Paxton enters into $43 million settlement with JUUL for deceptive trade practices
SAN ANTONIO (KTSA News) — Texas Attorney General Ken Paxton is announcing the entry of a $43.3 million dollar settlement against JUUL Labs in Texas state court.
The settlement is part of of a $434.9 million resolution between JUUL Labs and 33 states and territories that resolves a two-year bipartisan investigation into the e-cigarette manufacturer’s marketing and sales practices.
“This settlement makes important progress towards ensuring that JUUL is held accountable for its attempts to entice our young people with deceptive advertising,” said Attorney General Paxton. “After a two-year investigation, it’s clear that JUUL violated the law, and I’m proud to say that my office has been helping lead the charge to ensure JUUL never takes advantage of young people again.”
The investigation was launched in 2020 and was led by Attorney General Paxton’s office, along with the attorneys general of Connecticut and Oregon.
In addition to the monetary payment, the settlement requires JUUL to comply with injunctive terms that strictly limit its marketing and sales practices.
The settlement includes strong marketing, sales and distribution restrictions, including a prohibition on marketing targeted at youth, limits on in-store displays and access, online sales limits, retail sales limits, age verification requirements on all sales, and a retail compliance check protocol. The settlement also includes provisions to protect settling states in the event of a future bankruptcy.
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