A coalition of hemp businesses has filed a federal lawsuit challenging Missouri House Bill 2641, arguing the law conflicts with federal law, contains contradictory provisions and prevents existing hemp businesses from continuing to operate.
The lawsuit, filed in the U.S. District Court for the Western District of Missouri, names the MoHemp Trade Association, Lifted Liquids Inc. and MNG 2005 Inc. as plaintiffs. The plaintiffs ask the court to declare HB 2641 unconstitutional and block the law before its Nov. 12, 2026, effective date.
According to the complaint, HB 2641 would allow only businesses that hold marijuana licenses issued by the Missouri Department of Health and Senior Services to cultivate, manufacture, transport and sell hemp-derived products in the state.
The plaintiffs argue existing hemp businesses cannot obtain those licenses because the state caps them, leaving current operators without a way to continue operating legally.
“For more than 13 years, we’ve built our business by following Missouri law and advocating for common sense hemp regulations, including age restrictions, testing requirements, and accurate labeling,” said David Palatnik, president of MNG 2005 Inc. “HB 2641 is the first law we can’t comply with because it wasn’t written to be complied with. There is no license we can apply for. There is no standard we can meet. There is no clarity in the conflicting definitions. Businesses that have operated legally in Missouri for years are simply left with no lawful path forward and forced to watch everything they’ve built be handed to someone else.”
The lawsuit also argues the legislation contains conflicting definitions by classifying the same products as both hemp and marijuana in different sections. It further claims the law conflicts with its own provisions regarding interstate transportation of hemp products and creates uncertainty over when various requirements take effect.
According to the plaintiffs, the law applies to all hemp-derived cannabinoid products, including CBD products, despite its title, the “Intoxicating Cannabinoid Control Act.”
“This isn’t consumer protection. It’s the elimination of an entire legal industry coupled with a government-mandated monopoly,” said Jay Patel, president of the MoHemp Trade Association. “Missouri small businesses are left in utter confusion while the state gives the market to a closed system of big marijuana businesses. Ultimately, Missouri consumers will pay more and have fewer options.”
The lawsuit also argues HB 2641 conflicts with the 2018 Farm Bill, which legalized hemp at the federal level and prohibits states from blocking the transportation of federally legal hemp products through their borders.
According to the complaint, HB 2641 would classify federally legal hemp products as marijuana under Missouri law and limit the transportation of those products, including shipments passing through the state, to Missouri marijuana license holders.
“Congress made clear that states cannot block federally legal hemp shipments,” said Nick Warrender, CEO of Lifted Liquids. “HB 2641 would do exactly that and force companies like ours to reroute federally lawful shipments around an entire state.”
The plaintiffs argue the law could affect hemp retailers, manufacturers and distributors operating in Missouri if it takes effect in November.
