Jul Labs will pay West Virginia $7.9 million to settle a lawsuit over the vape company's marketing tactics aimed at youth, Attorney General Patrick Morrisey said.
According to CBS News, the tobacco company violated state credit and consumer protection laws and used social media and popular influencers to unfairly target youth in marketing.
According to CNN, Morrissey said Joule "misleads consumers about nicotine strength, distorts the product's nicotine compatibility with traditional cigarettes, and underestimates the risk of addiction associated with such strong nicotine levels."
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According to a CBS News 2020 report, more than 60% of West Virginia high school students tried e-cigarettes in 2019, up from 44% in 2017.
"This agreement will prevent companies like Juul from copying the Great Tobacco Handbook or their marketing strategy to minors," Morrissey said in a statement, CBS News reported.
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The Associated Press quoted the company as saying, "Because West Virginia has some of the highest smoking rates in the United States, we hope that a portion of the proceeds will go directly to efforts to reduce the use of combustible cigarettes and improve public health." state"
According to CNN, the terms of the deal require Juul Labs to fund resources to address underage drug use and create smoking cessation programs.
A Juul spokesperson said in a statement that the settlement is "another step in the company's ongoing commitment to resolving past issues," the publication said.
According to Morrissey, 14.3% of West Virginia high school students have smoked an e-cigarette at least once in the past 30 days, which is higher than the national average of 13.2%, according to CNN.
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In the year In July 2022, it settled similar lawsuits in 37 states and territories, involving more than 5,000 cases with a total of 10,000 plaintiffs, related to the company's vaping products, NPR reported.
The Deseret News reported last year that Utah will receive an initial $438.5 million, about $8.6 million over six years, that includes several states that have sued the company for similar reasons.
"It represents a major victory against those who knowingly sell unhealthy food to young people," said Margaret Busse, executive director of the Utah Department of Commerce, in a statement regarding the settlement.
CBS News reported last year that the U.S. Food and Drug Administration temporarily suspended a decision to ban Juul from selling and distributing products following a lawsuit by tobacco companies.