A May 1, 2026 Texas Supreme Court ruling declared manufactured cannabis products such as Delta-8 unlawful, reverting to a 2021 definition of tetrahydrocannabinols (THC) as a controlled substance.
What's happening: The law took effect on July 31, prohibiting the sale of at least half of the products at thousands of businesses. The regulations also raised annual hemp retail licensing fees from $150 to $5,000 per location.
The impact: Carole Baker, owner of CBD American Shaman in Spring, said 60% of her inventory was lost due to the new Texas THC regulations. As a small business owner, Baker said she does not see it as feasible to pay $5,000 to renew her license and does not know how she will move forward when the time comes.