New York Ordered to Stop Warrantless Hemp Shop Raids, Judge Rules

A New York Supreme Court judge has ruled against warrantless raids conducted on licensed hemp shops by state and city officials. The decision highlights concerns about overreach and underscores the importance of constitutional protections for businesses operating within legal frameworks.

Hemp Shops Caught in Crossfire of Cannabis Crackdown

New York’s cannabis market has been navigating murky waters since the legalization of adult-use cannabis in March 2021. The slow rollout of licensed dispensaries created a fertile ground for unregulated shops to flourish. With more than 3,600 illegal cannabis stores operating in New York City alone, authorities have intensified their enforcement efforts.

But not all enforcement has been targeted at illegal actors. Five licensed hemp shops, including Super Smoke n Save LLC and Brecken Gold Athletics NYC, became unintended casualties of these operations. They alleged in court that state and city officials, armed and without warrants, raided their businesses, confiscating lawful products. One business claimed its sales plummeted after officials plastered a notice on its door declaring the seizure of illicit cannabis—a claim now under judicial scrutiny.

Unreasonable Searches Spark Constitutional Debate

The lawsuit centered on whether officials violated the Fourth Amendment, which guards against unreasonable searches and seizures. Justice Thomas Marcelle ruled that while the cannabis industry is closely regulated, the warrantless raids failed to adhere to proper legal standards.

Marcelle’s findings noted:

• Lack of testing: Products seized during the raids were not tested for compliance, despite some having certificates of analysis (COAs) indicating legality.
• Intimidation tactics: The presence of armed officers created an environment of fear rather than oversight.
• Destruction of evidence: Some seized items were destroyed, preventing further examination.

The judge also criticized officials for failing to use available QR codes on product labels to verify their legality, a glaring omission that undermined their claims of regulatory enforcement.

Businesses Fight Back

The five petitioners, all operating with valid hemp licenses, painted a grim picture of how the raids impacted their livelihoods. At Super Smoke, officials allegedly seized products worth $5,000–$6,000 without conducting proper inspections. Similarly, Brecken Gold Athletics NYC reported losses exceeding $100,000.

One notable concern was the use of armed law enforcement during these raids, which Marcelle deemed excessive for regulatory inspections. “Clipboards and forms—not guns and handcuffs—should be the tools of regulatory oversight,” he wrote, highlighting the stark contrast between these raids and routine inspections in other industries.

The ruling laid down specific guidelines for future inspections, ensuring they remain within constitutional bounds:

• Only two inspectors are allowed during any inspection, and they must not be armed unless credible security threats are documented.
• Inspections must focus on verifying product compliance through testing, not intimidation or arbitrary judgments.
• The NYC Sheriff’s Office was explicitly prohibited from inspecting licensed cannabis or hemp businesses, a responsibility the judge clarified belongs solely to the Office of Cannabis Management (OCM).

A Step Back in Time: Historical Parallels

Justice Marcelle invoked history in his ruling, comparing the warrantless raids to colonial-era customs officers’ unchecked searches for contraband. This historical analogy served to remind all parties of the long-standing resistance to government overreach—a principle that remains enshrined in the Constitution.

What Lies Ahead for New York’s Cannabis Market?

While the ruling halts some enforcement practices, it doesn’t signal a retreat from efforts to combat the unlicensed cannabis market. Officials have vowed to continue targeting illegal shops, which remain a significant challenge to the growth of New York’s legal cannabis industry.

For licensed operators, the ruling is a reprieve. It reaffirms their rights while emphasizing the need for government transparency and accountability. As the cannabis market matures, balancing enforcement with fair treatment will be critical to its success.