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E-cigarette company Juul to pay $40 million in North Carolina lawsuit settlement

E-cigarette company Juul Labs will pay $40 million and make changes to its business practices to settle the first state lawsuit that alleged it marketed to teens, North Carolina state attorneys announced on Monday.

The settlement follows a lawsuit filed in 2019 by North Carolina Attorney General Josh Stein that claimed Juul marketed its products to children and misled the public about risks associated with those products. The order issued Monday will restrict the e-cigarette manufacturer’s sales and advertising in the state, and provide funds to help those addicted to e-cigarettes.

“Under this consent order, Juul cannot sell mint. It cannot sell mango, it cannot sell crème brulee, or any other flavor,” without authorization from the US Food and Drug Administration, Stein said in a news briefing after a court hearing on Monday.

“Juul must abandon all marketing strategies and content that appeals to young people. Juul will be prohibited from influencer advertising, outdoor advertising near schools, sponsoring sporting events and concerts, and most importantly, most social media advertising,” he said. “JUUL cannot use anyone under the age of 35 years in their advertising. Juul cannot make any claims that its e-cigarettes are safer or better for your health than combustible cigarettes.”

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