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Hemp’s Federal Reclassification: Auditing Products and Planning the Transition When They Become Schedule I

Section 781 of Public Law 119-37 turns most hemp-derived cannabinoid products into Schedule I controlled substances. Audit a client’s portfolio against the new definition, sort surviving products from dead ends, restructure inventory and contracts, and weigh what Congress may do next.

2026-11-16 12:00:00

Program Details

2026-11-16 12:00:00

Program Details

2026-11-16 12:00:00

Over 1,000+ webinars

2026-11-16 12:00:00

Course Overview

A Product’s Legality Now Turns on Total THC, Not Delta-9

2026-11-16 12:00:00

Section 781 of Public Law 119-37 rewrites the federal definition of hemp. The measure is now total THC, not just Delta-9. Each container is capped at 0.4 mg. Synthetic cannabinoids are excluded outright. A product that fails any part of the test is no longer “hemp”; it is Schedule I marijuana under the CSA.

Hold noncompliant stock once the new definition applies, and a client holds Schedule I contraband with criminal exposure. Leave customer and supplier contracts written to the old definition, and the compliance risk stays in them. Sell in Minnesota or Texas, and state law applies a different framework than federal law. Wait on FDA guidance, and the ambiguities stay unresolved. Congress, meanwhile, may still delay or re-work the change.

You walk out with a working framework for sorting every product into three groups: survives as hemp, can be reformulated, or has no compliant path. You also get an approach to inventory disposition and contract review, plus a read on the congressional outlook. This is judgment no search tool supplies: deciding which products a client keeps, reformulates, or winds down.

Format

CLE Credit

1h CLE Credits

Level

Intermediate

Length

1

Key topics that will be covered

01
The New Hemp Definition
How Section 781 moves products from “hemp” to Schedule I through the total THC standard, the 0.4 mg per-container cap, and the synthetic cannabinoid exclusion, and how the change interacts with the CSA.
02
SKU-Level Exposure Audits
How to audit a client’s product portfolio and sort each SKU into one of three groups: survives as hemp, can be reformulated or repackaged, or has no compliant path.
03
Inventory and Criminal Exposure
What clients must do with existing inventory to avoid holding Schedule I contraband, and the criminal exposure if they do not.
04
Customer and Supplier Contracts
How to evaluate outstanding contracts with customers and suppliers and minimize a client’s compliance risk under them once the “hemp” definition changes.
05
FDA Gaps and State Divergence
How to advise clients now while FDA guidance on ambiguous concepts is outstanding and states such as Minnesota and Texas impose different requirements than federal law.
06
The Congressional Outlook
How potential legislation to delay or re-work the definition, and other federal hemp and cannabis policy on the horizon, should factor into the advice you give today.

Program schedule

clock 12:00 pm - 1:30 pm EST

Diagnosing Product Exposure and Transition Paths Under the New Hemp Definition

This session walks through how Section 781 of Public Law 119-37 (Continuing Appropriations, Agriculture, Legislative Branch, Military Construction and Veterans Affairs, and Extensions Act, 2026) narrows the federal definition of hemp and reclassifies most hemp-derived cannabinoid products as Schedule I controlled substances.

Attorneys will learn how to assess whether certain products will still be considered “hemp” under the new regime, or if such products will be considered Schedule I marijuana instead. In large part, this discussion will highlight the key forthcoming changes to the definition of “hemp,” including the new total (not just Delta-9) THC concentration standard, the 0.4 mg per-container cap, and the blanket exclusion of synthetic cannabinoids. Attorneys will also learn how to advise clients on reformulation, inventory disposition, and contractual obligations changes as the new definition takes effect. Attendees leave with a working framework for sorting products into three groups: those that survive as “hemp,” those that can be reformulated to meet the new definition, and those with no compliant path forward. The session closes with a look at whether Congress might still act to delay or re-work the changes to the “hemp” definition, and what else could be on the horizon for federal hemp and cannabis policy.

