AUSTIN, Texas (FOX 44) – Attorney General Paxton has announced the entry of a $43.3 million dollar settlement against JUUL Labs in Texas state court.
The Office of Ken Paxton says the settlement is part of a $434.9 million resolution between JUUL Labs and 33 states and territories resolving a two-year bipartisan investigation into the e-cigarette manufacturer’s marketing and sales practices.
The investigation was initially 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 Office says the settlement requires JUUL to comply with injunctive terms which strictly limit its 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 Office says 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.
For more information about the previously announced settlement in principle, including more details on the results of the investigation into JUUL, you can click here.