New York state seemingly can’t keep anyone happy when it comes to its adult-use marijuana regulations.

The state is due back in state Supreme Court in Albany on Aug. 25 to defend emergency regulations implemented July 27. The Cannabis Control Board, which operates under the umbrella of the state Office of Cannabis Management, announced it will limit the amount of THC allowed in products containing potentially intoxicating hemp-derived cannabinoids and impose a new minimum ratio of THC to CBD. Products are also limited to no more than 10 milligrams of THC per package and 1 milligram per serving. Retailers are also forbidden from selling any product with more than 0.5 milligrams of THC to anyone younger than 21.

A few days after the new regulations took effect, a lawsuit was filed by four businesses — North Fork Distribution Inc., which does business as Cycling Frog; Sarene Craft Beer distributors LLC, Hemp Beverage Alliance Inc. and the One Stop Brew Shop LLC asking the court to stop the emergency regulations because, in the businesses’ view, the emergency regulations were adopted in violation of the Marijuana Regulation and Taxation Act and the state Administrative Procedure Act.

“As explained in greater detail below, these poorly designed and shortsighted new requirements have brought the legalized hemp infused product market to a screeching halt in New York,” the lawsuit states. “This will continue for at least six to eight months, and quite possibly permanently. The end result will be horrendous not only to industry participants such as manufacturers, distributors and retailers, but also to the New York consumer, many of whom are older individuals in chronic pain and/or veterans with PTSD who rely on these products for their many wellness benefits in place of other more dangerous solutions such as alcohol or pharmaceuticals.”

The July 19 emergency order states the proliferation of cannabinoid hemp products required the action to protect the health and safety of consumers. The Cannabis Control Board stated in its emergency justification that the emergency action is warranted so the Cannabis Control Board can prevent the manufacture and retail sale of intoxicating cannabinoid hemp products in New York. Among the now-illegal products include hemp edibles, tinctures, supplements and seltzers, which are federally legal through the Farm Act of 2018 because they contain .3% THC or less by dry weight. That law also removed hemp and hemp seeds from the U.S. Drug Enforcement Agency’s schedule of controlled substances. But state officials say the hemp businesses were exploiting a loophole in the federal law that allowed the businesses to make products that are more intoxicating than the products the Cannabis Control Board regulates. The loophole, the state says, could lead to overdoses, particularly by young children who accidentally eat or drink the products.

“These emergency regulations are necessary to immediately allow (OCM) to address several challenges with the processing and retail sale of cannabinoid hemp products in New York state, protect public health and safety by, among other things, limiting the THC content of these products and ensuring consumers are not misled by these products’ marketing,” the justification states.

While some sellers said they had been told by the state that changes were being considered, there was no public comment process or notice given before the emergency regulations were announced. Businesses and trade groups say there was no scientific or anecdotal evidence given to support the more stringent regulations, nor was a true emergency shown. The businesses argue their products have been legally available in New York since 2021 and that nothing has changed that would have created an emergency situation, including requiring proof of age to purchase the products. At least one business — Healing Earth CBD in Lewiston — closed in the wake of the new regulations, according to the lawsuit.

“If this court were to sustain the validity of these emergency orders based on such a flimsy emergency justification, that would foster and encourage agencies to abuse their powers to adopt emergency regulations in contravention of the concerns expressed by the New York Legislature in connection with the passage of Section 202(6) of the (Administrative Procedures Act),” the lawsuit states. “As the legislature also noted, the failure to fully explain the nature of the emergency here could lead the public justifiably to question whether the emergency rules really are necessary.”