JUUL Labs, Inc filed a suit against defendant Reeha LLC in the District of Connecticut alleging trademark infringement and unfair trading practices on their vaping products for purportedly selling counterfeit JUUL products, according to lawstreetmedia.
The complaint, filed Dec. 15, states that “wrongdoers have counterfeited JUUL products by illegally manufacturing, selling and distributing fake, copied, and non-genuine versions of JUUL products and related packaging bearing JUUL trademarks.”
Allegedly the defendant did not have JUUL’s “authorization to produce, manufacture, distribute, market, offer for sale, and/or sell merchandise bearing the JUUL marks.” The plaintiff also claims that the defendant hurt the JUUL brand by selling lower quality products to unsuspecting customers who believed these to be true JUUL products.
Reeha allegedly used the trademarked words “JUULpods” in some of their products as well as the plaintiff’s company name “JUUL.”
The Juul contends that Reeha sold “unlawful Grey Market Goods,” which are only meant to be sold in foreign markets because they do not comply with U.S. regulation. According to the complaint, this became more obvious to the plaintiff when it looked at some of these counterfeit products that contained foreign language warnings on them, which are never found on JUUL products legally sold in the United States.
According to the plaintiff, it sent a cease-and-desist letter to the defendant to end the sales of the “unlawful Grey Market Goods,” yet the sales continued after the letter had been sent to the defendant.
The defendant is facing six counts, including trademark infringement – counterfeit goods, false designation of origin, unfair competition, trademark infringement – grey market goods, statutory unfair trade practices and common law unfair competition.
Australia’s Therapeutic Goods Administration (TGA) has fined four individuals and companies more than AUD170,000 ($122,740) for unlawfully advertising or importing vaping products, reports The Guardian.
Since October, Australian vapers have been required to obtain a doctor’s prescription for nicotine-containing e-cigarettes and liquids. Doctors are supposed to prescribe the products only as a last resort when more proven quit treatments fail. The law changes were prompted by concerns about the health impacts of vaping, and data showing children are increasingly using the products.
In response to the new rules, companies have set up websites offering to link vapers to a health practitioner authorized to prescribe the products. But the law allows only pharmacies and pharmacy-marketing groups to advertise in a limited way. Non-pharmacy websites that advertise vaping products or links to online suppliers are likely to be noncompliant with the nicotine advertising permissions.
The fined companies are Mason Online, RV Global Ecommerce, Vapespot and a Melbourne-based individual.
Maurice Swanson, chief executive of the Australian Council on Smoking and Health, said he was pleased with the TGA’s actions.
“We welcome the strong monitoring of illegal advertising which doesn’t meet the guidance provided by the TGA,” he said. “The TGA’s advertising guidelines have been well-known and well-promoted, so companies can’t claim not to have known about it.”
More than $2 million worth of vaporizers, components, e-liquids and other illegal tobacco products have been seized in Singapore. Authorities are calling the discovery the “largest haul” in the city-state to date.
Credit: Richie Chan
Acting on a tip-off, officers from the Health Sciences Authority (HSA) inspected an industrial storage facility located north, towards the border with Malaysia. They discovered 10,057 vapes, 48,822 vaporizer components, and large quantities of vape juice, according to a press release.
“This is the largest seizure haul of tobacco products by HSA, in terms of the volume and street value of e-vaporizers,” officials said in a statement, adding that the products had an estimated street value of $2,260,825. No arrests have been made but HSA said that three people were currently “assisting in investigations.” The authority also revealed that more than 170 vape raids were carried out between 2018 and 2020.
Beginning today, the importation of nicotine e-liquids will be closely monitored by the Australian Border Force. Currently Australians can import nicotine liquid for vaping from overseas or purchase it from a small number of participating pharmacies, provided they have a valid doctor’s prescription.
Credit: Belyay
Consumers who fail to include a nicotine prescription with their order will be subject to a fine of up to $222,000. The new system will work if enough doctors, pharmacists, smokers and vapers are willing to comply and are provided with sufficient information, according to the Sydney Morning Herald. The article reports that very few are interested in complying with the rules and most are poorly informed. Little effort has been made to disseminate information about the new arrangements.
