Texas Alcoholic Beverage Commission (“TABC”) began enforcement of its emergency Consumable Hemp Product (“CHP”) Regulations on Wednesday October 1, 2025. Failure to comply for a single violation results in the ultimate sanctions – cancellation of license or permit
Pursuant to Executive Order GA-56, TABC enacted Emergency Rule. 51.2 on September 23, 2025. Regulation call for the following –
- Agents, servants, and employees of the business to inspect and verify governmental identification of any purchaser of a consumable hemp product.
- Identification must have been issued by a governmental entity, e.g. state driver’s license or I.D. card, or passport, that is unexpired. Cell phone photos of I.D., photo copies of I.D. are not acceptable. Although not explicitly prohibited, we advise against acceptance of temporary paper I.D., or states issuing digital I.D.’s, pending further clarification from the agency given the seriousness of the sanction.
- No defense for misreading or miscalculating age of a minor, which commonly occurs with Vertical I.D.’s.
Failure to comply with any of these steps will result in cancellation. There will be no opportunity to serve a suspension or pay a civil penalty in lieu of suspension.
There is no defense for failing to check an I.D. The only defense to selling CHP to a person under 21 is that the agent, servant, or employee of the business was presented with apparently valid governmental I.D. that is consistent with the person’s appearance.
Although not required, business are strongly encouraged to obtain an I.D. scanner from a reputable vendor to limit risk of non-compliance. Businesses should be wary of accepting any vertical I.D.’s due to document being expired, or user error, e.g. failing to heed “UNDER 21 UNTIL [DATE] …”.
Relatedly, TABC will also be verifying that sellers of consumable hemp products (CHP) have appropriate license and or registrations with the Texas Department of State Health Services (DSHS). Violations will likely be cited out as place or manner violations pursuant to Tex. Alco. Bev. Code 11.61 (b)(7) and § 34.3 (c)(17). Penalties can include up to cancellation.
If an on-premise or off-premise retailer is selling a can of THC seltzer for example, a Retail Hemp Registration permit is required from DSHS. Cost of the registration is $155. If an on-premise retailer is selling an existing CHP that is changed, altered, or modified in any way before being served to a consumer, a Consumable Hemp Product License is required, which costs $258.
Whether a DSHS Retail Hemp Registration Permit, CHP License, or both are required depends on the circumstances. Consider speaking with an experienced alcoholic beverage and cannabis licensing attorney beforehand.
