Washington, DC: A federal judge has rejected a legal challenge brought by a coalition of prohibitionist groups that sought to halt the implementation of a pilot program providing eligible hemp-derived products to Medicare beneficiaries.
The judge determined that none of the plaintiffs in the case had sufficient standing to challenge the CMS (Center for Medicare & Medicaid Services) program. Specifically, none of the plaintiffs could show sufficient “injury” or “concrete harm” from the implementation of the new rules.
“The use and regulation of hemp are important matters, and plaintiffs understandably have strong views on these topics,” the judge opined. “But while they may not like the BEI [Substance Access Beneficiary Engagement Initiative], they have not been injured by it. The case will thus be dismissed for lack of subject matter jurisdiction.”
The Trump administration publicly announced the creation of the CMS distribution and reimbursement program for hemp-derived products in December. In mid-March, the agency posted a Frequently Asked Questions page providing details on how it intends to dispense hemp-derived products to beneficiaries and defining which type of products will be available under the program. CMS Administrator Dr. Mehmet Oz acknowledged the official launch of the program on April 1st.
In response to the judge’s dismissal, plaintiffs stated that they are “reviewing our options, including an appeal.”
The case is Smart Approaches to Marijuana, et al. v. Secretary of Health and Human Services et al. The full text of the dismissal order is available from Marijuana Moment.