Tennessee THCA Ban Passed: April 2025 Legislative Update & Impact

On April 10th, 2025, the Tennessee General Assembly passed House Bill 1376 (HB1376), establishing a sweeping Tennessee THCA ban and significantly reshaping the state’s hemp industry. The new legislation officially goes into effect on January 1, 2026, giving businesses and consumers limited time to adapt to these substantial regulatory changes. Below, we outline exactly what HB1376 entails, how it affects retailers, distributors, and consumers, and what steps you should take to stay compliant and informed.

What Does HB1376 Mean for Tennessee’s Hemp Industry?

House Bill 1376 (HB1376), sponsored by Representative Cochran (R–Englewood), will go into effect on January 1, 2026. This legislation brings significant changes that will reshape Tennessee’s hemp market. Below is a detailed breakdown of how HB1376 will impact retailers, consumers, and the entire hemp industry:

• Ban on THCA Products:Under HB1376, Tennessee has redefined hemp to explicitly exclude products containing THCA and other psychoactive cannabinoids like Delta-8 and Delta-10 THC. The updated legal definition states that only hemp products containing exclusively non-psychoactive cannabinoids, such as CBD and CBG, with less than 0.3% Delta-9 THC by dry weight, will remain lawful. This change effectively bans the sale and possession of all THCA flower and THCA-derived products, significantly disrupting the product offerings of smoke shops, dispensaries, and hemp-focused retailers across the state.
• Restriction of Online Hemp Sales:HB1376 explicitly prohibits Tennessee-based businesses from selling any hemp-derived products online directly to consumers. This restriction eliminates a vital revenue stream, especially for businesses heavily reliant on e-commerce sales within the state. While consumers in Tennessee will no longer be able to purchase hemp products online from local businesses, the law does not explicitly ban consumers from ordering compliant products from out-of-state vendors. However, importing banned products (like THCA flower) from any source remains illegal and subject to severe penalties.
• Increased Regulatory Oversight by ABC:Regulatory authority for hemp-derived products shifts entirely to the Tennessee Alcoholic Beverage Commission (ABC). This significant administrative change introduces stricter compliance measures, including mandatory registration of all hemp product retail locations, comprehensive product testing protocols, detailed labeling standards, and more frequent inspections. Additionally, this shift subjects hemp retailers to higher taxation rates similar to alcohol products, increasing overall operational costs.
• Severe Penalties for Violations:HB1376 establishes strict enforcement provisions and severe penalties for businesses and individuals found in violation of the new regulations. Businesses caught selling banned cannabinoids (such as THCA) could face felony charges, substantial fines, potential loss of business licenses, and even closure. Consumers found possessing these prohibited products may also face felony charges, fines, and significant legal consequences, reflecting the state’s zero-tolerance approach to the new cannabinoid restrictions.

With these substantial changes approaching rapidly, retailers and consumers in Tennessee should begin preparing immediately to navigate the new regulatory landscape. Stay informed through trusted sources and ensure your operations comply fully with the upcoming laws.

Summary of Legislative Amendments to HB1376

 

Two significant amendments, FM1322 and FM1310, have critically influenced the final text of HB1376:

• FM1322 Amendment: This amendment explicitly clarifies and expands the scope of prohibited cannabinoids under Tennessee law, specifically targeting THCA, Delta-8 THC, and other psychoactive hemp-derived cannabinoids. It eliminates earlier legislative compromises that had permitted limited sales under controlled conditions. Under FM1322, products containing these banned cannabinoids are now classified as illegal controlled substances, increasing the legal and operational risks for businesses previously selling such items.
• FM1310 Amendment: This amendment introduces comprehensive regulatory guidelines surrounding the registration, testing, labeling, and retail sales of hemp-derived products. Key requirements include:
  • Mandatory Registration: All retailers selling hemp products must register each physical retail location with the state, significantly increasing administrative responsibilities.
  • Testing Standards: The amendment establishes stringent testing protocols, requiring retailers to possess verifiable Certificates of Analysis (COAs) for all hemp products sold, ensuring they comply with the established THC limits.
  • Labeling and Transparency: Clear labeling requirements must now indicate the exact cannabinoid content, batch numbers, and testing information, increasing transparency for consumers.
  • Compliance Enforcement: Enhanced penalties are included for violations of registration, testing, or labeling standards, underscoring the necessity for rigorous compliance by retailers.

These amendments have significantly reshaped HB1376, establishing stricter regulatory standards and clearer definitions to address previous legislative ambiguities, substantially altering the landscape for Tennessee hemp retailers.

Can Tennessee’s THCA Ban Still Be Changed or Overturned?

Although HB1376 has passed the Tennessee General Assembly and is set to become law on January 1, 2026, there may still be pathways for changes or amendments. Understanding how Tennessee’s legislative system works can help businesses and consumers know what steps can be taken next.