Agustin E. RodriguezAgustin E. Rodriguez
Christopher W. BaxterChristopher W. Baxter
Agustin E. Rodriguez

Agustin E. Rodriguez

Troutman Pepper Locke LLP

Christopher W. Baxter

Christopher W. Baxter

Troutman Strategies

Agustin E. Rodriguez

Agustin E. Rodriguez

Troutman Pepper Locke LLP

Agustin E. Rodriguez advises cannabis, tobacco, gambling, and other highly regulated businesses on the federal and state rules that govern their products. A partner in the Richmond and Washington, D.C. offices of Troutman Pepper Locke, he counsels manufacturers, distributors, retailers, and suppliers on licensing, taxation, marketing, advertising, and product sales, including manufacturers and suppliers of smokeable hemp and cannabis products. He co-authored the firm’s analysis “Congress Narrows Federal Definition of ‘Hemp,’ Effectively Banning Most Intoxicating Hemp Products.” He is fluent in Spanish and proficient in Portuguese.

Education & Credentials

Mr. Rodriguez earned his J.D. from The University of Chicago Law School in 1994 and his B.A. from the Princeton School of Public and International Affairs in 1990. He has completed executive education programs in Corporate Governance & Leadership in the Boardroom at Harvard Business School and in Mergers and Acquisitions at the University of Chicago Booth School of Business. He is admitted to practice in Virginia and the District of Columbia.

Recognition & Leadership

He is recognized by The Best Lawyers in America® for Cannabis Law (2027) and served on the Law360 Cannabis Editorial Board in 2022 and 2023. He was named a Super Lawyers Virginia Rising Star in 2007 and received the Emerson G. Spies Award from the Virginia Bar Association. He sits on the Board of Directors of the Nicotine Resource Consortium (2026). In the community, he is Board Chair Emeritus and a Director of Housing Opportunities Made Equal of Virginia, Inc., Secretary and Director of the Virginia Museum of Fine Arts Foundation, a Director of the Richmond SPCA, and President of the Princeton Association of Virginia.

Professional Involvement

Mr. Rodriguez serves on the Food & Drug Law Institute’s Cannabis-Derived Products Committee and previously served on its Tobacco and Nicotine Products Committee (2021–2023). He writes regularly for the Regulatory Oversight blog, the Tobacco Law Blog, and Law360 on hemp-derived products, state cannabis regulation, FDA enforcement, nicotine pouches, and tobacco taxation. His recent speaking includes “The Cannabis Industry in Transition: Rescheduling, Banking Constraints, and Financial Distress Risks” (CeriFi CLE Webinar, September 2026) and the “Cannabis & Hemp 101” and lending panels at the Cannabis and Hemp Financial Services eSchool (February 2026), as well as programs at the FTA Tobacco Tax Section Annual Conference, Next Generation Nicotine Delivery USA, and The American Tobacco + Nicotine Forum. He also mentors founders through Startup Virginia.

Experience

His cannabis work includes counseling Harvest Health and Recreation Inc. on regulatory matters in its sale to Trulieve Inc., advising issuers listing on U.S. securities exchanges on cannabis regulation, and counseling mezzanine financiers investing in state medical marijuana licensees and payment processors serving the industry. He also advises manufacturers and suppliers of smokeable hemp and cannabis products. On the tobacco and consumer products side, he represented a tobacco company in a multiyear arbitration with 18 states and territories over Master Settlement Agreement payments and advises on FDA regulation, state litigation, excise taxes, licensing, antitrust (Sherman Act and Robinson-Patman Act), and anticorruption compliance. He has represented a retailer in state attorney general investigations into product marketing, advised clients on FDA, FTC, and NAD advertising rules, and counseled gaming clients on Virginia casino and sports betting licensing. Before joining the firm, he was Vice President and Associate General Counsel at Altria Group, Inc., where he managed legal work for the company’s cigarette, cigar, and smokeless tobacco divisions, coordinated MSA-related litigation with state attorneys general, and built supply chain compliance programs across Europe, Latin America, Asia, and Africa.
Christopher W. Baxter

Christopher W. Baxter

Troutman Strategies

Christopher W. Baxter develops legislative initiatives and political strategy and leads advocacy before Congress and federal agencies as Senior Manager, Federal Affairs at Troutman Strategies, the government affairs arm of Troutman Pepper Locke, in Washington, D.C. His policy work spans food safety, appropriations, tax, trade, health care, and health information technology, and his clients include agricultural groups, trade associations, Fortune 500 companies, health care entities, educational institutions, multinational corporations, and nonprofits.

