Juul Labs to Pay Nearly $440 Million Settlement.

Sep.07.2022
Juul Labs to Pay Nearly $440 Million Settlement.
Juul Labs agrees to pay nearly $440 million to settle investigations into its marketing practices in 33 states.

Electronic cigarette manufacturer Juul Labs has agreed to pay nearly $440 million to settle a two-year investigation by 33 states into its marketing of high-nicotine e-cigarette products. These products have long been accused of being the main driver behind the surge in youth e-cigarette use nationwide.


Connecticut Attorney General William Tong announced the deal on Tuesday, on behalf of several states and Puerto Rico. Puerto Rico had joined forces in 2020 to investigate Juul's early promotional activities and claimed the safety and benefits of its technology as a smoking alternative.


The settlement has resolved one of the biggest legal threats facing the struggling company, however, it still faces nine separate lawsuits from other states. Additionally, Juul is also facing hundreds of individual lawsuits brought by teenagers and others who claim to have become addicted to the company's e-cigarette products.


According to a statement, a national investigation has found that Juul marketed its e-cigarettes to underage minors through parties, product giveaways, advertisements, and social media posts featuring young models.


Through this settlement, we have acquired hundreds of millions of dollars to aid in reducing nicotine use, and have compelled Juul to accept a series of strict prohibitory clauses aimed at ending their adolescent marketing tactics and combating underage sales," said Juul spokesperson Tong in a press release.


A sum of $438.5 million will be paid within a period of 6 to 10 years. Tong stated that at least $16 million paid by the state of Connecticut will be used for prevention and education efforts. Prior to this settlement, Juul had resolved lawsuits in Arizona, Louisiana, North Carolina, and Washington.


Most of the restrictions imposed by the settlement on Tuesday will not affect Juul's practices. Juul stopped using parties, giveaways, and other promotional activities a few years ago after being scrutinized.


Since its launch in 2015, the use of e-cigarettes by teenagers has surged, leading to the US Food and Drug Administration declaring a "epidemic" of underage e-cigarette use among youths. Health experts warn that this unprecedented growth could result in a generation of young people becoming addicted to nicotine.


Since 2019, Juul has mostly been in retreat, abandoning all US advertising and removing its fruit and candy flavors from store shelves.


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


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


Although Juul initially focused on marketing to young urban consumers, the company has since shifted towards positioning its product as an alternative source of nicotine for older smokers.


The company stated that they will continue to focus on their future as they fulfill their mission to prevent the leading cause of preventable deaths among adult smokers, while also combating underage usage.


As part of a settlement agreement, Juul has agreed to avoid a series of marketing practices. These include not using cartoon characters, paying social media influencers, depicting individuals under the age of 35, advertising on billboards and public transportation, and advertising through any channel unless 85% of the audience is adults.


The deal also includes restrictions on the placement of Juul products in stores, age verification for all sales, and limitations on online and retail sales.


Statement


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


This article does not represent the viewpoint of 2FIRSTS, and 2FIRSTS cannot confirm the truthfulness or accuracy of the content. The translation of this article is only intended for industry-related research and communication.


Due to limitations in translation proficiency, the compiled article may not fully convey the same meaning as the original. Please refer to the original article for accuracy.


2FIRSTS maintains full alignment with the Chinese government on any domestic, Hong Kong, Macau, Taiwan, and foreign-related statements and positions.


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



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.

