Loading…
Texas hemp court fight, Missouri's hemp ban, North Carolina opens medical door, Virginia bill in limbo, and Indiana's surprise pivot.
By Hightree Team for The Canopy
April 28, 2026 · 4 min read
The aftermath of federal rescheduling is rippling through every state. Here's what's happening on the ground.
The legal fight over Texas's smokeable hemp ban returned to court this week as the hemp industry argued for an extended pause on the rules. The April 28 hearing focused on whether to extend the temporary restraining order that has kept smokeable hemp products on shelves since April 10. The economic stakes are enormous — Texas hemp businesses and consumers are estimating billions in annual impact, with 13,000+ stores potentially affected. Attorney General Ken Paxton's office argued the rules are necessary; industry attorneys called the fee hikes and product bans an "entire bait and switch" by regulators. The judge has not yet issued a final ruling.
Sources: KXAN Austin, KHOU, KVUE, Denton Record-Chronicle, FOX 7 Austin
While other states are loosening, Missouri is tightening. Governor Kehoe signed legislation banning intoxicating hemp THC products to align with federal recriminalization plans. The ban affects hemp-derived edibles, beverages, and concentrates — products that have proliferated in Missouri's legal vacuum. Critics in the Kansas City Star op-ed pages accused the governor and legislature of "betraying President Trump on hemp," noting the federal administration has actually been pushing to keep full-spectrum CBD legal. The Missouri ban may face legal challenges similar to those filed in Texas and Ohio.
Sources: Marijuana Moment, Kansas City Star
North Carolina lawmakers are revisiting medical marijuana legalization in light of federal rescheduling. The state has been one of the largest unregulated cannabis markets in the country, and the federal Schedule III change has shifted the political math. Advocates argue that with federal recognition of medical cannabis utility, the remaining Republican objections to a state program have weakened significantly. The state-appointed advisory council recently called for regulating the "wild west" market. Whether this translates to actual legislation remains uncertain — North Carolina has discussed medical marijuana for years without action.
Sources: Marijuana Moment, WRAL, Daily Tar Heel
Virginia's recreational cannabis market plan remains stuck. Lawmakers rejected Governor Spanberger's proposed amendments that would have delayed the launch by six months, leaving the bill in legal and political limbo. The governor now faces a binary choice: sign the original bill (without her requested changes) or veto it entirely. Cannabis advocates are pressing her to sign, arguing that any further delay continues to penalize Virginia consumers and operators. The decision will define her cannabis legacy and could shape how future Democratic governors approach legalization implementation.
Sources: Virginia Mercury, WUSA9
In a notable shift, Indiana's Republican governor directed state agencies to meet with medical marijuana advocates — a meaningful departure from the state's longstanding opposition to any cannabis reform. The federal rescheduling appears to be giving political cover to Republican governors who want to move on medical access without appearing to defy their party's traditional drug-war stance. Governor Braun separately described himself as "agnostic" on medical marijuana legalization, signaling a more open position than his predecessors.
Sources: Marijuana Moment, WTHR
Maryland's governor signed a bill providing employment protections for firefighters and rescue workers who use medical cannabis off-duty. The law shields these public safety professionals from discriminatory drug testing and adverse employment actions for legal medical use during their personal time. Pennsylvania, Virginia, and other states have passed similar measures in recent weeks — a quiet but meaningful trend that aligns workplace policy with the reality of medical cannabis programs. As we covered yesterday, federal rescheduling may accelerate this trend by undermining the legal basis for cannabis-based employment discrimination across all industries.
Sources: Marijuana Moment, NORML, CBS News
A reality check from Marijuana Moment: the booming cannabis beverage category has an evidence problem. Despite explosive retail growth, the industry lacks robust data on dosing consistency, onset times, and consumer behavior. As regulators (and bar owners — see Colorado's Westword op-ed this week) debate whether THC drinks should be served in taverns alongside alcohol, the absence of solid research is becoming a liability. With federal rescheduling now opening the door to expanded clinical research, the beverage segment may finally get the studies it needs to mature.
Source: Marijuana Moment
The DEA begins accepting applications from state-licensed medical marijuana businesses, marking the first concrete step in implementing Schedule III rescheduling.
State-by-state rescheduling fallout, Trump urges Congress on hemp, IRS tax guidance coming, and 70% of Americans support legalization.
The DOJ ordered cannabis moved from Schedule I to Schedule III, ending 56 years of the most restrictive federal classification and unlocking tax relief and research access.