
Daniel T. McKillop
Partner
201-896-7115 dmckillop@sh-law.comFirm Insights
Author: Daniel T. McKillop
Date: March 2, 2020
Partner
201-896-7115 dmckillop@sh-law.comNew bi-partisan federal legislation would authorize the U.S. Food and Drug Administration (FDA) to regulate hemp-derived cannabidiol (CBD) products as dietary supplements and allow companies to lawfully market the products as such. The bill would also require a study and report from the U.S. Department of Agriculture (USDA) on the regulatory and market barriers for farmers engaged in hemp production.
“The last two Farm Bills were landmark successes for hemp, but we are still very early in this process, and growers need regulatory certainty,” Rep. Collin Peterson (D-MN), chairman of the House Agriculture Committee and sponsor of the bill, said in a press release. “This bill will allow the FDA to regulate CBD that comes from hemp as a dietary supplement, providing a pathway forward for hemp-derived products.”
While the 2018 Farm legalized hemp, along with CBD products derived from it, the growth of the industry has been hampered by the FDA’s position that companies marketing CBD products should be required to prove that they are safe and effective, much like is required for pharmaceuticals.
The 2018 Farm Bill did not alter the authority of the FDA to regulate hemp under applicable FDA laws, such as the Federal Food, Drug, and Cosmetic Act (FD&C Act). Currently, the FDA treats products containing CBD the same way it treats other FDA-regulated products, which means that any product intended to have a therapeutic or medical use, and any product (other than a food) that is intended to affect the structure or function of the body of humans or animals, is a drug subject to the FDA approval process.
While the FDA has been taking a discretionary approach, it has sent warning letters to companies that it believes are making unsubstantiated health claims about their CBD products. Late last year, Curaleaf became one of the most well-known cannabis companies to draw the ire of the FDA. While the FDA is working to establish a regulatory path for CBD, it has stated that the process could take years.
The federal bill, H.R. 5587, would break the regulatory statement by amending the FD&C Act with respect to the regulation of hemp-derived CBD and hemp-derived CBD containing substances. The change would allow hemp-derived CBD to be marketed in dietary supplements and as food and beverage additives.
H.R. 5587 is co-sponsored by Rep. Chellie Pingree (D-ME), James Comer (R-KY) and Thomas Massie (R-KY). The sponsors, along with other Congressional supporters of the hemp industry, including Senate Majority Leader Mitch McConnell (R-KY), argue that Congress intended to legalize the marketing and sale of hemp-based products under the 2018 Farm Bill.
H.R. 5587 also requires the USDA to determine if there are other regulatory roadblocks for the hemp industry. The USDA would specifically be required to research the costs of implementing a hemp testing program, the costs of destroying hemp with excess THC content, the “feasibility” of the testing timeline farmers must follow and “other known or potential challenges” related to participation in a domestic hemp market. The USDA would be required to issue a report on its findings within one year of the bill’s enactment.
Following its introduction, H.R. 5587 was referred to the Agriculture and Energy and Commerce Committees. We will continue to track the status of the CBD legislation and provide updates.
