including registering facilities) and a 5MG / serving and 30MG / package total cannabinoid cap on intoxicating cannabinoid products.

As you can see, things are by no means set in stone. To keep up to date with current information and news on this topic, follow our newsletter at Malkin. Law.•

This article is for information and education purposes only. Steve Schain is Of-Counsel at Malkin Law, a law firm focused on serving the needs of the beverage industry. What do you want us to cover in our next column? We want to hear from you. Shoot us a note through our website at Malkin. Law

10 Beverage Dynamics • Spring 2026 www. beveragedynamics. com