Juul Agrees to Pay $438.5 Million in Settlement with 33 States

Sep.07.2022
Juul Agrees to Pay $438.5 Million in Settlement with 33 States
Juul settles with 33 states for $438.5 million and agrees to stop marketing to youth. Funds will go towards anti-vaping efforts.

E-cigarette company Juul has reached a settlement with 33 states, including Connecticut and Puerto Rico, agreeing to halt certain commercial practices, such as marketing to minors, and pay $438.5 million. The states have stated that the compensation will be used to implement bans on e-cigarettes and reduce nicotine activity.


Connecticut Attorney General William Tong stated in a press release that Juul's advertising campaigns have created a new generation of nicotine addicts.


They ruthlessly sell e-cigarette products to minors, manipulate their chemical composition to cater to non-smokers, use inappropriate age verification procedures, and mislead consumers about the nicotine content and addictive potential of their products. The consequences of this improper behavior on public health are still unclear.


The settlement marks the end of a two-year multi-state investigation. Juul has also agreed to refrain from any sponsorship or naming agreements, cease marketing to all youths, and avoid depicting individuals under the age of 35 in their advertisements.


After an appeal in court in June and reaching a temporary agreement with the U.S. Food and Drug Administration (FDA), Juul has continued to sell its products in the U.S. However, due to FDA regulation and legal battles, the company's market share in the vaping industry has significantly dropped. Back in May 2019, Juul held a dominant 75% market share, but according to VaporVoice, as of June 22, it had dropped to around 34.4%, with competitor Vuse narrowly surpassing Juul in the U.S. Meanwhile, the FDA is pushing for Juul to remove all of its products from U.S. shelves, continuing a thorough safety review of the products.


A spate of illnesses associated with the underground electronic cigarette market across the United States has further damaged Juul's public relations efforts.


In 2019, Juul Labs abandoned a campaign worth $11.6 million aimed at reversing San Francisco's ban on e-cigarette sales. In June 2020, the company announced that it was relocating its headquarters from San Francisco to Washington D.C. and expressed a desire to distance itself from the Silicon Valley startup culture and be closer to politicians and regulators.


According to a report by the Associated Press, Juul is still facing nine independent lawsuits from other states. These include a lawsuit filed by California and Los Angeles in November 2019, which focuses on the company's youth-targeted advertising and alleged failure to warn young consumers about the health risks of vaping. In June, a federal judge in San Francisco allowed a lawsuit against Juul Labs and parent company Altria Group Inc. to proceed on various issues related to misleading marketing.


The Associated Press reports that the company is still facing hundreds of individual consumer lawsuits.


A spokesperson for Juul stated in a press release to the Associated Press, "As we continue to fulfill our mission, we remain focused on our future of transitioning adult smokers from the leading cause of preventable death, combustible cigarettes, while combating underage use.


Statement


This article is sourced from compiled third-party information and is intended for industry communication and learning purposes only.


This article does not represent the views of 2FIRSTS, and 2FIRSTS is unable to confirm the authenticity and accuracy of its content. The translation of this article is solely intended for communication and research within the industry.


Due to limitations in our translation abilities, the translated article may not accurately reflect the original text. Please refer to the original article for accuracy.


2FIRSTS maintains complete alignment with the Chinese government on any statements or positions related to domestic, Hong Kong, Macao, Taiwan, and foreign affairs.


The compiled information belongs to the original media and authors in terms of copyright. If there is any infringement, please contact us for deletion.



Disclaimer

This article is provided solely for professional research, industry discussion, and informational purposes. Any references to brands, companies, products, technologies, or policies are made for factual reporting and analytical purposes only, and do not constitute endorsement, recommendation, promotion, or advertising by 2Firsts.

Nicotine-containing products, including but not limited to cigarettes, e-cigarettes, heated tobacco products, and nicotine pouches, carry significant health risks. Readers are responsible for complying with all applicable laws and regulations in their respective jurisdictions, including age restrictions and access limitations.

The information contained in this article should not be regarded as investment, legal, medical, regulatory, or commercial advice. While 2Firsts strives to ensure the accuracy and reliability of its content, it does not assume liability for any direct or indirect loss arising from errors, omissions, inaccuracies, or reliance on the information contained herein.

This article is not intended for individuals below the legal age for accessing tobacco or nicotine-related information in their jurisdiction.

 

Copyright Notice

This article is either original content produced by 2Firsts or content reproduced, translated, summarized, or adapted from third-party sources with attribution where applicable. The intellectual property rights of the original content remain with 2Firsts or the respective original rights holders.

No individual or organization may copy, reproduce, distribute, republish, modify, translate, or otherwise use this content without prior authorization. Any unauthorized use may result in legal action.

For copyright-related inquiries, corrections, or removal requests, please contact: info@2firsts.com.

 

AI-Assisted Translation and Editing Notice

Portions of this article may have been translated, edited, or reviewed with the assistance of artificial intelligence tools to improve efficiency and readability. Due to the limitations of AI-assisted translation and editing, discrepancies, omissions, or inaccuracies may exist when compared with the original source.

