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Juul labs announced on Tuesday that it settled over 5,000 lawsuits for an undisclosed amount after being accused of marketing vapes and e-cigarettes to teens.
The Northern California case involved over 10,000 plaintiffs and included personal injury, consumer class action, government, and Native American tribal cases. Juul Labs said they secured an equity investment which aided in funding the settlement.
“The scope of these suits is enormous,” said Sarah R. London, an attorney for the plaintiffs. “These settlements will put meaningful compensation in hands of victims and their families, get real funds to schools for abatement programs, and help government and tribal entities prevent youth use of e-cigarettes across the U.S.”
Philip Federico, who provided counsel for 60 school districts during the litigation called the settlement a “tremendous victory for school districts burdened by the vaping epidemic.”
Juul previously settled a $438.5 million lawsuit in September to end an investigation by 34 states into the company’s advertising and marketing. The investigation focused on Juul’s use of young models and sweet vape flavors to lure in teen users. The settlement required Juul to alter its marketing, prohibiting the company from targeting young people.
The company’s flavored vape products including mango, cucumber, and fruit and cream were removed from shelves in 2018 following a request from the F.D.A. Juul Labs has maintained the position of being a product to assist adult cigarette smokers in finding a less harmful alternative. However, a 2020 study published in Tobacco Regulatory Science found that nicotine concentrations in Juul products were five to eight times higher than in tobacco products.
Juul was banned from selling its products in the U.S. in June but received a temporary court reprieve allowing the company to sell again. The Food and Drug Administration has not yet made a decision regarding the permanent authorization for the sale of Juul products.
“These settlements represent a major step toward strengthening Juul Labs’ operations and securing the company’s path forward to fulfill its mission to transition adult smokers away from combustible cigarettes while combating underage use,” a spokesman for Juul said in a statement.
According to the Centers for Disease Control and Prevention, over 2.5 million U.S. school students used e-cigarettes and vapes in 2022.
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