OH AG: ‘No nicotine marketing to kids;’ Juul to pay states nearly $440 million in settlement probe

WHIO Staff
·2 min read

E-cigarette maker Juul will have to pay nearly $440 million to dozens of states in a settlement to drive down tobacco use.

Ohio Attorney General Dave Yost, along with 32 other state attorneys general and Puerto Rico, made the announcement.

>>Juul to pay $438.5M to settle probe into marketing to teens

It stems from a nearly two-year investigation into the company’s marketing sales practices.

The investigation found that Juul purposefully marketed products to young people, even though it is illegal to sell e-cigarettes to those who are underage.

News Center 7′s Kayla McDermott says Juul is known for selling e-cigarettes with fruity flavors that are popular with teenagers and kids and their marketing team included free samples, social media campaigns, launch parties, and used young-looking models in its ad campaigns.

There was a 70 percent increase in teen use of e-cigarettes after the company’s launch in 2015, according to the FDA.

“We think that this will go a long way in stemming the flow of youth vaping,” said William Tong, Connecticut Attorney General. “I’m under no illusions and cannot claim that it will stop youth vaping. It continues to be an epidemic. It continues to be a huge problem. But we have essentially taken a big chunk out of what was once a market leader.”

This is not the first time a cigarette company has been accused of getting juveniles addicted to nicotine, according to McDermott.

“No nicotine marketing to kids,” said Dave Yost, Ohio Attorney General. “It was wrong when it was Joe Camel, and it’s wrong when it’s Juul’s mint and fruit flavors and their influencer for new addicts.”

>>RELATED: Juul, FDA agree to suspend court case while e-cigarette ban remains on hold

In June, the FDA did try to stop Juul from selling products but a court blocked the ban so customers can still find the e-cigarette in stores.

The company now has restrictions placed on it.

McDermott says Juul agreed to stop using the following in the settlement:

  • Cartoons

  • People under the age of 35

  • Product placement

  • Free samples

  • Influencers

  • Flavored products in marketing to youth

Juul will have a decade to make pay with the $438.5 million settlement.

If it takes longer, McDermott says the final amount could reach up to almost $480 million.