Tag: regulation

  • Federal Judge Gives Final OK in Altria, Juul Class Action

    Federal Judge Gives Final OK in Altria, Juul Class Action

    A federal judge approved the final part of a class action settlement with the e-cigarette company Juul Labs and its parent company Altria, bringing the settlement total to just over $300 million.

    In 2018, the plaintiffs charged Juul Labs with misleading the public about the addictiveness of Juul and the risk of the e-cigarettes and its nicotine cartridges.

    The plaintiffs also said Juul had targeted teenagers with candy-flavored Juul pods and “multimillion-dollar ad campaigns and social media blitzes using alluring imagery.”

    The case survived a number of hurdles: The judge denied multiple motions to dismiss the suit and agreed to certify four different classes of plaintiffs (a nationwide class, a nationwide youth class, a California class and a California youth class).

    In January, the judge gave preliminary approval to a $255 million settlement between Juul Labs and the plaintiffs, according to Courthouse news. Friday’s ruling grants approval to Altria’s payment of $45,531,250. The sides have yet to reach an agreement on attorneys fees.

    “Court finds that this monetary recovery is fair, reasonable, and adequate given the risks of proceeding to trial and the maximum recovery potentially available to Settlement Class Members if the Class Representatives had prevailed at trial,” wrote U.S. District Judge William Orrick in his order.

    Last year, Juul agreed to pay six states $462 million to settle claims that it had marketed its vaping products to teenagers. The year before that, it agreed to pay $438.5 million to 33 different states and Puerto Rico.

    Altria Group exchanged its entire investment in Juul Labs in 2023 for a non-exclusive, irrevocable global license to certain of Juul’s heated tobacco intellectual property.

  • Protesters Demand End to Mexico’s Vaping Ban

    Protesters Demand End to Mexico’s Vaping Ban

    Vapers protested in front of Mexico’s Congress of the Union, calling for the country’s vaping ban to be replaced with risk-based regulation. The protest was organized by the World Vapers’ Alliance and All Vape Mexico.

    The protesters also demanded a halt to the constitutional reform proposed by President Andres Mauel Lopez Obrador that would elevate the ban to the Constitution. In addition, they called for approval of a risk-based regulation allowing adult smokers access to vapor products to quit smoking combustible cigarettes.

    Mexico’s vaping ban has been in place since May 2020.

    “The ban was introduced in order to prevent underage vaping; however, minors now have full access to potentially dangerous products on the black market,” said Alberto Gomez Hernandez, policy manager of the World Vapers’ Alliance. “At the same time, smokers who want to quit smoking have difficulty finding safe vaping products. The ban has clearly been a failure and must be reversed as soon as possible. Legislation cannot be based on whim or ideology; it must be based on scientific evidence and the experience of other countries that have had good results.”

    Vapes can easily be obtained on the informal market from underground vape shops and on the black market, which is controlled by organized crime groups.

    “It is very unfortunate that the federal government thought that the ban would prevent many young people from having access to vaping and does not give people who want to quit smoking the opportunity to use this option,” said Deputy Sergio Barrera. “We need to have clear rules. We need to know who can produce it, who can distribute it and who can consume it, and that is why we are pushing for regulation.”

    “The president sees a problem where there is actually a solution to smoking,” said Antonio Toscano, All Vape Mexico spokesperson. “His prohibitionist stance unprotects adult users, who are forced to buy black market products, where there are no quality controls, let alone controls on sales to minors. Prohibition is a danger to public health; good regulation could benefit public health enormously and save millions of lives.”

  • Japan: PMI Launches Latest IQOS, the Lumina i

    Japan: PMI Launches Latest IQOS, the Lumina i

    Photo: Ned Snowman

    Philip Morris International has launched IQOS Iluma i, the latest and most innovative addition to its growing portfolio of smoke-free products, in Japan. The launch marks the 10-year anniversary of IQOS, which debuted in Nagoya, Japan, in 2014.

    “We leverage science, world leading brands and commercial capabilities to provide better alternatives to our consumers. This anniversary provides an opportunity to renew our smoke-free vision and our ambition for over two-thirds of our total net revenue to come from smoke-free products by 2030,” said PMI CEO Jacek Olczak in a statement.

