We use cookies for certain features and to improve your experience. See our Cookie Policy and Privacy Policy to learn more

Leafly

Shop legal, local weed.

Open
advertise on Leafly
ShopDeliveryDispensariesDealsStrainsBrandsProductsLeafly PicksCBDDoctorsCannabis 101Social impact
  • Sign in
  • Create account
  • Strains
  • Shop
  • Shop
  • Delivery
  • Deals
  • Dispensaries
  • CBD Stores
  • Brands
  • Products
  • Leafly Picks
  • Learn
  • Cannabis 101
  • News
  • Leafly Learn
  • Science of cannabis
  • Doctors
  • Social impact
  • Lab partners
  • Download the Leafly App
  • Advertise on Leafly
    • Leafly.comUSA flag
    • Leafly.caCanadian flag
  • Help
  1. Home
  2. News
  3. Politics
  4. Companies Sue DEA Over Recent CBD Rule
  • News
  • Cannabis 101
  • Growing
  • Strains & products
  • CBD
  • Politics
  • Health
  • Lifestyle
  • Science & tech
  • Industry
  • Reports
  • Canada
  • Podcasts
  • Leafly Lists
Politics

Companies Sue DEA Over Recent CBD Rule

Gage PeakeLast updated July 28, 2020

Two hemp-related companies and an industry association filed a lawsuit against the U.S. Drug Enforcement Administration (DEA) this afternoon in a California federal court, seeking to overturn the DEA’s attempt last month to codify the illegality of cannabidiol (CBD).

The DEA’s final rule, called the “Establishment of New Drug Code for Marihuana Extract,” was published on Dec. 14, 2016. While officially dealing with a technicality about the classification of cannabis products, the rule included a clause that specifically declared CBD, a non-intoxicating component of cannabis, to be a Schedule I substance. The insertion of that clause could be potentially devastating to thousands of patients and businesses who rely on and produce CBD products. A number of industry officials and legal experts immediately cast doubt on the legality of the DEA’s move.

The Hemp Industries Association joined with RMH Holdings and Centuria Natural Foods to challenge the DEA’s rule. The group is being advised by the Hoban Law Group, a cannabis-focused law firm based in Denver.

“The DEA cannot create a statute,” Bob Hoban, the firm’s managing partner, told Leafly in an interview last month. “That can only be done by Congress.”

The lawsuit charges that the final rule published by the DEA in the Federal Register last month “creates a new drug code without the DEA having followed the procedures or made the findings required” by the Controlled Substances Act.

The DEA’s Final Rule takes the position that the mere presence of any cannabinoid extracted from the Cannabis plant automatically renders that substance a “marihuana extract,” despite no cannabinoid except for (synthetic) THC being expressly scheduled under the Controlled Substances Act

The suit asks the federal court to review the final rule on the grounds that is arbitrary, capricious, and unconstitutional.

Shop highly rated dispensaries near you

Showing you dispensaries near
See all dispensaries
  • Loading...
    Loading...Loading...
    Loading...
    Loading...Loading...
    Loading...Loading...
  • Loading...
    Loading...Loading...
    Loading...
    Loading...Loading...
    Loading...Loading...
  • Loading...
    Loading...Loading...
    Loading...
    Loading...Loading...
    Loading...Loading...
  • Loading...
    Loading...Loading...
    Loading...
    Loading...Loading...
    Loading...Loading...
  • See all dispensaries
See all dispensaries
cbdDEA
Gage Peake
Gage Peake
Gage Peake is a former staff writer for Leafly, where he specialized in data journalism, sports, and breaking news coverage. He's a graduate of the University of Nebraska-Lincoln's College of Journalism and Mass Communications.
View Gage Peake's articles

The latest in Politics

  • Cannabis rescheduling just sped up: What you need to know about the executive order image
    Cannabis rescheduling just sped up: What you need to know about the executive order
    Morgan Rosendale
  • How US import tariffs are impacting cannabis prices and products image
    How US import tariffs are impacting cannabis prices and products
    Leafly Staff
  • Ohioans must activate to defend cannabis freedoms from lawmakers image
    Ohioans must activate to defend cannabis freedoms from lawmakers
    David Downs
  • Montanans must activate to protect legalization in 2025 image
    Montanans must activate to protect legalization in 2025
    David Downs
Get good reads, local deals, and strain spotlights delivered right to your inbox.

By providing us with your email address, you agree to Leafly's Terms of Service and Privacy Policy.



Stay In Touch

Receive updates on new products, special offers, and industry news.

Something went wrong, please try again.

By providing us with your email address, you agree to Leafly’s Terms of Service and Privacy Policy.

Leafly mobile app
Get high for less.
Download the Leafly app.
Download Leafly: Marijuana Reviews on the App StoreDownload Leafly Marijuana Reviews on Google Play

Business Solutions
  • List your store
  • List your CBD store
  • List your brand
  • List your practice
  • Business log in

About Leafly
  • About us
  • Careers
  • Newsroom
  • Investor relations
  • Contact us
  • FAQs
  • Accessibility

Dispensaries in
  • Los Angeles
  • Seattle
  • Portland
  • San Francisco
  • Toronto
  • Detroit

Privacy & Terms
  • Terms of use
  • Commercial terms of use
  • Privacy policy
  • Do not sell my personal information

* Statements made on this website have not been evaluated by the U.S. Food and Drug Administration. These products are not intended to diagnose, treat, cure or prevent any disease. Information provided by this website or this company is not a substitute for individual medical advice.


© 2025 Leafly, LLC
Leafly and the Leafly logo are registered trademarks of Leafly, LLC. All Rights Reserved.