Hemp businesses sue Texas health agency over product testing criteria

August 20, 2026 - 23:40

A coalition of Texas hemp companies has taken legal action against the Texas Department of State Health Services, challenging the agency's recently adopted product testing requirements. The businesses argue that the new criteria go beyond what state law allows and impose unfair burdens on the industry.

The lawsuit, filed in a Travis County court, focuses on specific testing protocols that the hemp businesses say are not aligned with the Texas Hemp Farming Act. According to the plaintiffs, the health agency's rules demand testing for certain compounds and contaminants in ways that are stricter than the statutory framework intended. They claim this creates confusion and financial strain, especially for smaller operators who already face tight margins.

At the heart of the dispute is how the state defines a compliant hemp product. The businesses contend that the agency is effectively rewriting the law through regulation, adding requirements that were never approved by the legislature. They are asking the court to block enforcement of these rules and to clarify the legal standards for testing.

The Texas Department of State Health Services has not yet issued a public response to the lawsuit. Industry observers say the outcome could have significant implications for the state's hemp market, which has grown rapidly since legalization. For now, the businesses are seeking an injunction to halt the rules while the case moves forward, hoping to avoid disruptions to their operations during the busy retail season.