Big Sky Roundup
Montana to receive $6 million in e-cigarette settlement
E-cigarettes (Wikimedia Commons)
Montana will receive more than $6 million as part of a multi-state settlement with e-cigarette manufacturer JUUL.
The multistate investigation that led to the settlement revealed that JUUL engaged in an advertising campaign that appealed to youth, even though its e-cigarettes are both illegal for them to purchase and are unhealthy for youth to use.
“Juul’s irresponsible marketing campaigns pushed young Montanans toward vaping and nicotine addiction,” Attorney General Knudsen said in a press release on Tuesday. “My office will continue to hold companies accountable that deceive or mislead consumers.”
The 34 participating states and territories are in the process of finalizing the settlement, a process that takes approximately 3-4 weeks, according to the release.
The $438.5 million settlement would be paid out over a period of six to ten years, with the amounts paid increasing the longer the company takes to make the payments. If JUUL chooses to extend the payment period up to 10 years, the final settlement would reach $476.6 million and result in additional payments to the State of Montana, the release stated.
As part of the settlement, JUUL has agreed to refrain from:
- Youth marketing
- Funding education programs
- Depicting persons under age 35 in any marketing
- Use of cartoons
- Paid product placement
- Sale of brand name merchandise
- Sale of flavors not approved by FDA
- Allowing access to websites without age verification on landing page
- Representations about nicotine not approved by FDA
- Misleading representations about nicotine content
- Sponsorships/naming rights
- Advertising in outlets unless 85 percent audience is adult
- Advertising on billboards
- Public transportation advertising
- Social media advertising (other than testimonials by individuals over the age of 35, with no health claims)
- Use of paid influencers
- Direct-to-consumer ads unless age-verified, and
- Free samples.
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