An Attack on New York's Small Businesses: Why Is the State Allowing Law Enforcement to Raid Legal, Licensed Hemp Retailers?
It has become undeniably clear that New York authorities fail to distinguish between licensed hemp retailers, who sell compliant products, and stores that peddle illicit, unlicensed marijuana. This misunderstanding has led to lawful hemp retailers being ensnared in the state’s aggressive campaign against unlicensed marijuana sellers.
Despite presenting state-issued hemp licenses and documentation confirming their legality, these licensed hemp retailers are still targeted. The situation is dire. New York’s Office of Cannabis Management (OCM), alongside state and local law enforcement, including the NYC Sheriff’s Office, conducts armed raids on licensed hemp stores. These entities justify their actions as warrantless “administrative inspections,” applying cannabis law to hemp retailers—two categories governed by distinct regulatory frameworks. Officials, misapplying cannabis regulations, unlawfully seize tens of thousands of dollars worth of product and padlock stores, posting warning signs that erroneously label these legitimate businesses as illegal cannabis operations.
Store employees face detainment for hours, personal property searches, and in some cases, handcuffing and arrests. In a particularly egregious incident, an employee was chained to a jail cell overnight. This is happening to state-licensed, lawfully operating hemp stores, and it must stop.
Why are these businesses, often small and family-owned, being terrorized, destroyed, and their employees jailed? The state is willfully ignoring its own laws and regulations, as well as fundamental constitutional rights, acting as judge, jury, and executioner without warrants, hearings, or due process.
Unlicensed marijuana operators should indeed be shut down to ensure a safe and regulated market, as intended by New York’s Marijuana Regulation & Taxation Act (MRTA). Although marijuana and hemp originate from the same plant and appear similar, even in processed form, there is a significant difference. The OCM acknowledges this on its website:
“Hemp” and “adult-use cannabis” are different classifications of the cannabis plant. Hemp is used to classify varieties of cannabis that contain 0.3% or less THC. Adult-use cannabis and Medical cannabis are used to classify varieties of cannabis that contain more than 0.3% THC, which is known for its psychoactive effects (including a feeling of being high).”
Yet, the state ignores the approved hemp licenses and lab certificates confirming these retailers sell legal products during their so-called “administrative inspections.” Hemp licensees are registered with the OCM. The OCM knows the difference between hemp and marijuana, licensed and unlicensed operators, and the separate regulations governing each. It knows these warrantless inspections are overbroad and unconstitutional but continues with these actions, supported by law enforcement.
I work with dozens of lawfully operating hemp licensees who are good people in a nascent industry, selling a plant with tremendous health benefits. They are not criminals. They seek a safe and regulated market, just like the state. They want to prevent those under 21 from purchasing hemp products, ensure proper labeling and packaging, and follow all legal guidelines.
Justice William J. Brennan, Jr., of the United States Supreme Court, profoundly stated:
“While the machinery of law enforcement and indeed the nature of crime itself have changed dramatically since the Fourth Amendment became part of the Nation’s fundamental law in 1791, what the Framers understood then remains true today – that the task of combating crime and convicting the guilty will in every era seem of such critical and pressing concern that we may be lured by the temptations of expediency into forsaking our commitment to protecting individual liberty and privacy.”
Justice Brennan’s words resonate now more than ever. As the OCM continues in disarray, with chaos prompting senior staff to quit and Governor Hochul labeling the agency a “disaster,” its enforcement arm carries out unconstitutional, armed raids against lawfully operating hemp licensees, harming hardworking small business owners and disregarding their rights.
Instead of violating constitutional rights and engaging in potentially dangerous armed raids, the state should work collaboratively with these legal, licensed stores to achieve our common goals. This approach would benefit small business owners and consumers alike, adhering to Justice Brennan’s warning to avoid forsaking our commitment to protecting individual liberty and privacy.
Joshua S. Bauchner
Partner at Mandelbaum Barrett PC
Jed M. Weiss