Author: Staff Writer

Juul Labs Settlement Reported to be $1.2-$1.7 Billion

Credit: Zimmytws
The media reports vary. What can be discerned is that Juul Labs has settled more than 5,000 lawsuits for the sum of between $1.2 billion and $1.7 billion.
New York Times reports that Juul Labs Inc. has agreed to pay $1.7 billion to settle more than 5,000 lawsuits by school districts, local governments and individuals, which claimed that its e-cigarettes were more addictive than advertised, according to people with knowledge of the deal.
Bloomberg reports Juul Labs has agreed to pay $1.2 billion to resolve about 10,000 lawsuits targeting the e-cigarette maker as a major cause of a U.S. youth-vaping epidemic, according to people with knowledge of the deal.
The San Francisco Examiner reports that the e-cigarette maker faced more than 8,000 lawsuits suits brought by individuals and families of Juul users, school districts, city governments and Native American tribes. This week’s settlement resolves most of those cases, which had been consolidated in a California federal court pending several bellwether trials.
The Wall Street Journal, which first reported the story, reported that Juul Labs settled more than 5,000 lawsuits covering more than 10,000 individual plaintiffs on Dec. 6. Financial terms of the deal were not disclosed.
Juul Labs announced in a press release that it has reached settlements with plaintiffs in the federal multidistrict litigation (MDL) and related “Juul Labs Product Cases” (JCCP) that have been consolidated in the United States District Court for the Northern District of California. Juul Labs did not disclose any amounts.
“These settlements represent a major step toward strengthening Juul Labs’ operations and securing the company’s path forward to fulfill its mission to transition adult smokers away from combustible cigarettes while combating underage use,” the company wrote.
The global resolution covers more than 5,000 cases brought by approximately 10,000 plaintiffs against Juul Labs and its officers and directors, according to Juul Labs.
Over the past year, Juul Labs also has settled with 37 states and territories and remains in ongoing discussions with other key stakeholders to resolve the remaining litigation, according to the release.
The amount for the deal, which involves a consolidation of cases centered in Northern California, is more than three times the sum reported for other Juul Labs settlements in other state and local cases thus far, according to the New York Times.
The deal resolves much of the legal uncertainty that had driven the company close to bankruptcy.
Juul announced on Dec. 6 it has secured an investment to cover the cost of the settlement. The company has been in talks with two early investors to fund a bailout that would cover legal liabilities.
According to Juul CEO K.C. Crosthwaite, the settlement addresses the vast majority of outstanding litigation facing the company, including two pending bellwether trials that were set to go to court early next year, and four broad groups: personal-injury plaintiffs, Juul consumers, government entities such as school districts, and Native American tribes. Lawsuits brought by several attorneys general are pending.
A pioneer in the vaping business, Juul Labs has gone from dominating the U.S. e-cigarette market to fighting for its survival in a relatively short time.
December 11, 2022
FastTech Falls as China’s Vape Rules Slow Sales

Credit: Nikolay N. Antonov
Chinese online retailer FastTech is closing in the wake of strict new vaping regulations, reports Vaping360.
In a Dec. 5 post on its customer forum, the discounter blames restrictions introduced after the State Tobacco Monopoly Administration took control of China’s vaping business. The new measures have increased uncertainty, preventing the company from remaining competitive, according to firm.
China outlawed domestic online vape sales in 2019. The measure was followed by a licensing and sales regulations, along with the new tax scheme. Hong Kong’s ban on importing Chinese vape products for air shipping to export destinations—which is currently being reconsidered—may also have affected FastTech, which shipped many of its products through the city.
FastTech sold Chinese-made vape products, including many semi-legal clones and copies of well-known products, to overseas customers at sometimes near-wholesale prices, and shipped them inexpensively
According to Vaping360, there remain a number of FastTech competitors in China operating on a similar business model.
In October, a reporter from Beijing Youth Daily claimed many businesses closed because of the implementation of China’s National Standard for Electronic Cigarettes have begun.
December 9, 2022
Happy Vibes’ Twist Offers Four Flavors in One Device

