A Cincinnati-based law firm has filed an emergency lawsuit on behalf of beverage manufacturers and a distributor in an attempt to stop Ohio Gov. Mike DeWine’s sweeping ban that includes hemp-derived THC beverages.
On March 6, Ashbrook Byrne Kresge Flowers LLC filed an emergency complaint and motion for a peremptory writ of mandamus in the Supreme Court of Ohio on behalf of four hemp beverage companies and distributors.
The case, filed on behalf of Fifty West Brewing Company, Urban Artifact, Cycling Frog and Sarene Craft Beer Distributors, seeks to invalidate the Governor’s line-item veto of Chapter 3779 of Senate Bill 56, which would have allowed hemp beverage manufacturers and distributors to continue operations through Dec. 31, 2026.
The lawsuit challenges DeWine’s attempt to unilaterally veto a critical nine-month sales window for hemp-derived beverages.
This all began back in October when DeWine issued an executive order that bans the sale of products containing intoxicating hemp, including sodas and seltzers that contain THC derived from the plant.
In December, DeWine signed Ohio Senate Bill 56 into law.
“No longer will it be the Wild, Wild West,” DeWine said to reporters during an event on Dec. 12. “At least we’ll have some regulation of the juiced-up hemp that is there. So, to me, that’s a major, major victory.”
This veto is unconstitutional and threatens to “devastate an entire industry,” according to Ashbrook Byrne Kresge Flowers.
The Supreme Court of Ohio has been asked to issue a ruling on an emergency basis before the March 20 deadline.
The urgency is compounded by recent guidance from the Ohio Division of Cannabis Control, which has warned that if the vetoed version of Senate Bill 56 takes effect on March 20, any attempt to transport existing hemp beverage inventory out of Ohio could be prosecuted as felony drug trafficking. Businesses have been instructed to destroy their inventory or face criminal liability.
“This is not just about policy—it’s about the rule of law,” said James Kresge, counsel for Ashbrook Byrne Kresge Flowers. “The Ohio Constitution does not permit the governor to rewrite legislation by deleting entire sections. His veto is unlawful, and it’s catastrophic for our clients.”
The affidavits filed alongside the complaint paint a stark picture of the real-world consequences if the veto is allowed to stand.
“If Fifty West’s Sunflower brand is removed from the market, we estimate an immediate impact on our production workforce,” Bobby Slattery, founder of Fifty West Brewing Company, said in a news release. “Without the revenue generated by Sunflower, the likelihood of being forced to shut down our Chillicothe brewery becomes more of a reality. That would mean even more jobs lost and a shuttered vibrant anchor business in the heart of downtown.”
Slattery advocated for the passage of Senate Bill 56 with the language that would’ve allowed his company to continue to produce and sell its 5mg THC Sunflower beverage.
“I feel like the Governor pulled the rug out from under us,” Slattery added.
Scotty Hunter, CFO of Urban Artifact, echoed the urgency:
“We’ve already lost over $1.7 million in annual revenue from our co-packing business since the veto,” said Hunter. “We’ve laid off six employees and a contractor, and more cuts are coming. If we can’t sell our 7,500-case inventory, we’re looking at a loss of up to $250,000.”
Dylan Summers, vice president of government affairs at Cycling Frog, emphasized the national impact.
“Ohio represents 20% of our national sales. If the veto stands, we’ll lose a fifth of our business and be forced to lay off up to four employees,” Summers said. “That’s not just a hit—it’s a blow to our ability to operate.”
For Sarene Craft Beer Distributors, the stakes are even higher.
“We’ve lost millions in revenue already, resulting in the first round of layoffs we’ve ever had to do, and stand to lose substantially more here,” said co-owner Joseph Grabowski. “Between the first illegal executive order the governor tried and now this, businesses in the state are understandably confused, frustrated and nervous. The legislature laid out a clear path forward for safe, low milligram beverages with necessary regulation and again the governor is overstepping his authority to try and circumvent them.”
Carol Thompson, counsel for the firm, emphasized the broader implications: “This isn’t just about a few companies—it’s about the state honoring its own laws. Our clients made good-faith investments based on legislation passed by the General Assembly. The governor’s veto doesn’t just threaten their livelihoods. The governor’s invalid veto undermines the constitutional separation of powers.”
The complaint argues that DeWine’s veto violates Article II, Section 16 of the Ohio Constitution, which limits the governor’s veto power to “items” in appropriation bills. The governor cannot rewrite legislation by vetoing entire sections or chapters of law. The firm is seeking immediate relief before the vetoed version of S.B. 56 takes effect on March 20, 2026.
“This is a textbook case of executive overreach,” said Andrew McCartney, lead counsel on the case. “Our clients followed the law, invested millions and built businesses that employ Ohioans and serve Ohio communities. They deserve the protections the general assembly passed and the constitution demands.”