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Juul to pay $438.5 million settlement over underage marketing

Juul labs, who are a manufacturer of electronic cigarettes (e-cigarettes), have agreed to settle a lawsuit which was brought against them by 33 States and Puerto Rico. The lawsuit alleged that Juul targeted teenagers with its marketing campaign.

An investigation into Juul’s advertising campaign showed that the company marketed its nicotine products by using several methods such as launch parties, product giveaways, ads and social media posts.

As part of the settlement, Juul must also comply with “strict injunctive terms severely limiting their marketing and sales practices,” as per a press release from Connecticut Attorney General William Tong, who was in charge of the investigation alongside Texas Attorney General Ken Paxton and Oregon Attorney General Ellen Rosenblum.

Tony said in his report that Juul “relentlessly marketed vaping products to underage youth, manipulated their chemical composition to be palatable to inexperienced users, employed an inadequate age verification process and misled consumers about the nicotine content and addictiveness of its products.”

A Juul spokesman issued a statement to Forbes saying that the settlement represented a “significant part of our ongoing commitment to resolve issues from the past,” and that it is committed to “combating underage use.”

“We remain focused on the future as we work to fulfill our mission to transition adult smokers away from cigarettes – the number one cause of preventable death – while combating underage use,” the statement went on to say.

In 2019, the US Food and Drug Administration hit out at Juul for its marketing, which they said included a presentation to students while they were at school in which Juul representatives touted their products by saying they were “totally safe.

The FDA attempted to prohibit Juul from selling products, however this was blocked by an appeals court.

“We believe that once the FDA does a complete review of all of the science and evidence presented, as required by law, and without political interference, we should receive marketing authorization. As we go through the FDA’s administrative appeals process, we continue to offer our products to adult smokers throughout the U.S.,” Juul said in a statement on Tuesday.

ARTICLE: PAUL MURDOCH

MANAGING EDITOR: CARSON CHOATE

PHOTO CREDITS: BLOOMBERG

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Paul, 37, is from Scotland in the UK, but currently lives and works in Bangkok. Paul has worked in different industries such as telemarketing, retail, hospitality, farming, insurance, and teaching, where he works now. He teaches at an all-girls High School in Bangkok. “It’s a lot of work, but I love my job.” Paul has an active interest in politics. His reason for writing for FBA is to offer people the facts and allow them to make up their own minds. Whilst he believes opinion columns have their place, it is also important that people can have accurate news with no bias.

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