Understanding Tennessee’s Legislative Process

In Tennessee, once a bill passes both the House and Senate, it proceeds to the governor’s desk. The governor can sign it into law, let it become law without signing, or veto it. HB1376 is currently awaiting the governor’s action. Although a veto could delay or alter the legislation, Tennessee’s General Assembly has the power to override a veto with a simple majority vote in both chambers, making it challenging to stop the bill completely.

Amending or Modifying the Law

Even after becoming law, there is still a chance for HB1376 to be amended or modified. New amendments can be proposed in future legislative sessions to clarify definitions, alter restrictions, or adjust penalties. This process typically involves:

• Introducing New Legislation: Lawmakers can propose new bills during future sessions aimed at altering or revising specific sections of the existing law.
• Committee Review and Debate: Proposed amendments must pass through relevant legislative committees, where they are debated, revised, and voted upon.
• Floor Voting: After committee approval, amendments require passage by majority votes in both the House and Senate.

When Could Amendments Be Introduced?
The Tennessee General Assembly meets annually, beginning on the second Tuesday in January each year. For HB1376, any new amendments or revisions would likely be introduced during the next regular legislative session starting in January 2026. This means stakeholders have the remainder of 2025 to organize advocacy efforts, prepare amendment proposals, and engage lawmakers to support favorable legislative changes during the next session.

To effectively impact this process, stakeholders should aim to have their amendment proposals ready by late 2025, allowing ample time for legislative sponsors to introduce and advocate for these amendments early in the 2026 legislative calendar.

Legal Challenges and Judicial Review

Businesses, trade associations, or advocacy groups affected by HB1376 may also pursue legal action. If courts find certain provisions of the law unconstitutional or improperly enacted, they could issue injunctions or even overturn parts of the law. Judicial challenges often rely on arguments related to fairness, economic impact, or conflicts with federal legislation.

How Can You Influence Changes?

Active involvement from business owners and consumers is crucial. You can:

• Contact Lawmakers: Voice concerns directly to your local representatives and senators to urge reconsideration or future amendments.
• Join Advocacy Groups: Organizations like the Tennessee Healthy Alternatives Association and Tennessee Growers Coalition organize community responses, lobby lawmakers, and propose amendments.
• Stay Informed and Active: Regularly check for legislative updates, participate in public hearings, and support petitions aimed at altering or amending the legislation.

While HB1376 currently represents a major shift for Tennessee’s hemp industry, understanding the legislative process and actively engaging with policymakers provides a meaningful opportunity for future changes or adjustments.

What Does HB1376 Mean for Retailers, Distributors, and Consumers?

With HB1376 set to become law on January 1, 2026, retailers, distributors, and consumers face significant shifts in Tennessee’s hemp landscape. Here’s a breakdown of what each group should expect as this deadline approaches:

For Retailers and Distributors

• Inventory Management: As January 1, 2026, nears, businesses will need to adjust inventories by phasing out all THCA flower and related products. Carefully plan inventory reductions to minimize financial loss.
• Registration and Compliance: Under HB1376, oversight shifts to the Tennessee Alcoholic Beverage Commission (ABC). This means retailers must register their business locations and comply with new labeling, testing, and taxation standards, leading to increased operational costs and administrative duties.
• Legal Risks and Penalties: After January 1, 2026, continuing to sell or distribute banned cannabinoids such as THCA, Delta-8, and Delta-9 THC may result in severe penalties. These could include felony charges, hefty fines, or the potential loss of business licenses.

For Consumers

• Loss of Access to THCA Products: Starting in January 2026, Tennessee consumers will lose legal access to THCA flower and products. Consumers should prepare for this change and be cautious about turning to unregulated markets.
• Online Purchase Restrictions: HB1376 explicitly prohibits Tennessee-based online sales of banned cannabinoids, affecting how consumers purchase these products. Purchasing from out-of-state vendors may still be possible, but it’s crucial for consumers to verify legality carefully and remain aware of potential legal risks.
• Alternative Cannabinoids: Consumers may need to explore alternative cannabinoids that remain legal under the new regulations, such as CBD or CBG, to meet wellness or recreational needs.

Looking Ahead to January 2026

As the enforcement date approaches, businesses and consumers should remain proactive. Stakeholders are encouraged to stay informed about legislative developments and actively participate in advocacy efforts to propose amendments or modifications during the next legislative session beginning in January 2026. Organizations like the Tennessee Healthy Alternatives Association (TNHAA) and the Tennessee Growers Coalition (TGC) continue their work advocating for adjustments and improvements to these laws.

For more clarity on cannabinoids and their legal status, check out our detailed guide: What is THCA?.