Where applicable, readers are advised to refer to the original source for the most complete and accurate information. If you identify any errors or believe that any content infringes upon your rights, please contact us at info@2firsts.com, and we will review and address the matter promptly.

UK HMRC Urges Public to Report Suspicious Vape Shops in Crackdown on Tax Fraud, Money Laundering and Illicit Tobacco Sales
UK HMRC Urges Public to Report Suspicious Vape Shops in Crackdown on Tax Fraud, Money Laundering and Illicit Tobacco Sales
HM Revenue & Customs is urging members of the public to report vape shops, barber shops and other high-street businesses suspected of tax fraud, money laundering or other illegal activity, with informants not required to provide personal details. HMRC plans more than 30,000 interventions in 2026-27 targeting tax fraud, organised crime and illicit activity, including the sale of illegal vapes and tobacco. The push forms part of a broader UK effort to tackle organised crime on high streets, backed by a £30 million government enforcement programme.
Regulations
Aug.17 by 2Firsts Perspectives
Special Report | From New York to Washington: How FDA’s Tobacco Center Is Reworking Product Review
Special Report | From New York to Washington: How FDA’s Tobacco Center Is Reworking Product Review
FDA’s Center for Tobacco Products is reshaping how it approaches tobacco product review. Based on 2Firsts’ on-site reporting in New York and Washington, this report traces CTP’s emerging direction: stronger links between PMTA and tobacco harm reduction, more category-specific review, greater emphasis on decision-relevant science, more predictable timelines and expanded use of sPMTA for product modifications. CTP also acknowledged major constraints, including just nine PMTA review teams, persistent backlogs and limits on hiring capacity.
Regulations
Oct.08
Wisconsin Vape Directory One Year On: Retailer Reports Four Store Closures and 70% Staff Cuts
Wisconsin Vape Directory One Year On: Retailer Reports Four Store Closures and 70% Staff Cuts
Wisconsin's electronic vaping device directory has been fully enforced for more than a year, and local vape retailers say the reduced range of eligible products has contributed to declining sales, store closures and layoffs. Johnny Vapes owner Ben Hall said he has closed four of seven locations and cut about 70% of his staff. State law bars the sale of vaping devices not listed on the Wisconsin Department of Revenue directory and allows penalties of $1,000 per day for each unlisted device sold or offered for sale. In April 2026, the U.S. Court of Appeals for the Seventh Circuit allowed enforcement of the law to continue.
Regulations
Oct.10
NATO Executive Director David Spross Sees U.S. Vape Regulation Improving, Calls for More PMTA Authorizations and Warns of 2027 State Tax Pressure
NATO Executive Director David Spross Sees U.S. Vape Regulation Improving, Calls for More PMTA Authorizations and Warns of 2027 State Tax Pressure
The National Association of Tobacco Outlets is calling for more FDA marketing authorizations, greater transparency in the PMTA process and continued enforcement against unauthorized e-cigarettes, even as its executive director, David Spross, points to recent regulatory developments as signs of progress. At the state level, excise taxes, flavor restrictions and vapor product directories remain major issues for tobacco retailers. By August 2026, 17 states had enacted laws establishing state-managed e-cigarette directories or similar systems.
Innovation
Sep.29 by 2Firsts Perspectives
Arizona Turns to a 50% Retail Vape Tax as Tobacco Tax Revenue Falls 47% From 2008
Arizona Turns to a 50% Retail Vape Tax as Tobacco Tax Revenue Falls 47% From 2008
Arizona's First Things First is pushing for an excise tax equal to 50% of the retail price of vaping products, estimating that the measure could generate about $100 million annually. The agency says its tobacco-tax revenue has fallen 47% from 2008 levels. Arizona has attempted to broaden its nicotine tax base in each of the past two years: a 2025 bill proposed a 50% wholesale-price tax, while a 2026 measure shifted to a 50% retail-price tax covering alternative nicotine products and vapor products. Separately, the state enacted HB 4001 this year to establish a new licensing and sales framework for alternative nicotine products.
Sep.21
Product | R.J. Reynolds Launches Four Flavored Vuse Pro Pods for Vuse Alto Devices in U.S.
Product | R.J. Reynolds Launches Four Flavored Vuse Pro Pods for Vuse Alto Devices in U.S.
R.J. Reynolds Vapor Company has introduced Vuse Pro prefilled pods in Peach, Berry, Watermelon and Fresh Mint in selected U.S. states. Vuse’s U.S. website says the pods are intended for use with existing Vuse Alto devices. Each contains 2.0 mL of e-liquid at 5.0% nicotine by weight, uses nicotine salts and is offered in two- and four-pod packs. Reynolds said the rollout includes mandatory ID scanning for every purchase, purchase limits, stronger retailer-accountability requirements and strict age-restricted marketing standards. The four pods have not received marketing authorization from the U.S. Food and Drug Administration.
Sep.10