Education & Credentials

Mr. Baxter earned his B.A. in Political Science from the University of Maryland in 2012. He is registered as a federal lobbyist.

Recognition & Leadership

Mr. Baxter leads advocacy efforts before Congress and federal agencies as Senior Manager, Federal Affairs at Troutman Strategies, a role he has held since January 2025. He develops legislative initiatives and political strategy for agricultural groups, trade associations, Fortune 500 companies, health care entities, educational institutions, multinational corporations, and nonprofits. He has been part of the Troutman Strategies team since 2013 and is registered as a federal lobbyist

Professional Involvement

He co-authored “Policies in Focus: Opportunities and Challenges Expected for M&A and VC in 2025” (January 2025) and contributes to the firm’s insights on tariff and trade policy and health IT policy. He is a member of Electing a Democratic Generation (EDGE), a network of young professionals.

Experience

Mr. Baxter joined Troutman Strategies in 2013 and has more than a decade of government affairs experience, working on legislative and regulatory matters that include appropriations and food safety policy for agricultural, trade association, and corporate clients. Before joining the firm, he was a legal research assistant in the government affairs group of another law firm, focusing on agricultural and international trade issues, and a research assistant in the Washington, D.C. office of Senator Robert Menendez, where he covered banking and housing issues.
Agustin E. Rodriguez

Agustin E. Rodriguez

Troutman Pepper Locke LLP

Agustin E. Rodriguez advises cannabis, tobacco, gambling, and other highly regulated businesses on the federal and state rules that govern their products. A partner in the Richmond and Washington, D.C. offices of Troutman Pepper Locke, he counsels manufacturers, distributors, retailers, and suppliers on licensing, taxation, marketing, advertising, and product sales, including manufacturers and suppliers of smokeable hemp and cannabis products. He co-authored the firm’s analysis “Congress Narrows Federal Definition of ‘Hemp,’ Effectively Banning Most Intoxicating Hemp Products.” He is fluent in Spanish and proficient in Portuguese.

Education & Credentials

Mr. Rodriguez earned his J.D. from The University of Chicago Law School in 1994 and his B.A. from the Princeton School of Public and International Affairs in 1990. He has completed executive education programs in Corporate Governance & Leadership in the Boardroom at Harvard Business School and in Mergers and Acquisitions at the University of Chicago Booth School of Business. He is admitted to practice in Virginia and the District of Columbia.

Recognition & Leadership

He is recognized by The Best Lawyers in America® for Cannabis Law (2027) and served on the Law360 Cannabis Editorial Board in 2022 and 2023. He was named a Super Lawyers Virginia Rising Star in 2007 and received the Emerson G. Spies Award from the Virginia Bar Association. He sits on the Board of Directors of the Nicotine Resource Consortium (2026). In the community, he is Board Chair Emeritus and a Director of Housing Opportunities Made Equal of Virginia, Inc., Secretary and Director of the Virginia Museum of Fine Arts Foundation, a Director of the Richmond SPCA, and President of the Princeton Association of Virginia.

Professional Involvement

Mr. Rodriguez serves on the Food & Drug Law Institute’s Cannabis-Derived Products Committee and previously served on its Tobacco and Nicotine Products Committee (2021–2023). He writes regularly for the Regulatory Oversight blog, the Tobacco Law Blog, and Law360 on hemp-derived products, state cannabis regulation, FDA enforcement, nicotine pouches, and tobacco taxation. His recent speaking includes “The Cannabis Industry in Transition: Rescheduling, Banking Constraints, and Financial Distress Risks” (CeriFi CLE Webinar, September 2026) and the “Cannabis & Hemp 101” and lending panels at the Cannabis and Hemp Financial Services eSchool (February 2026), as well as programs at the FTA Tobacco Tax Section Annual Conference, Next Generation Nicotine Delivery USA, and The American Tobacco + Nicotine Forum. He also mentors founders through Startup Virginia.

