CBD is now LEGAL to sell in Indiana thanks to the hard work of the Indiana General Assembly in the 2018 session.

OVERVIEW OF SEA 52 (LOW THC HEMP EXTRACT)

This document is meant to provide general information regarding SEA 52 (Low THC hemp extract) which was enacted by the General Assembly on Wednesday, March 14th. The bill has not yet been signed into law by Governor Holcomb, though it is expected to be signed in the coming week. Further, this document is not meant to provide legal advice. For legal questions regarding the manufacturing, distribution, and retail sale of low THC hemp extract (otherwise known as CBD oil), please consult with an attorney.

What does the bill do?

SEA 52 allows for the distribution and sale of low THC hemp extract. Low THC hemp extract is defined in law as containing not more than 3.% THC including precursors by weight, and not containing any other controlled substances.

What do distributors need to know?

The distributor must obtain a certificate of analysis prepared by an independent testing laboratory for each batch produced showing that the batch contained not more than .3% THC by weight. The distributor must also comply with very specific packaging requirements. The bill allows low THC hemp extract to be distributed in Indiana without having met these requirements until July 1, 2018.

What information must be included on the packaging?

The low THC hemp extract must be distributed in packaging that contains the following information:
• A scannable bar code or QR code linked to a document that contains manufacturing information, including the:

o Batch identification number;
o Product name;
o Batch date;
o Expiration date, which must not be more than 2 years from the date of manufacture;
o Batch size;
o Total quantity produced;
o Ingredients used, including the:

 Ingredient name;
 Name of the company that manufactured the ingredient;
 Company or product identification number or code, if applicable; and
 Ingredient lot number

o Download link for a certificate of analysis for the low THC hemp extract.

• The batch number.
• The internet address of a web site to obtain batch information.
• The expiration date.
• The number of milligrams of low THC hemp extract.
• The manufacturer.
• The fact that the product contains not more than .3% THC, including precursors, by
weight.

What do retailers need to know?

A retailer may sell low THC hemp extract only if the packaging complies with the requirements
listed above. The bill allows low THC hemp extract to be sold in Indiana without having met
these requirements until July 1, 2018. A retailer that violates this requirement commits a Class C
infraction, but the penalties could be increased if there are prior violations. Further, there are
increased penalties for retailers that sell marijuana or other controlled substances packaged in a
matter that appears to be low THC hemp extract if the person knew or reasonably should have
known that the product was marijuana or another controlled substance.

What doesn’t this bill do?

This bill does not specifically address the manufacturing of low THC hemp extract in Indiana.
As a result, it is not clear whether the product can legally be manufactured in the state.

CBD law link