Transportation Brief: Hemp Transportation Remains Risky Business

by Nathaniel G. Saylor, Brandon K. Wiseman

January 27, 2020

The 2018 Farm Bill removed “hemp” and hemp-derived products containing a THC concentration of 0.3% or less from the definition of marijuana under the federal Controlled Substances Act.  States remain free to treat such products as illicit controlled substances, but cannot prohibit interstate transportation of hemp that is produced in accordance with a plan established or approved by the US Department of Agriculture (USDA).  Unfortunately, determining whether hemp qualifies for this safe harbor is no easy feat.

The USDA has established a website identifying states seeking USDA approval or intending to adopt the USDA plan. For any state not listed by USDA, the assumption must be that hemp produced in any such state would not qualify for the federal safe harbor for interstate transportation. Finally, the USDA regulations do not specifically address what documentation a carrier should have in its possession to prove to law enforcement the hemp cargo qualifies for the safe harbor.  As such, transportation companies will need to continue to exercise caution with respect to accepting shipments of hemp and hemp-derived products.

Scopelitis’ Transportation Brief® is intended as a report to our clients and friends on developments affecting the transportation industry. The published material does not constitute an exhaustive legal study and should not be regarded or relied upon as individual legal advice or opinion.

• Transportation Brief: AB5 and ABC: The Story Continues
  by Shannon M. Cohen , Gregory M. Feary
  
  Two recent decisions have clarified how courts might interpret and analyze California Assembly Bill 5 (AB5). In addition, New Jersey continues to move forward with its efforts to create a more California-like environment. Read more about this and other legislation relating to independent contractors.
• Transportation Brief: FLSA Conditional Certification Denied In Driver Case
  by Christopher J. Eckhart , James A. Eckhart
  
  More on how Shell v. Pie Kingz, LLC could help transportation companies defend against proposed FLSA collective actions by drivers whose compensation, hours worked, and business expenses vary from week to week.
• Transportation Brief: Choice of Law Questions Continue in California
  by Christopher J. Eckhart , Alaina  C. Hawley
  
  Transportation companies outside of California face difficult questions about whether California law applies to their California operations. Read more about a recent Ninth Circuit decision involving California’s minimum wage and overtime laws applying to non-California residents.
• Transportation Brief: PHMSA Fails to Act on “Harmonization” Rulemaking
  by Elizabeth M. Bolka , Braden K. Core
  
  Transportation providers are closely watching the Pipeline and Hazardous Materials Safety Administration’s (PHMSA) “harmonization” rulemaking. Read more about this rulemaking, including its potential to change requirements regarding making Lithium Battery Test Summary information available. 
• Transportation Brief: Spotlight on Scopelitis Class Action Defense
  by Andrew J. Butcher , Christopher J. Eckhart , James H. Hanson , Adam C. Smedstad
  
  Over the last 15 years, the transportation industry has been subject to an onslaught of wage-and-hour class actions. Legislative efforts like New Jersey’s efforts to adopt the ABC test for misclassification claims and California’s AB 5 ensure wage-and-hour class actions will continue to threaten transportation companies for the foreseeable future. As one of the few legal teams in the country to have successfully tried multiple class actions to verdict, Scopelitis is at the forefront when it comes to making and defending the law. Learn more.
• Transportation Brief On the Record: News from Scopelitis
  Timothy M. Fisher
  
  Attorney Timothy Fisher has joined the Firm’s Los Angeles Office. Learn more about Tim and his practice. 
• On the Road
  Scopelitis attorneys are often invited to participate in meetings with transportation industry leaders. Learn more about their trips this quarter.
• Dispatches
  Transportation Industry News & Trends