Tag: science

  • Minnesota’s Juul Labs Youth Marketing Suit  Begins

    Minnesota’s Juul Labs Youth Marketing Suit Begins

    Credit: Ontronix

    A trial against Juul Labs and Altria for youth marketing begins today in the U.S. state of Minnesota. It is the first state to go to trial against the e-cigarette manufacturer and tobacco company.

    Jury selection in the trial comes more than three years after Minnesota Attorney General Keith Ellison first filed a lawsuit against Juul Labs, reports CARE11.

    “We will prove how Juul and Altria deceived and hooked a generation of Minnesota youth on their products, causing both great harm to the public and great expense to the State to remediate that harm,” said Ellison, in a press release.

    Minnesota is the first case to go to trial against Juul since more than a dozen states sued the company beginning in 2019.

    “It’s a pretty significant case,” said David Schultz, a law professor at the University of Minnesota. “The case comes down to two or three basic issues. First, it’s about the claim that Juul marketed to minors. Second, it did nothing in terms of trying to prevent minors from accessing their product. And third, it was about the fact that they did not make appropriate disclosures regarding the health and safety risks surrounding the use of vaping and some of these smokeless tobaccos.”

    The state believes Juul Labs, enabled by Altria, “engaged in consumer fraud, negligence, and created a public nuisance.”

    This isn’t new territory for the state. Minnesota was the first state in the country to successfully sue the tobacco industry and win in the 1990s.

    Earlier this year, A U.S. district judge handed Juul Labs preliminary court approval of a $255 million settlement resolving claims by consumers that it deceptively marketed e-cigarettes, as the company seeks to resolve thousands of lawsuits.

    The company reached a nearly $24 million settlement with the City of Chicago in mid-March.

    Juul and Altria have denied the allegations.

    In court documents from November 2022, the defendants stated, “Minnesota has reaped billions of dollars from tobacco settlements and taxes over the last decade for the purpose of preventing tobacco use and remedying its harms. Yet even after determining that there was an alleged youth vaping problem among Minnesota youth, time and again the State chose to ignore recommended tobacco prevention funding guidelines and instead used these funds to bankroll unrelated projects—like the Minnesota Vikings football stadium.”

  • Flavored Vaping Ban Bill Fails in Hawaii’s Senate

    Flavored Vaping Ban Bill Fails in Hawaii’s Senate

    Credit: Aleksandr Kondratov

    By not scheduling a hearing, lawmakers in Hawaii have killed a bill proposing to ban flavored vaping and other tobacco products in the state.

    Legislators had until Thursday to schedule the hearing for H.B. 551, however, the legislation failed to get voted out of a Hawaii Senate committee, meaning the bill will not move forward, according to KITV.

    The bill passed the House earlier this month.

    If passed, H.B. 551 would have banned the sales of flavored tobacco and vaping products effective Jan. 1, 2024.

    Retailers caught violating the standard would have been fined at least $100 for a first offense and up to $1,000 for subsequent violations.

    This is the latest attempt at banning flavored tobacco sales in Hawaii. Last year, the Hawaii Legislature passed a bill, but it was vetoed by the governor.

    While H.B. 551 will not move forward, there’s another bill, S.B. 1447, that would remove Hawaii’s existing preemption clause regarding tobacco regulations.

    This would allow counties to enact stricter laws than the state law, a way for bans on the sale of flavored tobacco and vaping products to begin.

    S.B. 1447 has already passed the Hawaii Senate and is continuing to move forward in the Hawaii House of Representatives.

  • Vape Tax Revenues for States a Fraction of Tabacco

    Vape Tax Revenues for States a Fraction of Tabacco

    Credit: Andrii Yalanskyi

    The total tax revenue collected by U.S. states and local governments from the vaping sector remains only a fraction of that extracted from traditional tobacco products, according to a new report published by KBRA.