    “IQOS Iluma disrupted the category by introducing induction-heating technology that heats tobacco from within, to provide a consistent taste experience, no tobacco residue, and no need to clean the device. Today, we take IQOS to new heights, with the launch of IQOS Iluma i—the latest innovation in our smoke-free portfolio, offering a range of advanced features for a clean, seamless, and more flexible experience.”

    The IQOS Iluma i series offers three devices in Japan: IQOS Iluma i PRIME, IQOS Iluma i and IQOS Iluma i ONE. All three devices bring a range of adaptable new features.

    The new touch screen on the device’s holder allows users to see experience-relevant information quickly and easily. To personalize the experience, IQOS Iluma i introduces a new pause mode. By swiping up or down on the touch screen, users can pause and resume their consumption according to their preferences.

    The new IQOS Iluma i also includes smart features that help prolong the lifespan of the holder’s battery. Furthermore, the door for IQOS Iluma i is made from aluminum produced with renewable energy and the inner textile layer of IQOS Iluma i’s Prime leather-like wrap is made of 100 percent recycled plastic.

    “IQOS Iluma i is our most innovative offering to date and the new flagship in our portfolio of scientifically substantiated, heat-not-burn smoke-free systems,” said Bertrand Bonvin, president heat-not-burn platforms at PMI. “Like previous IQOS devices, it emits, on average, 95 percent lower levels of harmful chemicals compared with cigarettes. We are proud that consumer feedback continuously fuels our innovation, and IQOS Iluma i is a testament to that.”

  • Consumer Group Warns Against State PMTA Registries

    Consumer Group Warns Against State PMTA Registries

    U.S. states must recognize the unintended consequences of passing laws requiring premarket tobacco product application (PMTA) registries for alternative nicotine products such as vaping devices, heaters, and nicotine pouches, according to the Consumer Choice Center, an organization claiming to represent consumers in more than 100 countries.

    In the first months of 2024, more than a dozen bills have been introduced in U.S. states calling for a state-based registry for alternative nicotine products. Such legislation has already been passed in Oklahoma, Louisiana and Alabama.

    “While the intention behind these bills is to manage consumer access to unregulated nicotine products on the illicit market, the reality is that the FDA is not approving enough new devices and products to create a competitive, regulated marketplace that meets consumer demand,” said Elizabeth Hicks, U.S. affairs analyst at the Consumer Choice Center.

    While 26 million nicotine alternative products submitted PMTAs to the Food and Drug Administration, only 23 have been approved. Of those 23 approved products, 12 are tobacco-flavored e-liquid refills.

    “The FDA is hiding the ball here on product approvals and how few new products are actually coming to market. If the goal is to improve public health across the country, then consumers deserve to choose from a variety of different nicotine alternatives,” said Hicks.

    The Consumer Choice Centers urges state legislatures to refrain from adding to counterproductive federal policies and instead advance tobacco harm reduction through a competitive marketplace.

  • Protestors Want Veto of Florida Flavor Ban, Registry

    Protestors Want Veto of Florida Flavor Ban, Registry

    Credit: Kristina Blokhin

    Supporters of less harmful nicotine products want Florida Governor Ron DeSantis to again veto a proposed ban on the sale of flavored e-cigarettes in Florida. The legislation would also create a vape registry for the state.

    “It would kill our local businesses,” said Gary Eliasov-Hodes, managing partner of Cloud Smoke Shop, which has two locations in Tallahassee.

    Seventy percent of his business revenue comes from selling flavored nicotine vaping devices, he said. That’s $3.5 million annually for both of his shops, according to media reports.

    On Thursday, Eliasov-Hodes was among about 200 people gathered outside the governor’s mansion to protest the proposed ban, which they say they want Gov. Ron DeSantis to veto.

    The legislation would prohibit stores from selling flavored e-cigarettes, instead they would be allowed to sell from a list of 23 different tobacco-flavored vaping devices that have been approved for marketing by the U.S. Food and Drug Administration.

    Many states have also included products still currently under review by the regulatory agency.

    The bipartisan bill received pushback from some lawmakers in the House but unanimous support in the Senate before it passed earlier this week. Last year, DeSantis vetoed a similar measure, and opponents say they hope he will do the same this year.