Experience

His cannabis work includes counseling Harvest Health and Recreation Inc. on regulatory matters in its sale to Trulieve Inc., advising issuers listing on U.S. securities exchanges on cannabis regulation, and counseling mezzanine financiers investing in state medical marijuana licensees and payment processors serving the industry. He also advises manufacturers and suppliers of smokeable hemp and cannabis products. On the tobacco and consumer products side, he represented a tobacco company in a multiyear arbitration with 18 states and territories over Master Settlement Agreement payments and advises on FDA regulation, state litigation, excise taxes, licensing, antitrust (Sherman Act and Robinson-Patman Act), and anticorruption compliance. He has represented a retailer in state attorney general investigations into product marketing, advised clients on FDA, FTC, and NAD advertising rules, and counseled gaming clients on Virginia casino and sports betting licensing. Before joining the firm, he was Vice President and Associate General Counsel at Altria Group, Inc., where he managed legal work for the company’s cigarette, cigar, and smokeless tobacco divisions, coordinated MSA-related litigation with state attorneys general, and built supply chain compliance programs across Europe, Latin America, Asia, and Africa.
Christopher W. Baxter

Christopher W. Baxter

Troutman Strategies

Christopher W. Baxter develops legislative initiatives and political strategy and leads advocacy before Congress and federal agencies as Senior Manager, Federal Affairs at Troutman Strategies, the government affairs arm of Troutman Pepper Locke, in Washington, D.C. His policy work spans food safety, appropriations, tax, trade, health care, and health information technology, and his clients include agricultural groups, trade associations, Fortune 500 companies, health care entities, educational institutions, multinational corporations, and nonprofits.

Education & Credentials

Mr. Baxter earned his B.A. in Political Science from the University of Maryland in 2012. He is registered as a federal lobbyist.

Recognition & Leadership

Mr. Baxter leads advocacy efforts before Congress and federal agencies as Senior Manager, Federal Affairs at Troutman Strategies, a role he has held since January 2025. He develops legislative initiatives and political strategy for agricultural groups, trade associations, Fortune 500 companies, health care entities, educational institutions, multinational corporations, and nonprofits. He has been part of the Troutman Strategies team since 2013 and is registered as a federal lobbyist

Professional Involvement

He co-authored “Policies in Focus: Opportunities and Challenges Expected for M&A and VC in 2025” (January 2025) and contributes to the firm’s insights on tariff and trade policy and health IT policy. He is a member of Electing a Democratic Generation (EDGE), a network of young professionals.

Experience

Mr. Baxter joined Troutman Strategies in 2013 and has more than a decade of government affairs experience, working on legislative and regulatory matters that include appropriations and food safety policy for agricultural, trade association, and corporate clients. Before joining the firm, he was a legal research assistant in the government affairs group of another law firm, focusing on agricultural and international trade issues, and a research assistant in the Washington, D.C. office of Senator Robert Menendez, where he covered banking and housing issues.

Credits by state

AK1.5
AL1.5
AR1.5
AZ1.5
CA1.5
CO1.5
CT1.5
DC1.5
DE1.5
FL1.5
GA1.5
HI1.5
IA1.5
ID1.5
IL1.5
IN1.5
KS1.5
KY1.5
LA1.5
MA1.5
MD1.5
ME1.5
MI1.5
MN1.5
MO1.8
MS1.5
MT1.5
NC1.5
ND1.5
NE1.5
NH90.0
NJ1.5
NM1.5
NV1.5
NY1.5
OH1.5
OK2.0
OR1.5
PA1.5
RI2.0
SC1.5
SD1.5
TN1.5
TX1.5
UT1.5
VA1.5
VT1.5
WA1.5
WI1.5
WV1.8
WY1.5

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Trusted by Legal Professionals

1000+

Live stream programs

24/7

Access to live webinars & recordings

70,000+

Trusted by Legal Professionals

MCLE Credits

Alabama
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Pending
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Pending
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Pending
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Kentucky
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Minnesota
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Approved
New Hampshire
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New Jersey
Approved
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Approved
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Alabama

Requirements

The Alabama State Bar MCLE Commission requires attorneys to complete 12 credits, including 1 ethics, by December 31 of each year. All credits must be reported by February 15 of the following year. A maximum of 12 credits, including 1 ethics credit, may be carried over for 1 year only.  

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