Reynolds Tries to Bully Small Retailers

MarketBusiness
May.04.2023
Reynolds Tries to Bully Small Retailers
R. J. Reynolds threatens lawsuits against small e-cigarette retailers if they don't cease selling flavored e-cigarettes, drawing criticism from industry experts.

American tobacco giant R. J. Reynolds has issued threats of lawsuits to small e-cigarette retailers if they do not stop selling flavored e-cigarettes, according to a report by StatNews on May 3rd. The threats were found in letters sent by Reynolds to the retailers in March.

 

"Long Arm Regulation"

The report suggests that this is the latest example of Reynolds's aggressive crackdown on illegal e-cigarette products. In one of the letters to a retailer, Reynolds Tobacco pointed out that the store was selling ELFBAR disposable e-cigarettes, which the FDA has not yet taken any enforcement action against.

 

In February, the company filed an application with the U.S. Food and Drug Administration (FDA) to ban flavored disposable e-cigarettes and supported similar legislation in Congress.

 

The letters also indicate Reynolds Tobacco's growing frustration with the FDA's enforcement approach, particularly regarding flavored e-cigarettes. Although these products are currently illegal, the FDA has only issued warning letters to some manufacturers.

 

Despicable Tactics Condemned

Industry researchers criticized Reynolds's actions. Eric Lindblom of Georgetown University's O'Neill Institute questioned the company's approach, stating that the FDA could resolve the issue. Independent consultant and tobacco harm reduction advocate Clive Bates also criticized Reynolds Tobacco, arguing that it should pressure federal agencies to do their jobs better, rather than targeting small retailers.

 

A spokesperson for Reynolds claimed that removing illegal products from store shelves demonstrates the company's commitment to consumers.

 

In the letters, Reynolds threatened that selling illegal products could lead to consequences, "including the termination of cooperation with Reynolds."

 

No Actions Yet

According to StatNews, it appears that Reynolds Tobacco has not yet sued any e-cigarette retailers. However, if the company does pursue litigation, it would likely be based on state unfair competition laws.

 

In the letters, Reynolds Tobacco's lawyers argue that the sale of flavored tobacco products violates relevant laws and "has harmed and will continue to harm" Reynolds's e-cigarette business. Reynolds may also contend that being forced to compete with illegal products undermines its legitimate business. However, this argument seems to contradict statements made by the CEO of its parent company, British American Tobacco, who told investors that the growth of disposable products in the U.S. has not negatively impacted the company's business. In a February 2023 earnings call, he stated that Vuse is the fastest-growing nicotine product in the U.S.

 

*The content of this article is written after the extraction, compilation and integration of multiple information for exchange and learning purposes. The copyright of the summary information still belongs to the original article and its author. If any infringement is found, please contact us to delete it. 

Special Report | Breeze and Glas Seek White House Review as FDA Advances Flavored ENDS Guidance
Special Report | Breeze and Glas Seek White House Review as FDA Advances Flavored ENDS Guidance
Breeze Smoke and Glas, Inc. have separately requested White House review under Executive Order 12866 as the FDA advances draft guidance on flavored ENDS (RIN 0910-ZC78). The guidance aims to clarify evidentiary standards under the statutory “appropriate for the protection of public health” (APPH) framework. The parallel filings highlight industry concern over regulatory predictability, particularly as Glas’s PMTA review status has recently drawn market attention.
Special Report
Mar.03
Exclusive|Logistics Operators Warn of Possible New U.S. Border Crackdown on Illicit Vapes
Exclusive|Logistics Operators Warn of Possible New U.S. Border Crackdown on Illicit Vapes
Recent inspections and cargo disruption have led some logistics operators in the China-U.S. vape trade to see early signs of another U.S. border crackdown on illicit e-cigarettes. With late April to early May viewed as a key risk window, the market is watching closely. The bigger question is not only whether enforcement will tighten, but whether it can be sustained.
Special Report
Apr.09
Special Report|Reynolds’ 337 Patent Case Ends, but a Harsher 337 Compliance Battle Now Targets the Entire Vape Supply Chain
Special Report|Reynolds’ 337 Patent Case Ends, but a Harsher 337 Compliance Battle Now Targets the Entire Vape Supply Chain
The U.S. International Trade Commission (ITC) has terminated Investigation 337-TA-1410 after invalidating key vape patent claims asserted by R.J. Reynolds Vapor Company, removing the immediate risk of import bans for dozens of companies. However, a new case—337-TA-1486—has already opened a more consequential legal front, shifting the focus from patent disputes to regulatory compliance across the vape supply chain, including PACT Act reporting, tax compliance, and FDA marketing authorization.
BAT
Mar.11
U.S. Adult Smoking Rate Falls to Historic Single-Digit Low of 9.9%, Study Shows Shift in Nicotine Use Patterns
U.S. Adult Smoking Rate Falls to Historic Single-Digit Low of 9.9%, Study Shows Shift in Nicotine Use Patterns
A new study analyzing National Health Interview Survey data found that adult cigarette smoking in the United States declined to 9.9% in 2024, down from 10.8% in 2023. The findings, published in NEJM Evidence, represent a historic milestone in U.S. tobacco control efforts. Researchers noted that while cigarette smoking is decreasing, the prevalence of e-cigarette and cigar use remained largely unchanged, suggesting a shift in nicotine consumption rather than the elimination of tobacco use.
Market
Mar.20
U.S. Military Smoking Debate Spotlights E-Cigarettes and Nicotine Pouches as a “Bridge”
U.S. Military Smoking Debate Spotlights E-Cigarettes and Nicotine Pouches as a “Bridge”
At a policy forum hosted by The Hill and sponsored by PMI US, U.S. defense health officials, lawmakers and industry representatives discussed tobacco use in the military and explored the potential role of smoke-free nicotine products — including e-cigarettes and nicotine pouches — as transitional tools to help service members reduce reliance on combustible cigarettes.
PMI
Mar.23
Sesh Launches 200-Pouch Refill Bag, Expanding Retail Unit Size in U.S. Nicotine Pouch Market
Sesh Launches 200-Pouch Refill Bag, Expanding Retail Unit Size in U.S. Nicotine Pouch Market
According to a LinkedIn post published by Sesh CMO Josh Metz on February 25, 2026, Sesh Products has introduced a 200-pouch nicotine pouch refill bag sold with a reusable metal can. In a U.S. MO market dominated by 20-pouch plastic cans, the product offers a larger retail unit size. The company lists a standard price of USD 49.99, with a uniform 15% discount currently applied, bringing the price to USD 42.49.
Innovation
Feb.25