UK-based Happy Vibes has introduced a unique new vaping product called “Twist.” It’s the first vaping device to offer users four flavor choices within a single disposable device.
Vapers just need to “twist” the top of the device to switch between the flavors. “It’s a novel concept – use a single flavor or multiple flavors in the same device,” a press release states. “No need for tools, no need to pour and make a mess – it’s twist and go! It’s easy and convenient to use, allowing vapers to enjoy their device without the pain of having to open the device and fill up a tank.”
Happy Vibes also offers a unique recycling program for its disposable devices, the company states, adding that its recycling program uses the slogan “the end is just the beginning.” No other details were offered about the recycling program.
Happy Vibes will follow up the launch of Twist with another device that is a “step in the right direction” with the launch of their “Reuse” product, a vaping device made from straw and biodegradable plastic, as well as an included Type C charging port, the release states.
December 8, 2022
Professor Receives Funding for Pilot Vaping Study
Nathan Jackson
A group of researchers from The University of New Mexico (UNM) in the U.S. are leading a project that would allow vapers to reap the benefits of electronic nicotine-delivery system (ENDS) products without the potential health risks.
Nathan Jackson, an assistant professor in the Department of Mechanical Engineering, is one of the principal investigators on the project called “Droplet and Metal Particle Analysis of ENDS,” which has been selected for a pilot award through the UNM Comprehensive Cancer Center.
Jackson said that current vaping tools operate by heating liquid to high levels in order to vaporize it, which creates a chemical reaction that generates potentially toxic products such as formaldehyde and acrolein that have well-known long-term health risks for cardiovascular or respiratory diseases.
“Every vaping tool functions by heating the liquid to greater than 200 degrees celsius, which creates toxic byproducts, which then enter the aerosol droplets that are inhaled,” he said. “Our technology uses a different mechanism to create the aerosol that does not require heating, so it could potentially eliminate the harmful byproducts.”
Jackson is the inventor of an atomization technology based on silicon microfabrication called silicon-vibrating mesh atomizer (Si-VMA) that uses significantly lower heat, has the potential to eliminate ultrafine particles by producing low-span and high-efficiency uniform droplet distribution, and can potentially eliminate metal particles in the aerosol since it uses a silicon-based membrane instead of a metallic one, according to a press release.
“Our technology uses a silicon substrate, where no metal is in contact with the liquid and it uses less heat, so potentially we can reduce the health risks associated with vaping,” Jackson said. “Also, our technology can generate micro-scale droplets instead of the nano-scale droplets found in current vaping tools, so that means that droplets are less likely to enter the blood stream and cluster together, which could also result in safer aerosols.”
Co-principal investigators on the project, which is funded through June 2023, involve two researchers from the UNM Health Sciences Center: Pavan Muttil from the School of Pharmacy and Katie Zychowski from the College of Nursing.
Jackson said the market for this type of solution for a safer vaping tool is enormous, for both medical uses and recreational uses, and a safer technology could reduce potential health costs associated with vaping in the future.
Jackson said the short-duration pilot study is designed to assess the feasibility of developing safer vaping technology in the future. After the results of this study are reported, he said the group plans to pursue larger funded projects that would enable them to develop improved technology with the option of later commercialization.
December 8, 2022
Juul Labs to Pay Indiana $15.7 Million to Settle Suit

