Juul Labs settles $438.5 million lawsuit with U.S. states.

Sep.07.2022
Juul Labs settles $438.5 million lawsuit with U.S. states.
Juul Labs agrees to a $438.5 million settlement with 34 US states and territories over accusations of marketing to minors.

Recently, e-cigarette manufacturer Juul Labs agreed to pay a settlement of $438.5 million (approximately RMB 3.039 billion) to resolve lawsuits raised by 34 states and regions in the United States. These lawsuits allege that Juul underestimated the risk of its products and targeted underage customers.


On Tuesday, Connecticut Attorney General William Tong announced a deal representing several states and Puerto Rico. Puerto Rico joined the group in 2020 to investigate Juul's early marketing practices and claimed its technology as a safe and beneficial alternative to smoking.


The settlement resolved one of the major legal threats facing the company that was in crisis. However, the company still faces nine separate lawsuits from other states. In addition, Juul is also facing hundreds of personal lawsuits filed by teenagers and others who claim they were addicted to the company's electronic cigarette products.


According to a statement, a national investigation has found that Juul marketed their e-cigarettes to underage teenagers through sponsoring parties, giving away product samples and advertising, as well as using social media posts featuring young models.


In this settlement, we have obtained billions of dollars to help reduce the use of nicotine, and have forced Juul to accept a series of strict prohibitions to end adolescent marketing and combat underage sales," Tong said in a press release.


A total of $438.5 million will be paid over a period of six to ten years. Tong stated that at least $16 million of the funds paid by Connecticut will be dedicated towards prevention and education efforts. Juul had previously settled lawsuits in Arizona, Louisiana, North Carolina, and Washington.


Most of the restrictions imposed by the Tuesday settlement will not affect Juul's operations, as the company had ceased the use of parties, giveaways, and other promotional activities several years ago, when it came under scrutiny.


Since the launch of Juul in 2015, there has been a significant increase in the number of young people using e-cigarettes, prompting the US Food and Drug Administration to declare it an "epidemic" among underage users. Health experts warn that this unprecedented growth could lead to a generation of young people becoming addicted to nicotine.


Since 2019, Juul has mostly been in retreat, giving up all U.S. advertising and removing its fruit and candy flavors from store shelves.


The biggest blow occurred earlier this summer when the FDA started banning all Juul e-cigarettes from the market. Juul challenged this decision in court, prompting the FDA to conduct a scientific review of the company's technology.


The FDA's review is part of a comprehensive investigation into the multi-billion dollar electronic cigarette industry, following years of regulatory delays. The agency has authorized some e-cigarettes for adult smokers looking for less harmful alternatives.


Although Juul initially focused its marketing on young urban consumers, the company has since shifted to positioning its product as a nicotine replacement for traditional cigarette users.


As part of a settlement, Juul has agreed to avoid a series of marketing tactics. This includes not using cartoons, paying influential social media users, advertising on billboards and public transportation, and placing ads on any channel with less than 85% adult viewership.


Statement: 1. This article's content is compiled from third-party information sources and is only intended for industry communication and learning purposes. 2. This article does not represent the views of 2FIRSTS, and 2FIRSTS cannot confirm the truthfulness and accuracy of the article's content. The compilation of this article is only for industry communication and research purposes. 3. Due to limitations in the compilation process, the article's expressions may not entirely match the original text, so please refer to the original text for accuracy. 4. Regarding any domestic, Hong Kong, Macau, Taiwan, or international statements and positions, 2FIRSTS is fully aligned with the Chinese government. 5. The copyright for the compiled information belongs to the original media and author. If there is any infringement, please request to have the content removed.



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.

Scotland Plans to Remove Business Rates Relief From Vape Shops From 2027
Scotland Plans to Remove Business Rates Relief From Vape Shops From 2027
The Scottish Government plans to remove business rates relief from vape shops from April 1, 2027, saying the measure is intended to ensure vape retailers contribute to the high street and align rates relief with public health commitments, while the impact on convenience stores that sell vaping products remains unclear.
News
Jun.26 by 2Firsts Perspectives
China Tobacco Yunnan Patent Describes Cigar Flavor Granules With Encapsulation Rate Above 77%
China Tobacco Yunnan Patent Describes Cigar Flavor Granules With Encapsulation Rate Above 77%
According to public records from China’s National Intellectual Property Administration, a patent application filed by China Tobacco Yunnan Industrial Co., Ltd. for “cigar flavor granules” was published on May 12, 2026. The filing proposes purifying an ethanol extract of cigar tobacco leaves using LX-8 macroporous resin, followed by encapsulation with maltodextrin and sucrose fatty acid ester to improve smoking comfort, reduce dryness and enhance aroma release stability in reconstituted tobacco.
Jun.10
LOST MARY Launches VIZ With Transparent Wraparound Pod and LED Display
LOST MARY Launches VIZ With Transparent Wraparound Pod and LED Display
LOST MARY announced VIZ on May 6, 2026, describing it as the brand’s first product with a transparent 360-degree wraparound pod.
May.07 by 2FIRSTS.ai
PMI U.S. Launches America250 Initiative, Introduces Limited-Edition ZYN Patriotic Storage Can
PMI U.S. Launches America250 Initiative, Introduces Limited-Edition ZYN Patriotic Storage Can
PMI U.S. launched its America250 initiative on June 1 to commemorate the 250th anniversary of the United States. As part of the program, the company introduced a limited-edition ZYN Patriotic Storage Can and released an IQOS U.S. Edition device. Beyond product-related activities, the initiative also includes innovation funding, nationwide events and community engagement programs.
PMI
Jun.05
Vuse Alto Adds New U.S. Price Tier as BAT Pushes Deeper Into Mass-Market Vaping
Vuse Alto Adds New U.S. Price Tier as BAT Pushes Deeper Into Mass-Market Vaping
British American Tobacco (BAT) subsidiary Vuse Alto has recently adjusted its price tiers in U.S. convenience store channels, leveraging low-cost device kits and pod promotions to reinforce its positioning in the mid-priced closed-system e-cigarette market.
Jun.17
  South Korea Reopens Cigarette Tax Debate as 63% Back Higher Tobacco Taxes
South Korea Reopens Cigarette Tax Debate as 63% Back Higher Tobacco Taxes
South Korea’s cigarette tax debate has resurfaced after the Ministry of Health and Welfare said tobacco price policy needed review, with a poll showing 63% of respondents support higher tobacco taxes.
Regulations
Jun.22