HQ Team
December 7, 2022: Juul Labs, a US-based e-cigarette maker, announced that it had reached a settlement covering 5,000 lawsuits that accused the company of marketing to children.
“The global resolution covers more than 5,000 cases brought by approximately 10,000 plaintiffs against Juul Labs and its officers and directors,” according to a statement.
These cases in the multi-district litigation (MDL) and related “JUUL Labs Product Cases” (JCCP) MDL and JCCP, come from groups such as personal injury, consumer class action, government entities, and Native American tribes, according to the company statement.
Juul Labs has reached settlements with plaintiffs in the federal that have been consolidated in the United States District Court for the Northern District of California.
Equity investment
As part of the settlement and court process, Juul Labs cannot disclose the settlement amount at this time but has secured an equity investment to fund the resolution.
Over the past year, Juul Labs has settled with 37 states and territories and “we remain in ongoing discussions with other key stakeholders to resolve the remaining litigation,” according to the statement.
“Juul Labs is charting a path forward to continue to advance tobacco harm reduction through science and technology for over 31 million adult smokers in the US and over 1 billion adult smokers worldwide.”
The global e-cigarette and vape market size is expected to reach $182.84 billion by 2030, registering a CAGR of 30.0% from 2022 to 2030, according to Research and Markets.
Less toxic
Growing concerns over conventional cigarettes among various age groups have boosted the demand for relatively less-toxic e-cigarettes and vape products.
Advances in e-cigarette technology, coupled with the availability of e-cigarettes in various types and e-liquid flavours, allow customers to choose the device and taste of their choice.
The flavours are contributing to the growth of the market. The rising awareness about safer alternatives to tobacco consumption has stimulated the adoption of e-cigarettes across the world.
North America accounted for the highest market share in revenue in 2021, owing to the extensive presence of top .players such as Altria Group, Inc. and Philip Morris International Inc.