More than 2.5 million Australians still smoke. The National Drug Strategy Household Survey estimated that the number of Australians vaping was 240,000 in 2016 and 520,000 in 2019. If the number of Australians vaping is still increasing, as many as 600,000 may be vaping now, according to the article.
At present, only a very small number of people vaping have a prescription as is required. Most nicotine supplies are imported without a prescription or purchased from the black market. If compliance with the new arrangements is poor, then some will return to smoking while others will purchase supplies from the black market. Neither are good outcomes.
In a stern reminder to its citizens that vaping and cannabis products are illegal, Taiwan law enforcement and health officials arrested five people in the city of Taipei last week. Taipei police stated that they had broken up a criminal organization, whose members have been accused of selling vaping products containing cannabis extracts, according to the Taipei Times.
“After surveilling the premises for several days, police officers carried out a raid at a motel in Taipei’s Wanhua District last week, in which 94 vaping cartridges and 23 pouches of unknown powdered material were seized,” the story states. “Preliminary lab testing revealed that the cartridges contained cannabidiol (CBD) and tetrahydrocannabinol (THC), the main active ingredients in cannabis. The pouches contained ketamine, which is a controlled substance.”
A 25-year-old woman allegedly led the criminal ring. One modified handgun, 11 bullets and an undisclosed amount of cash were also seized. Investigators said that Liu’s group had been selling the vaping cartridge oil for the past year and has profited an estimated NT$10 million ($359,544) in illegal proceeds.
The suspects face charges of contravening the Narcotics Hazard Prevention Act and for possession of illegal firearms in contravention of the Controlling Guns, Ammunition and Knives Act. Ring members allegedly promoted their products to youth via social media and online platforms.
The CBD and THC oil were branded as “Cookies,” “Sherbet,” “Dream,” “Skywalker” and other names. Officials at the Ministry of Health and Welfare yesterday said that e-cigarette and related vaping devices have not been approved in Taiwan, and their use therefore is illegal, regardless of their contents.
CBD in pharmaceutical products has received approval for medicinal use in Taiwan, when prescribed by a physician and the request is approved by authorities. However, general sale of CBD is not permitted. Such products can contain THC at less than 10 parts per million, but would otherwise be scheduled as a Class 2 illegal drug, officials said.
Example of a fake RELX website selling unofficial RELX products
RELX International has warned consumers against purchasing its products through unofficial or unlicensed websites. “It has recently come to the attention of RELX International that a number of unlicensed persons or companies are attempting to profit off of the good and responsible reputation of the RELX brand in a number of markets, including Australia and Philippines,” the company stated in a press release.
“In addition to selling unlicensed and potentially fake products, these websites and social media channels have been disseminating a variety of unfounded claims about our products or e-cigarette products in general. RELX International only provides science-based information about our products and only sells products to adult smokers or vapers. Furthermore, RELX International never uses any cartoons or ‘kid-friendly’ images or videos in our branding.
“RELX International established the Golden Shield Program in 2019 to help prevent the production and sale of illicit e-cigarette goods such as those mentioned above. With the goal of safeguarding adult e-cigarette users’ right to access quality products, members of RELX International’s Golden Shield Program utilize large amounts of data and other technologies to track down illicit e-cigarette products sold online and offline. The Golden Shield team actively works with online social media platforms, online e-commerce platforms as well as Customs authorities to eliminate illicit vaping products from the market.
“The Golden Shield team has already helped authorities launch 28 criminal cases related to the illegal production and sale of illicit or copyright-infringing e-cigarette products. Over 77,000 websites and over 6,000 social media accounts have been taken down due to the Golden Shield team’s efforts, and 550,000 illicit products have been removed from the market.
“Moving forward we are committed to getting even more counterfeit products off the market.”
The release lists all the official RELX websites as well as provides an email address to confirm third-party websites that are selling authentic RELX products.
The Royal Malaysian Customs Department has seized RM2.7 million worth of e-liquid, which also carried RM273,480 in unpaid taxes. The KLIA Central Zone Enforcement Unit III personnel conducted an inspection on two containers from the United States in Northport, Port Klang, at 6pm on June 24.
