The hemp industry in Nebraska is a dynamic and challenging space, with delta-8 THC and cannabidiol (CBD) at the forefront of legal debates. For businesses selling these hemp-derived products, understanding the current laws, recent developments, and enforcement trends is critical to staying compliant and avoiding legal risks. At Horgan Law, we specialize in guiding businesses through this complex landscape. In this comprehensive guide, we’ll explore the federal and Nebraska-specific regulations, the latest news and legislative efforts, and why consulting with our firm is essential for your business’s success.

Delta-8 THC and CBD in Nebraska: A Guide for Businesses

Federal and Nebraska Laws: The Legal Framework

Federal Baseline: The 2018 Farm Bill

The 2018 Farm Bill reshaped the legal landscape for hemp-derived products by defining hemp as cannabis containing less than 0.3% delta-9 THC on a dry weight basis. This legislation removed hemp from the federal list of controlled substances, legalizing hemp and its derivatives, including CBD and delta-8 THC, provided they meet the THC threshold. However, the Farm Bill left room for states to impose stricter regulations, leading to a patchwork of laws across the country.

Nebraska’s Rules: CBD vs. Delta-8 THC

In Nebraska, the Nebraska Hemp Farming Act (LB657), signed in 2019, aligns with the federal Farm Bill. It defines hemp as any part of the Cannabis sativa plant, including derivatives like delta-8 THC, as long as it contains less than 0.3% delta-9 THC. This means that under current state law, delta-8 THC is not classified as a controlled substance and is technically legal. CBD, being non-psychoactive, enjoys a clearer legal status, provided it meets the same THC threshold.

However, despite this legal framework, Nebraska authorities have taken a strict stance against delta-8 THC, citing public health concerns such as unregulated production and mislabeling. This has led to aggressive enforcement actions, creating a complex environment for businesses.

Recent Developments: Legislation, Enforcement, and Public Health

Nebraska’s hemp industry is evolving rapidly, driven by new legislation, enforcement actions, and growing public health concerns. Here’s what’s happening now:

Legislative Efforts: Closing the Loopholes

Lawmakers in Nebraska are actively working to tighten regulations on hemp-derived products, particularly delta-8 THC:

• LB999: This bill aims to ban the sale, possession, and consumption of hemp products containing delta-8, delta-10, and similar cannabinoids. It seeks to close the loophole left by the 2018 Farm Bill and could significantly impact the market if passed.
• LB316: This proposal would prohibit hemp products exceeding 0.3% of any THC strain, effectively outlawing delta-8 THC and other intoxicating compounds.

These bills, still under consideration as of April 2025, signal a potential clampdown on hemp-derived THC products. Businesses must stay informed, as these changes could demand swift operational adjustments.

Enforcement Crackdowns: A Zero-Tolerance Stance

Despite delta-8 THC not being classified as a controlled substance, Nebraska has taken a hardline approach to enforcement:

• Statewide Lawsuits: The Attorney General’s office has sued retailers across the state, including in cities like Chadron, North Platte, and Scottsbluff, forcing them to stop selling delta-8 products and surrender inventory. Penalties range from $18,000 to $90,000, doubling with repeat violations.
• Raids and Seizures: Law enforcement has conducted high-profile raids, confiscating delta-8 products and disrupting business operations. These actions demonstrate the state’s commitment to eliminating delta-8 from the market, even in the absence of an explicit ban.

This aggressive enforcement creates a paradox: while delta-8 THC products are technically legal under the Nebraska Hemp Farming Act, selling them can lead to significant legal and financial risks.

Public Health Driving Policy

Nebraska’s crackdown is largely driven by public health concerns. The state has cited:

• Unregulated Production: Unknown manufacturing processes may introduce harmful contaminants.
• Mislabeled Potency: Inaccurate THC levels can lead to overconsumption and adverse effects.
• Health Risks: Reports of hospitalizations and adverse reactions, including respiratory distress, have raised alarms.

These concerns have galvanized lawmakers and regulators, prioritizing public safety over the potential economic benefits of delta-8 THC.

Future Outlook: What Lies Ahead for Nebraska Businesses?

As Nebraska continues to refine its approach to hemp-derived products, businesses must stay vigilant and adaptable.

Potential Legislative Changes

If bills like LB999 or LB316 are passed, delta-8 THC’s legal status in Nebraska will be unequivocally banned, forcing businesses to overhaul their product lines. Even without new legislation, the state’s enforcement actions suggest a shrinking market for delta-8 THC.

CBD’s Stability Amid Uncertainty

While delta-8 THC faces an uncertain future, CBD remains a stable and legal option for businesses, provided they adhere to strict compliance standards. However, businesses should remain alert to any shifts in federal or state policy that could impact CBD’s legal status.

