Juul has released a statement explaining that it has reached a settlement with seven different state attorneys general regarding claims that it marketed e-cigarette products to adolescents. The company stated that the terms of the agreement are to provide financial resources that combat underage use of Juul products.
The $462 million settlement is with states that include New York, California, Colorado, Illinois, Massachusetts, New Mexico and Washington, D.C., according to the New York Times.
Since Juul began a company-wide reset in the fall of 2019, underage use of Juul products has declined 95% based on the Youth Tobacco Survey.
“With this settlement, we are nearing total resolution of the company’s historical legal challenges and securing certainty for our future,” the company said in its statement. “We have now settled with 47 states and territories, providing over $1 billion to participating states. This is in addition to our global resolution of the U.S. private litigation that covers more than 5,000 cases brought by approximately 10,000 plaintiffs.”
The company has noted that it will continue to focus on its current position, which is to maximize the value and impact of its products. It also explained that Juul technology has transitioned over 2 million adult smokers from combustable cigarettes, with a goal to grow that number to 31 million smokers in the U.S. and 1 billion in the world.
Juul is still awaiting word from the Food and Drug Administration (FDA) on whether or not sales of Juul products will be allowed a permanent market.