Central Zone Customs principal assistant director Datuk Zazuli Johan said the team found 1,276.24 liters of e-liquid suspected to contain nicotine that had been declared as “atomizer devices” (hardware) in the containers. The e-liquid was also found to have exceeded their expiration date, according to the Philippine Star.
“We believe that the product would be repackaged before being distributed in the local market. The consignment was brought in without a valid import license and tax on it had not been paid,” he is quoted as saying in a statement on July 2, adding that e-liquid is classified as prohibited merchandise in Malaysia under the Customs (Prohibition on Imports) Order 2017.
Misinformation continues to be a challenge for the vaping industry. After the U.S. Centers for Disease Control and Prevention (CDC) announced that vitamin E acetate in black market marijuana vaping products was the cause e-cigarette or vaping product use-associated lung injury (EVALI) more than a year ago, many media outlets continue to falsely blame nicotine vaping products for the lung illness that was first identified in 2019.
Credit: drphil.com
On his Friday episode of the show Dr. Phil, American TV personality Phillip Calvin McGraw, also known as Dr. Phil, wrongly blamed the EVALI lung illness outbreak on vaping nicotine products. Speaking to a guest who stated she only used nicotine vaping products, McGraw said he “was puzzled” by the guest’s understanding that vaping, while not entirely safe, is safer than smoking combustible cigarettes.
“Ventilators, hospitals, deaths … there is lots of news out there on this,” McGraw said. “This isn’t a matter of opinion, it’s a matter of science.” The host then went on to use several news reports wrongly blaming nicotine for EVALI to support his statements. According to Nielsen data, the average daily audience of the Dr. Phil Show is 2.9 million viewers.
Reports of serious illnesses and deaths related to vaping began mounting in summer 2019. By mid-February 2020, the CDC reported more than 2,800 cases of lung injuries requiring hospitalization across all 50 states, and 68 deaths. After nearly six months of falsely claiming nicotine vaping products were the cause of the outbreak, the CDC finally admitted that the cause was illicit THC vaping products and not nicotine vaping products.
By July of 2020, the CDC said that states no longer needed to track lung-related injuries caused by marijuana-based vapor products, partly because cases have dropped. The CDC said it stopped requiring states to report the numbers in February of 2020 after it pinpointed vitamin E acetate as the culprit in THC vaping products that were making people sick, but didn’t make the public announcement until nearly five months later.
McGraw holds a doctorate in clinical psychology, though he ceased renewing his license to practice psychology in 2006, according to Wikipedia. The CDC and U.S. Food and Drug Administration (FDA) now strongly recommend that people avoid use of “e-cigarettes or vaping products containing THC, especially from the illicit market.”
The UK and EU have a different view on e-cigarettes and whether or not combustible tobacco smokers should make the switch. More and more smokers began transitioning over to vapor products after the Public Health England stated that vaping is 95 percent safer than smoking cigarettes. Experts have pointed out that EVALI cases are almost exclusive to the United States and haven’t made a blip on the radar globally. In the UK, there are approx. 3.6 million e-cigarette users with virtually no EVALI cases reported during the media coverage period in 2019 and early 2020.
There were also little to no cases of EVALI in Canada and Mexico, the closest foreign neighbors to the US. “EVALI was largely the result of an unregulated illicit THC vape market in the United States which didn’t follow safe production standards” says Allan Rewak, executive director of Canada-based Vaping Industry Trade Association (VITA) in Nov. of 2020. “Canada’s nicotine vape market was on the final path toward federal regulation at the time, which prevented EVALI from occurring in any significant way north of the border.”
The use of EVALI to spread fear on nicotine vaping in Mexico and in Latin America was particularly crude, dishonest and more intense than in other places, according to Roberto Sussman, senior researcher and lecturer at the National University of Mexico and founder and director of Pro-Vapeo. .
“Up to this day, all officials of the health ministry in Mexico are still blam[ing] nicotine vaping,” says Sussman. “And when you try to engage them, they say, ‘No, no, no. That’s it. Full stop. End of discussion.’ That’s it.” Since EVALI has now been found to be caused by illegal THC vape pens, not nicotine-based e-cigarettes, Sussman says “no one has told Latin America.”
