Juul, the e-cigarette company, has agreed to settle a lawsuit filed by the US state accusing it of promoting its products to minors. Juul will pay North Carolina, an amount of $40 million (£29 million) over six years and will modify its advertising in the state. However, as part of the deal, the vape pen maker did not admit any wrongdoing.
According to a spokeswoman for Juul, “This agreement is in line with our continuing efforts to restructure our business. We will continue to fight underage smoking and advance harm reduction options for adult smokers.”
Over the previous two years, Juul has stopped selling its non-menthol, non-tobacco flavoured products and halted all mass-market product promotion. According to the company, one of its measures included, taking down Instagram and Facebook accounts that are marketing the company’s vape goods.
The agreement, announced by North Carolina Attorney General Josh Stein on Monday, is the company’s first with a state government.
“North Carolina is now the first state in the nation to hold Juul accountable for its essential role in establishing a youth vaping epidemic,” Attorney General Stein said at a news conference. “They did it to kids throughout North Carolina and our country just to earn money.”
The ‘epidemic’ of youth vaping
Juul will not be permitted to advertise to underage persons or utilise anyone in its advertisements who is under the age of 35 in the state, under the terms of the agreement. The agreement also limits the amount of Juul vaping devices and pods that North Carolina residents may purchase on a monthly or annual basis.
Juul’s tiny devices and pleasant flavours, which formerly included mango or cucumber, allegedly supplied the extremely addictive chemical nicotine to young people while also marketing items to them online, according to the lawsuit.
According to the state’s Youth Tobacco Survey, the use of e-cigarettes increased by 78 percent among North Carolina high school students between 2018 and 2019. The money from the settlement will be used to finance research and programmes targeted at preventing young people from becoming addicted to vaping.
Juul expressed interest in collaborating with Attorney General Stein and other firms to create industry-wide marketing guidelines.
It also expressed its support for the state’s plan to utilise the settlement funds to prevent underage drinking.
Other comparable claims in the US have been made against the corporation by state officials, school districts, and even young individuals, and are currently pending.
Juul has long marketed its nicotine pods as a healthier alternative to cigarettes.