Credit: Niro World
Juul Labs Inc. will pay Indiana more than $15.7 million to settle allegations that the company deliberately marketed its products to minors, Attorney General Todd Rokita announced today. Indiana is one of 32 states participating in a larger agreement under which Juul Labs will pay out nearly $435 million.
“My team and I fight daily to protect Hoosiers from improper business practices that put families at risk,” Rokita said, as reported by am1050. “Wrongful actions that jeopardize children are especially repugnant and shameful. Fortunately, the money we have recovered in this settlement can go toward safeguarding the same young people targeted by the unethical marketing strategies employed by Juul.”
Indiana’s funds are intended to be used in support of prevention, education, harm reduction and mitigation efforts related to youth using electronic nicotine-delivery systems.
Juul Labs has an option to pay over 6-10 years — with the total payout increasing the longer it takes to pay. If Juul Labs chooses a 10-year option, Indiana’s amount would exceed $17.1 million. Juul’s first payment to Indiana will be $1,478,665 — due Dec. 31, 2022. All additional payments are due on Dec. 31 each year.
Juul Labs announced today that it had settled more than 5,000 lawsuits covering more than 10,000 individual plaintiffs.
December 7, 2022
Juul Labs Settles With More Than 10,000 Plaintiffs

Credit: Juul Labs
Juul Labs has settled more than 5,000 lawsuits covering more than 10,000 individual plaintiffs, reports The Wall Street Journal. Financial terms of the deal were not disclosed. However, several media outlets are reporting the amount to be between $1.2 billion and $1.7 billion.
The deal resolves much of the legal uncertainty that had driven the company close to bankruptcy.
Juul announced on Dec. 6 it has secured an investment to cover the cost of the settlement. The company has been in talks with two early investors to fund a bailout that would cover legal liabilities.
According to Juul CEO K.C. Crosthwaite, the settlement addresses the vast majority of outstanding litigation facing the company, including two pending bellwether trials that were set to go to court early next year, and four broad groups: personal-injury plaintiffs, Juul consumers, government entities such as school districts, and Native American tribes. Lawsuits brought by several attorneys general are pending.
A pioneer in the vaping business, Juul Labs has gone from dominating the U.S. e-cigarette market to fighting for its survival in a relatively short time.
Following its initial success, the company quickly came under regulatory scrutiny over its marketing practices. Critics blame Juul Labs for contributing to an “epidemic” of underage vaping.
Thousands of lawsuits have been filed against Juul over the past several years, alleging that the company marketed its e-cigarettes to children. Juul has said it never marketed to underage users.
In September, Juul Labs agreed to pay nearly $440 million to settle a two-year investigation by 33 U.S. states into the marketing of its vaping products.
Juul’s e-cigarettes were briefly banned in the U.S. in late June after the FDA concluded that the company had failed to show that the sale of its products would be appropriate for public health. But following an appeal, the health regulator put the ban on hold and agreed to an additional review of Juul’s marketing application.
In October, Juul published the details of its MDO appeal. In late September, Juul shareholder Altria Group exercised the option to be released from its noncompete deal with the e-cigarette maker.
December 7, 2022
Costa Rica Authorizes Country’s First Hemp Farm

Credit: Gian
Costa Rica has for the first time has given an agricultural conglomerate authorization to grow and process hemp under a recently signed resolution from the country’s agriculture ministry.
Ingenio Taboga SA, a farming and food company, said it plans to plant hemp and build a processing factory on a 150-acre site.
Taboga, based in Bebedero de Cañas, Guanacaste, lists products in alcohol-based sanitizers, specialty sugars, natural sweeteners, protein powders and CBD on its website, according to Hemp Today.
“For the Ministry of Agriculture and Livestock, the development of responsible and efficient agricultural activities with significant agro-export potential is extremely important,” said Agriculture Minister Víctor Carvajal, adding that seven hemp more projects are being considered for authorization, with approval expected soon.
Under rules approved by agriculture and health officials in September, hemp farming and production licenses are intended to be inexpensive and widely available in Costa Rica. Individuals and legal entities can be authorized to grow and process hemp, and rules are set for post-harvesting, storing, transporting, product manufacturing, marketing, importing and export of health, food and industrial products.
Costa Rica’s rules set the limit for THC in hemp plants at 1.0 percent. Most countries follow a generally accepted limit of 0.3 percent THC as the dividing line between hemp and marijuana.
Industry advocates in Costa Rica say establishing a robust hemp sector can spark development of agricultural value chains by bringing economic and social opportunities to the country’s rural areas, and contribute to the growth of the pharmaceutical industry.
December 7, 2022
South Portland, Maine to Consider Flavor Ban Today