Japan Survey Finds 49.5% Would Cut Tobacco Use if Prices Rise, 64.6% Show Interest in Nicotine-Free Alternatives
Japan Survey Finds 49.5% Would Cut Tobacco Use if Prices Rise, 64.6% Show Interest in Nicotine-Free Alternatives
A September online survey commissioned by Japanese smoking-accessories company Lightec found that 49.5% of respondents would consider reducing tobacco use if prices rose further, while 25.1% would consider switching to cheaper brands and 14.5% would consider using or combining alternatives such as vapes and nicotine-free herbal sticks. Another 64.6% expressed some level of interest in such alternatives. The survey covered 1,088 respondents aged 20 to 70 and was conducted by a company that sells NICOLESS nicotine-free vaping and herbal-stick products, meaning its findings should not be treated as representative of Japan's smoking population.
DATA
Oct.12
Product | PIXL Adds 6ml PIXL 5K in UK Alongside 12ml PIXL 8000 as Vape Duty Takes Effect
Product | PIXL Adds 6ml PIXL 5K in UK Alongside 12ml PIXL 8000 as Vape Duty Takes Effect
Vaping brand PIXL has introduced the PIXL 5K reusable prefilled pod device in the UK, featuring a 2ml prefilled pod and a 4ml refill container with a combined e-liquid capacity of 6ml. The device uses 20mg/ml nicotine salt e-liquid and is advertised to deliver up to approximately 5,000 puffs. Available through UK retailers by August 2026, the PIXL 5K sits alongside the existing 12ml PIXL 8000. The UK's Vaping Products Duty took effect on October 1 at £0.22 per millilitre, producing theoretical duty amounts of £1.32 and £2.64 for the two products' respective full refill sets.
product
Oct.10
Australian Coalition Taskforce Calls for 80% Tobacco Tax Cut to Combat Illicit Market
Australian Coalition Taskforce Calls for 80% Tobacco Tax Cut to Combat Illicit Market
According to SGST on August 26, 2026, Australia’s Coalition Illegal Tobacco Taskforce released a report recommending an up to 80% cut in tobacco excise to reduce the appeal of the illicit tobacco market. The report claimed organised crime groups now control about 80% of Australia’s tobacco market and argued that high excise rates have widened the price gap between legal and illegal products. The recommendation remains a policy proposal and has not been adopted by the Australian government, which said its focus remains on enforcement, compliance and additional resources.
Aug.27
IVG Parent Secures HMRC Excise Warehouse and Duty Stamp Approvals Ahead of UK Vape Tax
IVG Parent Secures HMRC Excise Warehouse and Duty Stamp Approvals Ahead of UK Vape Tax
Acme Vape Ltd, the company behind UK vaping brand IVG, has received HM Revenue & Customs approval to operate an excise warehouse for vaping products and participate in the Vaping Duty Stamps Scheme. The UK's Vaping Products Duty will take effect on October 1, 2026, at a flat rate of £2.20 per 10ml of vaping liquid. Acme Vape Ltd says its approved warehouse in Preston will become operational under the new regime on the same date.
Regulations
Sep.18 by 2Firsts Perspectives
Special Report | How Capital Is Reassessing the Global Tobacco and Modern Nicotine Industry: Lessons from a New York Forum
Special Report | How Capital Is Reassessing the Global Tobacco and Modern Nicotine Industry: Lessons from a New York Forum
Capital is reassessing the global tobacco and modern nicotine industry as heated tobacco, vaping and nicotine pouches reshape demand, profitability and regulation. At the 2026 New Approaches Summit in New York, investors and analysts examined whether smoke-free growth can sustain earnings, how regulation shapes startup value, and whether shareholder engagement can be more effective than divestment. The debate points to a broader shift: tobacco transition is increasingly becoming a capital-allocation, governance and valuation question.
Capital Markets
Oct.05
Ispire Q4 Revenue Rebounds 33% but Full-Year Sales Still Fall 25% as FY2027 Focus Shifts to Malaysia Manufacturing, ODM, Nicotine Pouches and Age Verification
Ispire Q4 Revenue Rebounds 33% but Full-Year Sales Still Fall 25% as FY2027 Focus Shifts to Malaysia Manufacturing, ODM, Nicotine Pouches and Age Verification
Ispire Technology reported FY2026 revenue of about $96 million, down 24.7% year over year, as U.S. cannabis-vapor hardware and European e-cigarette sales declined by $17.4 million and $12.7 million, respectively. Fourth-quarter revenue rose 32.5% to $26.7 million, while quarterly gross margin fell to 6.3%. For FY2027, the company is prioritizing Malaysia manufacturing and vapor ODM while continuing to develop nicotine pouches, IKE Tech age-verification technology and G-Mesh licensing. Ispire has not separately disclosed the revenue or profit contribution of those newer businesses.
Regulations
Sep.17 by 2Firsts Perspectives