Tag: DEA Targets Legal Hemp Operators

 (Allen/San Marcos, TX) Texas Hemp Lawyer David Sergi won a stay against a Drug Enforcement Agency (DEA) subpoena that targeted nearly every vape shop in Allen, Texas.

“This action by the DEA was clearly on a fishing expedition to gather information unrelated to any public investigation,” said Sergi. “These local businesses operate well within federal and Texas laws and regulations. The subpoena seeks information beyond what the DEA may require in data collection or within its duties. They are seeking information protected by the Fourth and Fifth Amendments.”

On June 25, 2024, the DEA subpoenaed vape shops located in Allen, TX. The subpoena requested these businesses turn over to the government a wide range of their records:

●     All financial and banking records, including all customer transactions
●     Wages of employees
●     All credit card transactions
●     Venmo and CashApp transactions
●     List of all the suppliers that provide products to be sold (including non-Hemp products)
●     Wages of employees
●     Names of distributors or transportation companies/facilitators

“The vape shops are more than willing to share all the records required by federal and Texas law. The subpoena goes way beyond the duties and authority of the DEA and violates the Fourth and Fifth Amendments of the US Constitution,” added Sergi. “The subpoena does not meet the standards of those amendments.”

“The Fourth Amendment requires that the subpoena be limited in scope and relevant in purpose. It also must be specific and not unreasonably burdensome.”

“Each business maintains Certificates of Analysis as required to be kept as part of the business of hemp sales; the financial information from the business, employees, owners, and customers necessarily is not; therefore, much of the DEA subpoena implicates the Fifth Amendment and is far outside anything that could be considered reasonable.”

Sergi represents the Allen Hemp Coalition, which includes Lit Smoke & Vape, Vapex, Hemp & More, Hazel Sky, Allen Smoke & Vape, Chasing Vapes, Vape Shack, Allen Vape, Puff Station, and Isky Vapor.

“These Allen-based businesses operate legally and each day follow all laws and regulations. They are grateful that Federal Judge Amos Mazzant has stayed the subpoena. They are committed to the community and will continue to operate their business to the highest legal and moral standards,” added Sergi.

Here is the text of the ruling issued by United States District Judge Amos L. Mazzant: Before the Court is Movant Allen Hemp Coalition’s Motion to Quash and/or Limit DEA Administrative Subpoena (Dkt. # 1) in the above-entitled matter. It is hereby ORDERED that the enforcement of the subpoenas that are the subject of this motion is STAYED, pending the Court’s full consideration of the matter after a response to the motion is filed. IT IS SO ORDERED SIGNED this 24th day of July 2024.

Attached is a copy of the order and David Sergi’s motion to quash the subpoena.

David Sergi is available for media interviews. Please get in touch with Kevin Lampe at (312) 617-7280 or [email protected].

David Sergi is a San Marcos-based lawyer who focuses on the Hemp industry in Texas and throughout the United States. He has been active in litigation throughout Texas, Florida and most recently Wisconsin. His firm was trial counsel in the case that kept Delta 8 legal in Texas in the case of TDSHS and Hellerstadt v Sky Marketing Corp. dba Hometown Hero, Create a Cig Temple LLC, Darrell Surif and Dave Walden, 03-21-00571-CV. -30-