Credit: ATDR
South Portland may become the next Maine community to ban the sale of flavored vaping and other tobacco products.
Under a proposed ordinance, violators would receive a $500 fine that could jump to $2,500 per subsequent violation.
Included in the proposed ban are tobacco products with “any taste or smell relating to fruit, menthol, mint, wintergreen, chocolate, cocoa, vanilla, honey, or any candy, dessert, alcoholic beverage, herb, or spice.”
The city council will hold a hearing Today, according to Spectrum News.
The ordinance is being proposed as a way to prevent young people from becoming addicted to nicotine.
South Portland attempted a ban in 2019 stalled, however, it stalled partly because no other Maine community had yet done so, according to media reports.
Now, both Bangor and Portland have banned flavored tobacco earlier this year following a unanimous vote of its city council.
A recent study showed that less than 5 percent of the 3,500 adult e-cigarette users surveyed quit using e-cigarettes in response to a U.S. flavor ban.
December 6, 2022
Biden Signs First Federal Standalone Marijuana Bill
President Joe Biden officially signed the first piece of standalone federal cannabis reform Friday. The U.S. president signed a marijuana research bill into law that cleared the House in July and the Senate last month.
The act is aimed at providing federal support to facilitate research of cannabis and its potential health benefits. The law gives the U.S. attorney general 60 days to either approve a given application or request supplemental information from the marijuana research applicant.
The Marijuana and Cannabidiol Research Expansion Act also creates a more efficient pathway for researchers who request larger quantities of cannabis.
The act does three things:
Provides a mechanism for the scientific study of cannabidiol and cannabis for medical purposes;
Arranges a pathway for the FDA to approve the commercial production of drugs containing or derived from cannabis; and
Protects doctors who may now discuss the harms and benefits of using cannabis and cannabis derivatives.
The president remains opposed to federal cannabis legalization, but he campaigned on a number of more modest marijuana reforms, including promoting research, decriminalization and rescheduling cannabis under the Controlled Substances Act (CSA), according to the National Law Review.
Biden also issued a mass pardon for Americans who’ve committed federal marijuana possession cases in October and directed an administrative review into cannabis scheduling. The White House recently listed those actions among the “top accomplishments” for the president.
December 5, 2022
China Gives 12 Years to Heat-not-Burn Smugglers

China’s Intermediate People’s Court of Fangchenggang City, Guangxi has sentenced a number of people for smuggling the hardware and tobacco sticks used in heated tobacco products.
It’s the first time China has made a judgement in a heat-not-burn smuggling case, according to the Fangcheng Customs Anti-smuggling Branch of the Nanning Customs Anti-smuggling Bureau.
The defendants were found guilty of smuggling ordinary goods and articles (IQOS Heatsticks and hardware), and were sentenced to fixed-term imprisonments ranging from 4 to 12 years and fines ranging from ¥200,000 to ¥1 million. The exact number of people sentenced was not reported.
One defendant was found guilty of money laundering and sentenced to 10 months in prison, suspended for one year, fined ¥20,000 yuan, and more than ¥420,000 in money laundering illegal proceeds was recovered.
The investigation began on April 21, 2021, under the unified deployment of the Anti-smuggling Bureau of the General Administration of Customs, the Nanning and Hangzhou Customs Anti-smuggling Bureaus, in conjunction with the tobacco departments of Guangxi, Zhejiang, Guangdong, Hunan and other places, synchronized in Fangchenggang, Guangxi, Shaoxing, Zhejiang, and Shenzhen, Guangdong, according to the release.
The illicit goods were collected and seized, and three criminal gangs smuggling the illegal products were successfully detained, and about 4,500 heat-not-burn products were seized.

December 2, 2022