California to receive $175M from Juul multistate settlement

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California to receive $175M from Juul multistate settlement
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The agreement with New York, California, Colorado, Illinois, Massachusetts, New Mexico and Washington, D.C. marks the latest in a string of recent legal settlements Juul has reached.

NEW YORK — Embattled electronic cigarette-maker Juul Labs Inc. will pay $462 million to six states and the District of Columbia, marking the largest settlement the company has reached so far for its role in the youth vaping surge, New York Attorney General Letitia James said Wednesday.

Those lawsuits alleged Juul violated state laws by targeting young people through its ads and promo campaigns. Like some other settlements reached by Juul, this latest agreement includes various restrictions on the marketing, sale and distribution of the company's vaping products. For example, it is barred from any direct or indirect marketing that targets youth, which includes anyone under age 35. Juul is also required to limit the amount of purchases customers can make in retail stores and online.

District of Columbia Attorney General Brian Schwalb said in a statement that Juul “knew how addictive and dangerous its products were and actively tried to cover up that medical truth.” In September, Juul agreed to pay nearly $440 million over a period of six to 10 years to settle a two-year investigation by 33 states into the marketing of its high-nicotine vaping products to young people. That settlement amounted to about 25% of Juul’s U.S. sales of $1.9 billion in 2021.

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