    Proponents of the measure say removing vaping flavors from the market is aimed at keeping e-cigarettes out of the hands of children.

    Lining the sidewalks on each side of W. Brevard Street, protesters chanted “Veto the vape bill” and “No to tobacco,” while holding signs with the words: “We vote, we vape.”

  • State General Assembly Kills Colorado Flavor Ban Bill

    State General Assembly Kills Colorado Flavor Ban Bill

    Credit: Christopher Boswell

    It happened again. For the second time in the last three sessions, a bill to regulate flavored nicotine products has died in Colorado’s General Assembly.

    The proposal would have allowed a board of county commissioners to ban flavored tobacco and nicotine products. The House Business Affairs & Labor Committee defeated it on a 6-5 vote, according to Colorado Public Radio.

    Several lawmakers on the committee voting against the bill cited concerns about its impacts on local businesses, echoing testimony from several vape shop owners who said it would have hurt sales if a county banned flavored vaping and other tobacco products.

    “We have a long history of choosing to listen to the tobacco lobby,” said bill sponsor Rep. Elizabeth Velasco, as she appealed to her colleagues before the vote. “I hope that today we can really think about the children and make sure that we do the right thing to make sure that our children don’t have access to these products that have been targeted for them.”

    The measure had already passed a Senate committee and the full Senate. As has been seen in prior years, the bill drew intense lobbying, with 141 lobbyists from both sides signing up to voice support, opposition, or neutrality, according to the state’s lobbyist disclosure website.

    Tobacco companies like PMI, RJ Reynolds America, and Altria, represented by the lobbying company Brownstein Hyatt Farber Schreck, and industry groups, including the Vapor Technology Association, hired lobbyists in opposition to the legislation.

    All the traditional anti-nicotine groups such as Bloomberg, Tobacco-Free Kids Action Fund and Kaiser Permanente also hired lobbyists in support.

    In 2022, a bill to ban flavored tobacco statewide failed after Gov. Jared Polis said the issue should be handled at the local level.

  • Kentucky House Committee Pass Vape Registry Bill

    Kentucky House Committee Pass Vape Registry Bill

    Credit: Andreykr

    A bill co-sponsored by 20 Kentucky lawmakers aims to limit the number of e-cigarettes, vapes and other next-generation tobacco products retailers are allowed to place on store shelves.

    The Senate health services committee heard testimony on House Bill 11 on Thursday. The bill limits the sale of products to those authorized by the U.S. Food and Drug Administration and would punish retailers who sell unauthorized products or to anyone under 21 years of age.

    “These vapes are not even supposed to be offered for sale per the FDA,” said Rep. Rebecca Raymer, one of the bill’s co-sponsors, according to media reports. “We, as a state, have an obligation to offer some protection to our citizens.”

    Among other things, the bill would:

    • Require the Secretary of State to create and publish a list of certain tobacco product retailers;
    • Require the Department of Alcoholic Beverage Control to create and maintain a tobacco noncompliance database and reporting system;
    • Require wholesalers to verify a retailer’s presence in the database prior to transactions;
    • Establish and impose fines for wholesalers that unlawfully sell to a retailer that is in the noncompliance database;
    • Make ineligible any retailer with unpaid fines that are more than 60 days overdue from selling Tobacco Control Act-covered products until the fines are paid;
    • Direct manufacturers of Tobacco Control Act-covered products to provide safe harbor certification to wholesalers and retailers of their products;
    • Prohibit a retailer from selling Tobacco Control Act products to persons under 21 years of age.

    “What you’re going to hear from the people in opposition of this bill is that it’s going to take everything off the shelf,” Raymer said. “That is just simply not true. There’s other states that have used the same definition that we are using.”

    Troy LeBlanc, a Louisville vape retailer and distributor, traveled to Frankfort to speak against the bill, which he said would devastate dealers. In essence, LeBlanc said HB11 would create a monopoly.

    “It will ban about 98 percent of my products as well,” LeBlanc said. “Because all it’s going to do is to make sure that Altria is the main seller in every convenience store throughout the city — which is Juul.”