    Vaping devices have gained popularity in recent years, largely due to health concerns around traditional cigarettes, smoking cessation initiatives and rising youth consumption.

    U.S. product sales for e-cigarettes are estimated at $7.4 billion annually. Capitalizing on this trend, many states and local governments have implemented taxes on these tobacco alternatives. Cigarettes have an estimated market volume of $82.67 billion in 2023, according to Statista.

    Despite high expectations, the total tax revenue from these products remains small relative to tobacco taxes—and even smaller as a percentage of the budget.

    The KBRA report provides an overview of the e-cigarette/vape market, examines different forms of taxation by state, and assesses the limitations of these taxes in bolstering state budgets, as well as the possibility for future federal regulation.

    Key findings of the report include:

    • While the number of states that have implemented e-cigarette and vape device taxes has grown, these tax revenues represent only a small fraction of the traditional cigarette market size. Vaping tax collections still contribute a negligible percentage of current governmental revenues for U.S. states.
    • Taxation methods vary among states and localities due to the uniqueness of vaping and tobacco alternative products.
    • While a vapor excise tax regime could provide additional sources of revenue for states and localities, there are concerns surrounding states relying on these revenues as long-term solutions to close their budget gaps.
    • Increased federal regulations on vapor products, as well as the implementation of a federal excise tax, are probable in the years to come, which could potentially curb usage and associated tax revenue collections at the state level.

    The KBRA report provides an overview of the e-cigarette/vape market, examines different forms of taxation by state, and assesses the limitations of these taxes in bolstering state budgets, as well as the possibility for future federal regulation.

  • U.S. Senator Accuses Elf Bar of Advertising to Youth

    U.S. Senator Accuses Elf Bar of Advertising to Youth

    Sen. Charles Schumer

    A prominent U.S. senator is calling on the U.S. Food and Drug Administration to investigate an e-cigarette company because he believes it’s skirting American advertising laws.

    Sen. Chuck Schumer says Elf Bar products are is wrapped in colorful packaging to attract youth and it hooks them with kid-friendly flavors like peach mango, cotton candy and vanilla ice cream, according to a Sunday statement.

    “While the FDA has done much to snuff out the worst kinds of e-cigs that can hook kids, like Juul, there are clear workarounds and illegal methods being used by sneaky actors like Elf Bar,” Schumer said in the statement.

    “Elf Bar is littering TikTok and Instagram, using influencers they pay directly, to push the e-cig to kids and teens,” he continued. “This kind of ploy might totally evade FDA advertising rules, and we have to get ahead of it.”

    Schumer said Elf Bar may be even worse than Juul given its “shoddy manufacturing, the risk of counterfeit products and its risk for mislabeled nicotine levels.”

    In the UK, Elf Bar was found to be selling e-cigarettes with volumes more than 50 percent over the UK’s legal limit after an investigation. The Chinese vaping giant admitted “inadvertently” breaking the law and ‘wholeheartedly apologized’ following lab tests of its 600 brand of disposable vape pens.

    Recently, another Elfbar brand is being pulled from U.K. store shelves after finding the products surpass the legal limit for e-liquid volumes.

  • Lawmakers in U.S. Congress File Bills to Regulate CBD

    Lawmakers in U.S. Congress File Bills to Regulate CBD

    Credit: Dogora Sun

    Congressional lawmakers in the U.S. have refiled a pair of bills meant to provide a pathway for the regulation of hemp derivatives like CBD as dietary supplements and food and beverage additives.

    The two measures that were filed on Friday—the Hemp and Hemp-Derived CBD Consumer Protection and Market Stabilization Act and the CBD Product Safety and Standardization Act—are being sponsored by Reps. Morgan Griffith and Angie Craig, according to Marijuana Moment.

    Earlier versions of the bills were filed last Congress and ultimately did not advance, but advocates and industry stakeholders feel that the U.S. Food and Drug Administration’s recent announcement that it wouldn’t be taking steps to regulate CBD will put pressure on lawmakers to act this time around.

