Canadian Company Sues United States Over Hemp Imports

The drug war is boiling over into a trade dispute along America's northern border.

A small Canadian company is using the 1994 NAFTA treaty to sue the U.S. government, claiming restrictions on hemp-containing foods have devastated their business.

"Under international law they actually have the obligation to compensate the people whose business they're taking," said Todd Weiler, the lawyer representing Kenex, the company bringing the suit.

In 1999, U.S. Customs agents impounded a shipment of Kenex hemp birdseed and issued recalls on other shipments by the company.

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