    LeBlanc and other like-minded retailers want lawmakers to change the bill to put the products in 21-and-older stores and even increase the fines.

    “We do not want children smoking,” LeBlanc said. “We’ve even suggested that the fines that they have — $1,000 for the first occurrence — be raised to $5,000. Because we want people who are selling to minors punished.”

    The bill passed out of committee by a 14-1 vote.

  • Critics Claim New U.K. Levy on Vapes is ‘Stupid’

    Critics Claim New U.K. Levy on Vapes is ‘Stupid’

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    Image: vadymstock

    The imposition of a vape levy in the U.K. is “stupid, short-sighted and potentially counterproductive,” according to smokers’ rights group Forest.

    During his budget speech in Parliament on March 6, Finance Minister Jeremy Hunt said he is planning to introduce an extra tax on e-cigarettes from October 2026, aiming to make vaping more expensive and deter nonsmokers from taking it up.

    Currently, most vapes in Britain are subject to value-added tax at the standard 20 percent rate, but there is no extra levy applied. Hunt said the government would also introduce a one-off increase in tobacco duty to maintain the financial incentive to choose vaping over smoking.

    Nonetheless, critics warned that the new vape tax would discourage smokers from transitioning to less harmful nicotine products.

    “If the government is serious about advocating vaping as a substantially less harmful alternative to smoking, a levy on vaping products sends completely the wrong message to consumers,” said Simon Clark, director of Forest.

    “Vaping products are already subject to VAT. Imposing excise duty as well is a stupid, short-sighted and potentially counterproductive measure that could deter many existing smokers from switching to a reduced-risk product that has helped millions of smokers to quit.”

    Maggie Rae, president of the Epidemiology and Public Health Section of the Royal Society of Medicine, said any tax must be carefully considered to ensure it benefits public health.

    “It’s imperative we ensure medicinal use of vapes continues to be encouraged, as smoking cessation remains the matter of greater importance,” she said.

    Clark noted that above-inflation increases in the cost of tobacco disproportionately punish those on lower incomes.

    “Further tax hikes will drive even more smokers to the black market, taking money from legitimate retailers and putting it into the hands of criminal gangs,” he said.

    Jefferies analyst Owen Bennett said the tax could benefit larger players like BAT by making it harder for smaller players to compete.

    “BAT, especially given its highly profitable broader cigarette business, can afford to swallow the tax and not adjust prices,” he told Reuters, whereas it could make smaller firms’ products unviable.

  • South Carolina Senate Advances Vape Registry Bill

    South Carolina Senate Advances Vape Registry Bill

    Credit: Philip

    South Carolina lawmakers are advancing a bill that would restrict vape shops to selling only FDA-approved products. Supporters, including major tobacco companies, say the goal is to inform retailers and consumers about what products are legal to market.

    “The goal is to try and protect our children from getting hooked on nicotine and using what I call these attractive nuisance vape products at a very young age,” said Senator Brad Hutto, a lead sponsor of the bill.

    Hutto and Senator Thomas Alexander co-authored the legislation, which proposes the establishment of an official registry listing all FDA-approved vape products.

    The State Attorney General would oversee this registry, effectively prohibiting the sale of any product not included. Opponents, including vape shop owners, say the bill will hurt their industry.

    Any retailer found selling unapproved products could face severe penalties, including fines and suspension of their business license. If signed into law, the registry must be operational by September 1, 2024, or whenever the Attorney General releases it for the first time, whichever happens later.

    Several states have passed or are considering vape registry laws.

  • Belarus Bans 47 Vape Brands for High E-liquid Levels

    Belarus Bans 47 Vape Brands for High E-liquid Levels

    Image: natatravel

    Belarus’ State Committee for Standardization has banned 47 types of electronic cigarettes from sale, reports Novosti.

    In January and February, authorities in the Gomel region identified traders that were selling electronic smoking systems that failed to comply with legislative requirements. Some vapes exceeded the permissible nicotine level of 20 mg per ml, while others lacked health warnings, declaration on usage limitations and expiration dates,

    Many of the vapes were sold without documents proving compliance and safety of the product.

    The dangerous products were withdrawn from sale, and authorities have taken administrative measures against their sellers.