    The Hemp and Hemp-Derived CBD Consumer Protection and Market Stabilization Act would mandate that hemp, hemp-derived CBD and other derivatives from the federally legal cannabis plant would be made lawful as dietary supplements under the Federal Food, Drug, and Cosmetic Act (FDCA).

    The CBD Product Safety and Standardization Act, meanwhile, would require FDA to develop rules and hold a public comment period on the maximum amount of hemp-derived CBD that could be added to a food item or beverage per serving, labeling and packaging requirements and the “conditions of intended use,” the text of the legislation states.

  • Leaked BAT Data Claims Most UK Disposables are Illegal

    Leaked BAT Data Claims Most UK Disposables are Illegal

    Media outlets are reporting that BAT sent vaping wholesalers testing results that claim that nearly all major disposable vaping brands in the UK not produced by a major tobacco manufacturer contain illegal volumes of e-liquid.

    Senior wholesaler sources leaked nearly 50 pages of BAT product testing data to betterRetailing, along with a letter from BAT urging wholesalers to stop selling products it claims are failing to comply with the 2ml e-liquid limit. A distributor of many of the brands named denied the claims.

    In a letter sent to wholesalers by BAT UK managing director Fredrik Svensson, seen by betterRetailing, the supplier said it had commissioned “independently accredited laboratory” testing on Elf Bar 600 products purchased from supermarkets and independent retailers between 6 September 2021 and 7 March 2023.

    The evidence revealed that the tested products “contained significantly more than the legal limit of 2ml of nicotine-containing e-liquid from 2.76ml to 3.88ml, with an average overfill of 58 percent.”

    Testing was also conducted at the same lab on Lost Mary, Found Mary, IVG Bar, Klik Klak, SKE Crystal, Smok Mbar Pro and Solo disposable vapes. Test results for all these brands showed illegal levels of e-liquid.

    Together, the brands account for nearly all disposable vaping sales in independent shops by both revenue and volume.

    BAT’s letter urged: “As a responsible trading partner, we trust that you are taking appropriate steps to ensure that you are not supplying non-compliant products and that you will be urgently reviewing the supply of any products you stock, particularly those which our testing demonstrates do not comply with the TRPR [The Tobacco and Related Products Regulations 2016].”

    Elfbar voluntarily pulled its products from UK shelves after finding its products did not meet legal requirements.

    Recently, another Elfbar brand was pulled from UK store shelves after finding the products surpassed the legal limit for e-liquid volumes.

  • Elfbar Avoids Mandatory Recall Notice for E-Liquid Fiasco

    Elfbar Avoids Mandatory Recall Notice for E-Liquid Fiasco

    Authorities are satisfied with Elfbar’s response to the controversy over the company’s products that did not meet legal requirements, reports ECigIntelligence, and there was no need for a mandatory recall.

    Elfbar worked quickly to recall the product with retailers, and the company has confirmed that it was not subject to any formal recall or withdrawal notice issued by regulators.

    The products in question cannot be legally sold, however.

    The company was found to be selling e-liquid with volumes more than 50 percent over the UK’s legal limit after an investigation by The Daily Mail.

    The Chinese vaping giant admitted “inadvertently” breaking the law and ‘wholeheartedly apologized’ following lab tests of its 600 brand of disposable vape pens.

    Recently, another Elfbar brand is being pulled from U.K. store shelves after finding the products surpass the legal limit for e-liquid volumes.

  • Court Rejects Challenge to California’s Flavor Ban

    Court Rejects Challenge to California’s Flavor Ban

    Photo: mehaniq41

    A U.S. federal judge has thrown out a tobacco industry lawsuit against California’s statewide ban on the sale of flavored vaping and other tobacco products, reports Law360.

