A legal dispute has erupted in Allen, Texas, where cannabis shop owners and their advocates are taking a stand against local and federal law enforcement, claiming their rights were violated during recent police raids.

This lawsuit, filed by attorney David Sergi on Oct. 24, represents Sabhie Khan, a manager of Allen Smoke and Vape, and members of the Hemp Industry Leaders of Texas, following an August raid led by the Allen Police Department with the support of the U.S. Drug Enforcement Administration (DEA).

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Sergi condemned the raids as “fishing expeditions,” saying “the DEA attempted to intimidate and bully these family businesses selling legal hemp,” Lonestar Live reported.

He contends that law enforcement’s actions crossed a line, disregarding Texas’s hemp regulations and constitutional protections. Under Texas law, cannabis products with 0.3% delta-9 THC or less qualify as hemp, making them lawful within the state.

Raids And Arrests Spark Lawsuit

The incident that sparked the lawsuit occurred on Aug. 27, when Allen Police, collaborating with federal agencies, searched several shops, arresting Khan. The lawsuit alleges he was charged with a second-degree felony for “manufacturing a controlled substance” despite the seized products meeting Texas’s legal definition of hemp.

According to Sergi, Khan, who is 70, was jailed for two days, “shackled in a jail cell without bond,” despite his business being in compliance with state hemp laws. Sergi criticized the enforcement agencies’ handling of Khan’s case, saying they treated him “like the kingpin of a drug cartel, despite hemp being legal.”

The plaintiffs argue that their Fourth, Fifth, Eighth, and 14th Amendment rights were breached in the process, naming the city of Allen, the Allen Police Department, Police Chief Steve Dye, Collin County Sheriff Jim Skinner and the DEA in the lawsuit. These amendments offer protections against unreasonable searches, self-incrimination, and cruel punishment, as well as guaranteeing due process.

Legal Battles And Disputed Testing Methods

The trouble began in May when Allen police allegedly sent notices to several CBD and vape shops, accusing them of selling “illegal THC products.” The lawsuit claims the DEA followed suit in June, issuing subpoenas to Khan and other business owners, demanding sensitive personal and business data.

A federal judge issued a temporary stay on these subpoenas in July, questioning their legitimacy. However, the lawsuit alleges that the DEA sidestepped this judicial halt by engaging the Allen Police Department, who executed search warrants under allegedly flawed “questionable laboratory testing methods and standards” that could not differentiate between delta-9 THC and other legal cannabinoids in the products.

Sergi contends that these actions led to the seizure of approximately $8,000 to $10,000 worth of “legal inventory,” with much of it being delta-8, THCa, and THCP products, all of which had certificates of analysis, a legal requirement for hemp products in Texas.

Additionally, officers allegedly confiscated computers, phones and storage devices from Khan’s shop, significantly impacting his business operations.

Calls For Legal Protections And Industry Standards

Khan and his fellow plaintiffs are not only seeking the immediate return of seized inventory and compensation for damages but are also requesting a permanent injunction to protect their businesses from future “unlawful actions.”

The lawsuit demands that any future testing on hemp products employ high-performance liquid chromatography (HPLC) to ensure compliance with Texas’s legal standards, especially concerning the preservation of THCa, which Texas law treats differently from delta-9 THC.

The Allen Police Department has yet to issue a public response, citing “pending litigation.” The outcome of this lawsuit could significantly impact Texas’s hemp industry, as Khan and other business owners advocate for greater legal clarity and protections, insisting on their right to operate without undue interference from law enforcement.

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Cover image made with AI.