Texas Attorney General (AG) Ken Paxton announced on Wednesday that the state has entered into a $43 million settlement with Washington, D.C.-based electronic cigarette company JUUL Labs, per a press release issued by the Office of the Attorney General (OAG).
The release said that the settlement is part of a $434.9 million resolution between JUUL and 33 states and territories that concludes a two-year bipartisan investigation helmed by the OAG and its counterparts in Connecticut and Oregon.
According to the release, the investigation delved into JUUL’s purportedly deceptive marketing and sales practices.
“This settlement makes important progress toward ensuring that JUUL is held accountable for its attempts to entice our young people with deceptive advertising,” Paxton, a Republican, said, per his office. “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.”
Aside from monetary payment, the settlement orders the company to abide by injunctive terms that strictly limit its trade practices, the OAG said.
JUUL is essentially barred from advertising to youth, limited in its retail and online sales and required to verify age on all transactions, the release said.
The settlement also gives the complainant states protection should bankruptcy be considered.
Two months ago, the U.S. Food and Drug Administration (FDA) published the results of its 2022 National Youth Tobacco Survey (NYTS), the federal agency’s website reported.
According to the survey, more than three million middle and high school students have used a tobacco product, including an electronic cigarette.
Over 25% of youth used e-cigarettes on a daily basis, results show.