    On March 15, Judge Cathy Ann Bencivengo rejected the plaintiffs’ claim that the measure would unfairly discriminate against out-of-state businesses. Bencivengo argued that the contested law applies to sales only; manufacturers are still permitted to manufacture flavored tobacco products in California. Most manufacturers of flavored tobacco products are located outside California.

    R.J. Reynolds and other tobacco companies sued California after voters approved the ban in a November referendum, claiming the law violates the federal Tobacco Control Act (TCA), as well as the U.S. Constitution’s commerce clause.

    The law was originally passed by the state legislature but didn’t take effect after industry opponents gathered enough signatures to put the issue on the November ballot.

    In rejecting the TCA claim, Bencivengo cited a Ninth Circuit ruling in March 2022 that upheld a Los Angeles County ban on flavored tobacco products. The tobacco industry lawsuit also doesn’t meet the standards for arguing a state law discriminates against or unduly burdens interstate commerce, she argued.

    The court also rejected the tobacco companies’ claim that out-of-state manufacturers of flavored tobacco products would be forced to change their operations to the tune of “tens of billions of dollars” to comply with the law’s new standards for tobacco products, an undue burden on interstate commerce.

    California’s flavor ban doesn’t set new standards for the manufacture or marketing of tobacco products that depart from federal regulations, Bencivengo said. And financial losses for the tobacco industry alone are “not excessive enough for the Court to find that the ban substantially burdens interstate commerce,” she added, citing the law’s aims to protect public health.

    The TCA also gives states the authority to “opt out of the market for flavored tobacco products,” Bencivengo said in the ruling, which does not allow the tobacco companies to file an amended complaint.

  • Queensland Lawmakers to Inquire About Vape Safety

    Queensland Lawmakers to Inquire About Vape Safety

    Credit: FellowNeko

    The Queensland Parliament will hold an inquiry into the health risks, use, and prevalence of e-cigarettes, amid concerns that some vaping products marketed as “nicotine free” contain the addictive chemical.

    Queensland laws allow the sale of nicotine-free vaping devices in tobacco shops. E-cigarettes containing nicotine are only available with a prescription, according to The Guardian.

    But the state health minister, Yvette D’Ath, said on Sunday that “we know” that some products sold off the shelf in Queensland contain nicotine and other chemicals like nail polish remover.

    She offered no evidence of or support for the claim.

    The premier, Annastacia Palaszczuk, said the inquiry would examine measures to discourage children from vaping.

    “Critically, we need to have greater knowledge about what vaping devices contain,” Palaszczuk said.

    The parliament’s Health and Environment Committee will carry out the inquiry.

  • Juul Labs Reaches $24 Million Settlement With Chicago

    Juul Labs Reaches $24 Million Settlement With Chicago

    Credit: Standap

    A $23.8 million settlement has been reached between Juul Labs Inc and the City of Chicago over claims that the e-cigarette maker deceptively marketed its products and for selling vaping products to underage users, the Chicago mayor’s office said on Friday.

    The vaping company is currently facing thousands of lawsuits filed across the United States over claims on its marketing practices and for contributing to rising tobacco use among youth, according to Reuters.

    In the settlement, Chicago said Juul has denied and continues to deny any wrongdoing and liability in connection with the design, manufacture, production, advertisement, marketing, distribution, sale, use, and performance of its products.

    According to the settlement, the company has agreed to pay the city $2.8 million within 30 days of the execution of the agreement.

    Chicago would receive an additional $21 million payment later this year under the current schedule and may potentially receive up to $750,000 in additional, court-awarded payments, the Chicago mayor’s office said.

    Altria Group Inc, which had a stake in Juul Labs valued at $12.8 billion in 2018, exchanged its investment in Juul, last valued at $250 million, for some of the vaping company’s heated tobacco intellectual property.

    Altria Group then immediately announced it has entered into an agreement to acquire NJOY Holdings for approximately $2.75 billion in cash. The transaction terms include an additional $500 million in cash payments that are contingent upon regulatory outcomes with respect to certain NJOY products.