Juul Labs, the e-cigarette manufacturer, has agreed to pay $67.6 million to the state of Illinois as part of a multistate settlement. The settlement, which also includes New York, California, Massachusetts, the District of Columbia, New Mexico, and Colorado, follows years of legal action against the company. The allegations were that the company targeted minors with its advertising and misled consumers about the product’s health risks.
Illinois Attorney General Kwame Raoul and other attorneys general announced the settlement on Wednesday. Raoul has been “aggressively litigating” against Juul since 2019, when he took office. The matter became personal for him when his teenage children brought e-cigarettes home.
Under the settlement, Juul will pay $462 million, the largest settlement against the company yet. The ruling also requires Juul to follow more stringent regulations of its marketing and sales. The money Illinois receives from this lawsuit will go toward awareness and treatment programs, as well as efforts in conjunction with public health officials, school districts, and community partners.
Juul has already settled numerous similar lawsuits and faced bans and regulations from the FDA. Last summer, the FDA banned Juul products in the U.S., but the company’s rechargeable vapes and nicotine cartridges have remained on shelves as the agency issued a stay to conduct further review.
Juul will no longer be allowed to show people under 35 in its advertising. It must also take further measures to secure its products behind store counters and verify buyers’ ages.
Chicago has been working to curb the “astronomical use” of e-cigarettes among the city’s youth. An ordinance passed in January requires a new license for retailers that derive 20% of their gross revenue from e-cigarettes and related products. The City Council voted to ban flavored liquid nicotine products in 2020, stopping short of banning all flavored tobacco products, like menthol cigarettes.
Last month, Chicago settled with Juul for $23.8 million in a lawsuit that alleged Juul marketed and sold to minors. The money from that settlement will go toward education and other programs to prevent vaping among teens.
Nicotine can damage young people’s developing brains and exacerbate mental health issues like depression and anxiety. Juul maintains its products offer a safer alternative to cigarettes for adult smokers, but Raoul called these claims, as well as claims that e-cigarettes can help smokers quit traditional cigarettes, “false, particularly with regards to our youth.”
The Truth Initiative, a nonprofit anti-smoking organization that also discourages vaping, called the multistate settlement “an important milestone.” CEO Robin Koval said she is pleased these “hard-won funds” will go toward abatement and prevention programs to “undo the damage done by Juul.” The Truth Initiative offers cessation and education programs that target young people.
In conclusion, Juul Labs has agreed to pay $67.6 million to the state of Illinois as part of a multistate settlement. This settlement comes after years of legal action against the company, alleging that the company targeted minors with its advertising and misled consumers about the product’s health risks. Under the settlement, Juul will pay $462 million, the largest settlement against the company yet. The ruling also requires Juul to follow more stringent regulations of its marketing and sales.
FAQs:
How much is Juul paying Illinois in the settlement?
Juul is paying Illinois $67.6 million in the settlement.Which other states were included in the multistate settlement with Juul?
The other states included in the multistate settlement with Juul are New York, California, Massachusetts, the District of Columbia, New Mexico, and Colorado.What are some of the allegations against Juul in the legal action?
The allegations against Juul in the legal action include targeting minors with its advertising and misleading consumers about the product’s health risks.What will the money from the settlement in Illinois be used for?
The money from the settlement in Illinois will go toward awareness and treatment programs, as well as efforts in conjunction with public health officials, school districts, and community partners.What measures will Juul have to take as part of the settlement?
Juul will no longer be allowed to show people under 35 in its advertising, and it must take further measures to secure its products behind store counters and verify buyers’ ages.