Allen Hemp Shops Win Court Battle Against DEA Subpoenas

Hemp shops in Allen, Texas, are facing increasing pressure from local and federal authorities. After being notified earlier this year about allegedly selling products with illegal levels of THC, the shops are now caught in the crosshairs of the U.S. Drug Enforcement Administration (DEA). The DEA recently issued subpoenas to nearly every hemp shop in Allen, demanding extensive records ranging from financial documents to supplier lists.

However, the shops saw a temporary victory late last month when a federal judge, Amos Mazzant, halted the DEA’s subpoena. The ruling came as a relief for the businesses, represented by Texas cannabis attorney David Sergi, who argued that the scope of the subpoena was excessive and unconstitutional, violating the Fourth and Fifth Amendments.

Sergi, known for his previous work halting a statewide ban on hemp-derived THC, explained that while the businesses are willing to provide records required by law, the DEA’s demands went far beyond that. He emphasized that the shops, including Lit Smoke & Vape, Chasing Vapes, and Hazel Sky, operate legally and follow all relevant laws and regulations.

“These Allen-based businesses operate legally and each day follow all laws and regulations,” Sergi said in a written statement. “They are committed to the community and will continue to operate their business to the highest legal and moral standards."

Hemp, legalized federally in 2018 and in Texas the following year, is defined as cannabis with 0.3% or less of delta-9 THC. Many of the Allen shops sell products with other forms of THC, such as delta-8, which are believed to be less potent but still produce similar effects to marijuana. According to Sergi, each business maintains certificates of analysis to verify that their products meet legal requirements.

Sergi criticized the DEA’s approach, comparing it to tactics used by authoritarian regimes. “The DEA was very ham-fisted, and instead of having any individualized suspicion, just tried to vacuum all the financial information,” he said. “This is stuff worthy of the KGB and the Russian Mafia.”

Although the federal judge temporarily halted the subpoena, the DEA will now need to justify its requests in court. Sergi remains open to cooperation if a legitimate legal basis is presented, but for now, the future of Allen’s hemp shops remains uncertain as they continue to navigate legal battles with both local and federal authorities.