Implications for Businesses in Nebraska

The legal landscape in Nebraska creates a dual reality for businesses: opportunity for CBD sellers and significant risk for those dealing in delta-8 THC.

Risks for Delta-8 THC Retailers

Businesses selling delta-8 THC face severe consequences due to the state’s enforcement actions:

• Legal Action: Lawsuits from the Attorney General’s office can lead to costly settlements and operational disruptions.
• Financial Penalties: Fines ranging from $18,000 to $90,000, with penalties doubling for repeat violations.
• Business Disruptions: Raids and product seizures can damage a business’s reputation and bottom line.

Given the state’s aggressive stance, delta-8 THC retailers operate in a high-risk environment, even though the product is not explicitly illegal.

Opportunities for CBD Businesses

Conversely, CBD offers a legal and growing market for businesses willing to comply with state and federal regulations. To succeed, CBD sellers should:

• Ensure Product Compliance: Source CBD from reputable suppliers and verify THC content through lab testing.
• Educate Consumers: Clearly communicate the legal status of CBD and its non-intoxicating effects.
• Build Trust: Offer transparent, high-quality products to establish credibility in a competitive market.

Why Businesses Should Consult with Horgan Law

For businesses selling delta-8 THC or CBD in Nebraska, the stakes are high. The legal landscape is complex, enforcement is relentless, and regulations are shifting. Consulting with Horgan Law offers a lifeline to navigate these challenges and protect your business. Here’s why partnering with us is essential:

Expert Guidance Through Complexity

Nebraska’s hemp laws are a maze of state and federal requirements. Our attorneys at Horgan Law provide:

• Regulatory Clarity: We break down the rules so you know exactly what’s legal and what’s not.
• Compliance Support: From sourcing to labeling, we ensure your CBD products meet state standards, avoiding fines or seizures.
• Risk Assessment: If you’re selling delta-8 THC, we’ll evaluate your exposure and recommend immediate steps to mitigate legal threats.

Defense Against Enforcement Actions

With Nebraska cracking down on delta-8 THC, businesses face raids, lawsuits, and penalties. We’re here to:

• Protect Your Interests: If law enforcement targets your business, we’ll mount a strong defense to minimize damage.
• Negotiate Settlements: When penalties loom, we work to reduce fines and preserve your operations.
• Guide Your Pivot: Transitioning from delta-8 to CBD? We’ll streamline the process to keep you compliant and profitable.

Staying Ahead of Change

Legislative proposals like LB999 and LB316 could transform the market overnight. Horgan Law keeps you proactive:

• Legislative Updates: We monitor bills and alert you to changes that could impact your business.
• Strategic Planning: Adjust your product line or operations before new laws take effect.
• Future-Proofing: We help you diversify into compliant products, ensuring long-term stability.

Avoiding Costly Mistakes

Non-compliance can lead to fines, legal battles, or even business closure. Our expertise helps you:

• Steer Clear of Pitfalls: Avoid selling illegal products or making unverified claims about CBD.
• Save Time and Money: Proactive legal advice prevents expensive disputes down the road.
• Focus on Growth: With legal risks managed, you can concentrate on building your business.

A Partner for Success

Whether you’re a retailer, distributor, or manufacturer, Horgan Law is your ally in Nebraska’s hemp market. We offer tailored advice to safeguard your operations and seize opportunities in the legal CBD space. Contact us today for a consultation and take control of your business’s future.

Looking Ahead: The Future of Hemp in Nebraska

The hemp industry in Nebraska is at a crossroads. Delta-8 THC faces an uphill battle, with potential bans looming and enforcement intensifying. CBD, however, remains a viable market for compliant businesses. To thrive, stay adaptable:

• Track Developments: Follow legislative and regulatory updates closely.
• Seek Counsel: Partner with Horgan Law to navigate changes with confidence.

Secure Your Business with Horgan Law

Nebraska’s hemp market is fraught with challenges, from delta-8 THC’s uncertain status to CBD’s regulatory demands. At Horgan Law, we’re committed to helping businesses succeed in this environment. Don’t risk fines, seizures, or lawsuits—let us guide you through the legal maze. Contact Horgan Law today for a consultation and ensure your business thrives in Nebraska’s evolving hemp landscape.

Horgan Law – Your Trusted Omaha Law Firm

If you’re looking for an Omaha law firm that combines the wisdom of experience with the energy and ambition of youth, look no further than Horgan Law, P.L.L.C. As experienced Lawyers in Omaha, NE, we apply our knowledge to every case to get you the best possible outcome. Our success is measured by yours-no matter what your situation is, we’ll be there to help you through it.

Contact us to schedule a consultation!