E-cigarette Maker Juul Settles More Than 5,000 Lawsuits for Undisclosed Amount

Packages of Juul mint flavored e-cigarettes are displayed at San Rafael Smokeshop in San Rafael, Calif., on Nov. 7, 2019. (Justin Sullivan/Getty Images)

E-cigarette maker Juul has settled more than 5,000 lawsuits involving approximately 10,000 plaintiffs for an undisclosed amount, the company announced on Dec. 6.

In a press release, Juul said the 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 lawsuits were filed against Juul Labs and its officers and directors, and the settlement resolves claims of personal injury, consumer class action, government entity, and Native American tribes.

The company said that it cannot disclose the amount of the settlement at this time due to the court process, but noted that it has “secured an equity investment to fund the resolution.”

“Over the past year, Juul Labs also has settled with 37 states and territories, and we remain in ongoing discussions with other key stakeholders to resolve the remaining litigation,” the company said.

The latest settlement comes after Juul in September said it would pay $438.5 million to 34 states and territories as part of its “ongoing commitment to resolve issues from the past.”

That settlement followed a two-year investigation into the company’s marketing and sales practices of its high-nicotine vaping products amid a surge in teen vaping.

Surge in Teen Vaping

The investigation found that the company had marked its e-cigarettes to underage teens via launch parties, product giveaways, and adverts on social media that featured young models, according to officials.

At the time, Juul said in a statement that it “remains 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 company also said that it had appealed a decision by the Food and Drug Administration (FDA) to remove its products from stores in the United States due to concerns over toxicology levels, noting that the appeal was based on “science and evidence.”

“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,” the company said.

The e-cigarette maker subsequently filed a lawsuit against the FDA after the agency allegedly refused to hand over supporting documents to Juul pertaining to the FDA’s reasoning behind the ban.

In November, Juul said it had secured enough new financing to avoid bankruptcy amid mounting lawsuits. The company had been preparing to file for Chapter 11 bankruptcy, Axios reported.

According to a U.S. 2021 National Youth Tobacco survey, 11.3 percent of high school students (1.72 million) and 2.8 percent (320,000) of middle-school students reported using e-cigarettes, with 27.6 percent of high school students saying they used the vaping device daily and 8.3 percent of middle-school students saying they used e-cigarettes on a daily basis.