The most consequential cannabis proceeding in a generation is taking a holiday. The Drug Enforcement Administration's hearing on whether to move marijuana broadly from Schedule I to Schedule III recessed for the July 4 weekend and is set to reconvene on July 6, with the whole proceeding scheduled to wrap by July 15. But the fight did not pause in the courts.
Companies step in to defend the rule
As the hearing broke, two licensed cannabis companies moved to defend rescheduling in court. Attorneys for Bud & Mary's (operated by MedPharm Iowa) and Pennsylvania-based Tri-Mountain Pure filed a motion to intervene in the lawsuits that anti-legalization groups brought to block the Schedule III order. Their argument is blunt: they would suffer direct economic, regulatory, and operational harm if the litigation succeeds, listing impacts on research, banking relationships, and the ability to recruit specialized staff.
Both companies have already applied for federal registration using the DEA form the agency made available to cannabis operators seeking the protections that come with rescheduling. Their filing makes a pointed argument about who is actually defending reform: the Justice Department is the only party in the case backing the rule, and while the companies want to support DOJ, they say the government will necessarily focus on its own institutional interests and cannot adequately represent their private, commercial stake in moving their products to Schedule III.
Where things stand
The government itself has been arguing in favor of Schedule III since the hearing opened on June 29, even as the panel of participants was stacked with opponents. Now the industry is putting its own lawyers in the room. For the bigger picture on what this proceeding decides, see our explainer on the stakes of the hearing. We will keep this updated as the hearing resumes. For adults 21 and over.