If you have any questions or if you would like to discuss the matter further, please contact me, Dan McKillop, or the Scarinci Hollenbeck attorney with whom you work, at 201-806-3364.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Your home is likely your greatest asset, which is why it is so important to adequately protect it. Homeowners insurance protects you from the financial costs of unforeseen losses, such as theft, fire, and natural disasters, by helping you rebuild and replace possessions that were lost While the definition of “adequate” coverage depends upon a […]
Author: Jesse M. Dimitro
Making a non-contingent offer can dramatically increase your chances of securing a real estate transaction, particularly in competitive markets like New York City. However, buyers should understand that waiving contingencies, including those related to financing, or appraisals, also comes with significant risks. Determining your best strategy requires careful analysis of the property, the market, and […]
Author: Jesse M. Dimitro
Business Transactional Attorney Zemel to Spearhead Strategic Initiatives for Continued Growth and Innovation Little Falls, NJ – February 21, 2025 – Scarinci & Hollenbeck, LLC is pleased to announce that Partner Fred D. Zemel has been named Chair of the firm’s Strategic Planning Committee. In this role, Mr. Zemel will lead the committee in identifying, […]
Author: Scarinci Hollenbeck, LLC
Big changes sometimes occur during the life cycle of a contract. Cancelling a contract outright can be bad for your reputation and your bottom line. Businesses need to know how to best address a change in circumstances, while also protecting their legal rights. One option is to transfer the “benefits and the burdens” of a […]
Author: Dan Brecher
What is a trade secret and why you you protect them? Technology has made trade secret theft even easier and more prevalent. In fact, businesses lose billions of dollars every year due to trade secret theft committed by employees, competitors, and even foreign governments. But what is a trade secret? And how do you protect […]
Author: Ronald S. Bienstock
If you are considering the purchase of a property, you may wonder — what is title insurance, do I need it, and why do I need it? Even seasoned property owners may question if the added expense and extra paperwork is really necessary, especially considering that people and entities insured by title insurance make fewer […]
Author: Patrick T. Conlon
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
New bi-partisan federal legislation would authorize the U.S. Food and Drug Administration (FDA) to regulate hemp-derived cannabidiol (CBD) products as dietary supplements and allow companies to lawfully market the products as such. The bill would also require a study and report from the U.S. Department of Agriculture (USDA) on the regulatory and market barriers for farmers engaged in hemp production.
“The last two Farm Bills were landmark successes for hemp, but we are still very early in this process, and growers need regulatory certainty,” Rep. Collin Peterson (D-MN), chairman of the House Agriculture Committee and sponsor of the bill, said in a press release. “This bill will allow the FDA to regulate CBD that comes from hemp as a dietary supplement, providing a pathway forward for hemp-derived products.”
While the 2018 Farm legalized hemp, along with CBD products derived from it, the growth of the industry has been hampered by the FDA’s position that companies marketing CBD products should be required to prove that they are safe and effective, much like is required for pharmaceuticals.
The 2018 Farm Bill did not alter the authority of the FDA to regulate hemp under applicable FDA laws, such as the Federal Food, Drug, and Cosmetic Act (FD&C Act). Currently, the FDA treats products containing CBD the same way it treats other FDA-regulated products, which means that any product intended to have a therapeutic or medical use, and any product (other than a food) that is intended to affect the structure or function of the body of humans or animals, is a drug subject to the FDA approval process.
While the FDA has been taking a discretionary approach, it has sent warning letters to companies that it believes are making unsubstantiated health claims about their CBD products. Late last year, Curaleaf became one of the most well-known cannabis companies to draw the ire of the FDA. While the FDA is working to establish a regulatory path for CBD, it has stated that the process could take years.
The federal bill, H.R. 5587, would break the regulatory statement by amending the FD&C Act with respect to the regulation of hemp-derived CBD and hemp-derived CBD containing substances. The change would allow hemp-derived CBD to be marketed in dietary supplements and as food and beverage additives.
H.R. 5587 is co-sponsored by Rep. Chellie Pingree (D-ME), James Comer (R-KY) and Thomas Massie (R-KY). The sponsors, along with other Congressional supporters of the hemp industry, including Senate Majority Leader Mitch McConnell (R-KY), argue that Congress intended to legalize the marketing and sale of hemp-based products under the 2018 Farm Bill.
H.R. 5587 also requires the USDA to determine if there are other regulatory roadblocks for the hemp industry. The USDA would specifically be required to research the costs of implementing a hemp testing program, the costs of destroying hemp with excess THC content, the “feasibility” of the testing timeline farmers must follow and “other known or potential challenges” related to participation in a domestic hemp market. The USDA would be required to issue a report on its findings within one year of the bill’s enactment.
Following its introduction, H.R. 5587 was referred to the Agriculture and Energy and Commerce Committees. We will continue to track the status of the CBD legislation and provide updates.
If you have any questions or if you would like to discuss the matter further, please contact me, Dan McKillop, or the Scarinci Hollenbeck attorney with whom you work, at 201-806-3364.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!