10 Alabama CBD Stores Raided Ahead of July 1 Hemp Crackdown; Four Companies Sue Over New Law
The June 23 operation was led by the Alabama Law Enforcement Agency’s State Bureau of Investigation (SBI) in coordination with local police, the FBI, and district attorney offices. The raids targeted stores in Troy, Enterprise, Clanton, Wetumpka and Montgomery, following a yearlong investigation into complaints from community members.
Authorities say they seized large amounts of cannabis, paraphernalia, and other drug-related items. Although no arrests have been made, SBI Major Crimes Chief Shawn Loughridge called the seizures “a major step forward in holding these businesses accountable.”
The products in question, officials allege, were labeled and sold as legal hemp but exceeded the state’s 0.3% THC limit. Under current Alabama law, hemp products with more than 0.3% delta-9 THC are illegal outside the state’s medical marijuana program, which has yet to launch due to legal delays.
SBI Director Chris Inabinett said new testing capabilities now allow the agency to determine THC levels with greater accuracy. “No amount of clever packaging or marketing is going to change the legal definition of hemp,” he stated. Officials also warned that some products were packaged to look like candy or snacks, potentially appealing to children.
Alabama Attorney General Steve Marshall went further, claiming the products were marijuana, not hemp. “This is an illegal marijuana operation,” he said. “Either way, it’s illegal activity for which we’ll be vigilant in making sure that we enforce.”
The raids come just ahead of a new law, House Bill 445, which takes effect July 1. The law bans the sale of smokable hemp and synthetic cannabinoids like delta-8 and delta-10, while giving the Alabama Alcoholic Beverage Control Board authority to license and inspect hemp retailers. It also prohibits online sales, bans sales to those under 21, and imposes a 10% excise tax.
Four hemp businesses filed a lawsuit against Governor Kay Ivey and Attorney General Marshall on June 27, calling the law unconstitutional. They argue its vague definitions make it impossible to know what’s prohibited, potentially violating due process. The lawsuit also claims the law could interfere with federally protected hemp commerce.
While some provisions of HB 445 won’t take effect until January 1, 2026, the ban on smokable and synthetic products begins July 1. Violations could carry felony penalties of up to 10 years in prison.
Despite officials’ insistence that the raids were unrelated to HB 445, 12th Judicial Circuit District Attorney James Tarbox said signage like “dispensary-grade THC” and the sale of synthetic urine were red flags. “That means one thing to me: You’re selling marijuana,” he said.
The Alabama Cannabis Coalition warned more raids may be coming, stating online that businesses selling flower should “protect yourselves and be safe.”
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