- Title: Juul to pay North Carolina $40 mln over claims it targeted youth
- Date: 28th June 2021
- Summary: SEOUL, SOUTH KOREA (FILE - OCTOBER 23, 2019) (REUTERS) VARIOUS OF JUUL STORE EXTERIOR NEW YORK, NEW YORK, UNITED STATES (FILE) (REUTERS) VARIOUS OF JUUL ADS AND PRODUCTS INSIDE OF VAPING STORE
- Embargoed: 12th July 2021 20:01
- Keywords: North Carolina e-cigarette maker Juul teen use of e-cigarettes surges teen vaping vaping-related illnesses
- Location: NEW YORK, NEW YORK, + JERSEY CITY, NEW JERSEY, + ENCINITAS, CALIFORNIA, UNITED STATES / SEOUL, SOUTH KOREA / INTERNET / UNIDENTIFIED FILMING LOCATIONS
- City: NEW YORK, NEW YORK, + JERSEY CITY, NEW JERSEY, + ENCINITAS, CALIFORNIA, UNITED STATES / SEOUL, SOUTH KOREA / INTERNET / UNIDENTIFIED FILMING LOCATIONS
- Country: USA
- Topics: Company News Markets,Economic Events,United States
- Reuters ID: LVA003EJBI43R
- Aspect Ratio: 16:9
- Story Text:E-cigarette maker Juul Labs Inc has agreed to pay $40 million to North Carolina to settle a lawsuit by the state accusing it of marketing its products to minors.
The settlement, announced on Monday (June 28) by North Carolina Attorney General Josh Stein, is the first reached by the company with a state government.
The deal also includes restrictions on sales of products that appeal to minors and requires Juul to produce yearly reports demonstrating its compliance.
Stein told a news conference he began investigating Juul after "hearing from friends about the devastation that this product had visited on kids' lives - addiction, depression, bad grades, switching schools, medical treatment and more."
In a statement, Juul said: "This settlement is consistent with our ongoing effort to reset our company and its relationship with our stakeholders, as we continue to combat underage usage and advance the opportunity for harm reduction for adult smokers."
Juul's e-cigarettes resemble USB flash drives and work by vaporizing a nicotine-laced liquid. In its 2019 lawsuit, North Carolina said the company downplayed the potential harm its products can cause, fueling an "epidemic" of vaping among minors.
Under pressure from regulators, the company had already pulled popular flavors such as mango and cucumber from retail store shelves and shut down its social media channels on Instagram and Facebook.
Juul, in which Marlboro maker Altria Group took a 35 percent stake in 2018, still faces more than 2,000 lawsuits over its e-cigarette marketing. The U.S. Federal Trade Commission in March asked it and other e-cigarette makers to hand over sales and advertising data.
(Production: Aleksandra Michalska)
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