Juul agrees to pay settlement

September 7, 2022
A no smoking sign in front of a red backdrop.

We think that this will go a long way in stemming the flow of youth vaping.

Connecticut Attorney General William Tong. Following a two-year investigation, e-cigarette maker Juul labs — which accounts for about one third of the U.S. vaping market — has agreed to a settlement.

Why It Matters: Juul reached a settlement with 33 states and Puerto Rico in an investigation regarding the way the company markets their products towards young people, which particularly challenges early claims that their products are intended to be a smoking alternative. Juul is required to pay each state as well as abide by stricter marketing practices.

  • Juul sales have been mostly declining since 2019, when the FDA required them to remove all fruit and candy flavored nicotine products from stores. A recent federal survey found that teens who vape "have been shifting away from the company" and "prefer disposable e-cigarettes, some of which continue to be sold in sweet, fruity flavors" (The Associated Press).
  • The e-cigarette company is facing nine other lawsuits from states as well as hundreds of personal lawsuits having to do with the addictive nature of products.
  • Juul's statement: "This settlement with 34 states and territories is a significant part of our ongoing commitment to resolve issues from the past. The terms of the agreement are aligned with our current business practices which we started to implement after our company-wide reset in the Fall of 2019."
  • Something To Consider: A 2021 CDC study found that Juul was the preferred brand for about 6% of high school students who used e-cigarettes at the time. About 13% of middle school students reported using Juul. Additionally, about 16% of high school users and about 19% of middle school users did not know the e-cigarette brand they typically used (CDC).

Juul agrees to pay $438.5 million settlement over marketing to teens (ABC)

Juul to pay nearly $440M to settle states’ teen vaping probe (The Associated Press)

by Jenna Lee,

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