November 22, 2023

5 Ways to Protect Your Hemp Beverage Business in 2023

Holon Law Partners Business Law, Cannabis Law, Corporations, IP

Protecting Your Hemp Beverage Business in 2023

The hemp beverage industry has seen explosive growth in recent years. As the market for hemp products expands, many entrepreneurs are looking to launch hemp drink brands. However, operating a hemp business involves navigating a complex regulatory environment. Protecting your interests requires proactive legal strategies.

This article outlines five key ways a hemp business lawyer can help you protect your hemp beverage business in 2023.

Holon Law Partners has 100+ years of experience combined guiding clients through complex cases and legal intricacies. Our approach is empathetic, customized, and client-centered with a focus on you and your unique business needs. To schedule a consultation with us, call our team at (866) 372-0726 or email us at: info@holonlaw.com.

Protecting Your Hemp Beverage Business

1. Register Trademarks

One of the first steps to protect your hemp drinks is to register trademarks. A trademark allows you to prevent competitors from copying your brand name, logo or other intellectual property.

For example, you can register trademarks for:

Your company name
Product names
Slogans
Logos
Packaging designs

Trying to enforce trademark rights without a registration is difficult. With a registered trademark, you can send cease and desist letters to infringing companies. You can also file lawsuits for trademark infringement.

2. Review Product Labeling

Labeling rules for hemp beverages are complex. Many states restrict health claims about CBD and require specific disclosures.

A hemp lawyer for business can review your product labels for compliance. This helps avoid regulatory actions or lawsuits over improper labeling.

Key labeling issues include:

FDA rules on structure/function claims
State laws on CBD content claims
Warning statements
Nutritional information requirements

Staying up-to-date on labeling laws is crucial as regulations frequently change.

3. Apply for Licenses & Permits

Unlike marijuana, hemp was legalized by the 2018 Farm Bill. However, states and cities still require licenses for hemp cultivation, processing and sales.

Licensing helps regulators track hemp products and ensure they meet legal THC limits. Most states require separate licenses for:

Hemp farmers
Processors
Manufacturers
Retailers

A hemp business attorney can advise you on license requirements in the areas where you plan to operate. Applying properly helps avoid delays that can sink a new business.

4. Review Business Operations

Day-to-day business operations must comply with hemp laws and regulations. A hemp lawyer for hemp business can provide ongoing counsel to reduce risks in areas like:

Security

Many states mandate detailed security requirements for cannabis operations involving surveillance systems, restricted access, and more.

Inventory Tracking

Hemp products must typically be monitored from “seed-to-sale” through inventory tracking software.

Transportation & Storage

There are often special rules for storing and transporting hemp products. For example, some states restrict transporting wet hemp to avoid illegal marijuana manufacturing.

Employment Policies

Employee policies should address drug-free workplace rules, drug testing, harassment claims and other issues.

5. Understand Product Regulations

While hemp is legal, adding CBD and other ingredients to consumable products triggers special regulations including:

FDA rules for supplements, food additives and pharmaceuticals
State food safety and alcohol control laws
USDA organic certification standards

Navigating these nuanced regulations takes specific legal experience. A hemp lawyer for hemp beverages can help craft compliant formulations and advise on regulatory filings.

For example, the FDA prohibits adding CBD to alcoholic drinks. A lawyer can help use hemp-derived terpenes or other alternatives.

FAQs

1. What type of lawyer do I need for a hemp business?

Look for hemp attorneys experienced specifically in hemp law, including hemp regulations. Avoid lawyers without knowledge in this niche field.

2. When should I trademark my hemp beverage brand?

File a trademark application as soon as you start using a brand name in commerce. This establishes priority over any latecomers.

3. What are the benefits of a hemp beverage lawyer?

An attorney well-versed in hemp laws can help you secure the proper licenses, comply with product regulations, and avoid lawsuits.

4. Do hemp beverages require special licenses?

Yes, most states require licenses for hemp cultivation, processing and sales. Manufacturing hemp drinks involves multiple licensing steps.

5. How often do hemp beverage laws change?

Hemp regulations at both the state and federal levels are evolving rapidly. Work with a lawyer who monitors new developments.

Choosing a Hemp Lawyer to Protect Your Hemp Beverage Business

As the hemp industry matures, new legal issues constantly emerge. Work with a hemp business attorney to address risks proactively. Protecting intellectual property, complying with licenses and following product regulations reduces future headaches. With the right legal foundation, you can focus on your hemp beverage business vision.