In late 2020, Mexico’s president signed legislation prohibiting the importation, manufacture and distribution of all noncombustible products tobacco (vaping) products, including heat-not-burn products. “Their justification was that we need to protect Mexican youth from EVALI. Given the proximity of the U.S., this epidemic can come to Mexico any time,” says Sussman. “Pure fear-mongering and they’ve refused all debate.”
Brad Jemmett, a former long-time smoker and now general manager for SnowPlus – an innovation based vape company – suggests that the core of what drove the negative media was a localized, US issue.
“Globally, we don’t really see EVALI cases like there were in the US, because EVALI was linked to illicit marijuana vapes, and most specifically the addition of Vitamin E acetate as a thickening agent. Our products on the other hand, are developed and tested to the highest degree, and designed specifically for adult smokers looking to transition out of smoking,” he said. “At SnowPlus, we never have and never will use Vitamin E acetate in any of our products. Through innovation, we’ve aimed to simulate the smoking ritual with vape technology, to provide a less harmful alternative compared to smoking cigarettes.”
U.S. Customs and Border Protections (CBP) officers in Indianapolis seized six shipments containing over 10,000 unapproved Juul Pods. All the shipments originated from an individual in Ontario, Canada and were headed to various locations in New York and New Jersey.
The FDA determined the shipments violated the Federal Food, Drug, and Cosmetic Act (FD&C Act) as misbranded consumer goods being imported by an unauthorized agent, according to a CBP press release. Tobacco products imported or offered for import into the United States must comply with all applicable U.S. laws. Read more about the FDA’s regulations governing e-cigarettes and other tobacco products.
The shipments arrived separately and were all seized on April 8. The packages were mis-manifested as electrical apparatus, a common practice used by smugglers. CBP believed the shipment was intentionally improperly labeled to avoid detection. A total of 10,464 pods were seized. The pods had an MSRP over $156,000.
“Our officers are dedicated to identifying and intercepting these types of shipments that could potentially harm communities,” said Kerry Carter, Acting Port Director-Indianapolis. “Our officers and specialists enforce hundreds of laws for many partner agencies, and are committed to ensuring the health and safety of American citizens.”
Last year the FDA announced an increased enforcement priority of electronic nicotine delivery systems, and issued detailed guidance to the industry of these new enforcement priorities that regulate the unauthorized importation of tobacco products.
CBP provides basic import information about admissibility requirements and the clearance process for e-commerce goods and encourages buyers to confirm that their purchases and the importation of those purchases comply with any state and federal import regulations.
CBP conducts operations at ports of entry throughout the United States, and regularly screens arriving international passengers and cargo for narcotics, weapons, and other restricted or prohibited products. CBP strives to serve as the premier law enforcement agency enhancing the Nation’s safety, security, and prosperity through collaboration, innovation, and integration.
On March 12, the U.S. FDA issued warning letters to 13 firms who manufacture and sell unauthorized e-liquids. The regulatory agency advised the companies that selling products lacking a premarket authorization is illegal, and therefore cannot be sold or distributed in the U.S.
Credit: Isaiah Rustad
The firms did not submit a premarket tobacco product application (PMTA) by the Sept. 9, 2020 deadline, according to a press release from the FDA. The firms receiving warning letters are VapinUSA-WI, LLC d/b/a VapinUSA, Vapor Springs, LLC, Vapor Cigs, LLC, Vegas Vapor Emporium, LLC, Vape 911, The Philosopher’s Stone, LLC, The Clean Vape, Tooters Vape Shop, Cloudchasor LLC, Boardwalk Elixir, LLC, Dieselbycg-Hometown Vape Lounge, Blue Lab Vapors LLC, and Revolution Vapor LLC.
“While each warning letter issued today cites specific products as examples, collectively these companies have listed a combined total of more than 75,000 products with the FDA,” the statement reads.
Following an initial set of such warning letters announced earlier this year, FDA has continued to issue additional warning letters for products that failed to submit a PMTA.
Per a court order, applications for premarket review for certain deemed new tobacco products on the market as of Aug. 8, 2016—including e-liquids—were required to be submitted to FDA by Sept. 9, 2020. For companies that submitted applications by that deadline, FDA generally intends to continue to defer enforcement for up to one year pending FDA review, unless there is a negative action taken by FDA on the application.
