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Juul pays $40 million to settle North Carolina teenagers’ claim for e-cigarette smoking

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North Carolina has become the first state in the United States to reach a settlement with Juul on the company’s role in popularizing e-cigarettes among young people.

According to a statement from the office of North Carolina Attorney General Josh Stein on Monday, as part of the consent order, Juul will pay $40 million and “make major changes to the way it conducts business.”

“For many years, Juul has targeted young people, including teenagers, with its highly addictive e-cigarette. It ignited sparks and fanned the e-cigarette epidemic among our children-you can go to any high school in North Carolina. Seeing this epidemic,” Stan said.

Juul helped popularize the use of e-cigarettes as an alternative to traditional cigarettes, but it took a hit, claiming that it triggered a surge in young people’s use of e-cigarettes through marketing targeting young people, and it did not issue warnings about the potential harm.

In addition to North Carolina, the attorneys general of 13 states and the District of Columbia also filed suits against Juul’s marketing claims, including California and New York. Last year, a team of 39 states announced a coordinated investigation of Juul’s marketing practices.

Juul said in a statement that the settlement with North Carolina “is in line with our continuous efforts to realign the company and its relationship with stakeholders, as we will continue to combat minor use and provide adult smokers with reduced harm Opportunity”.

As part of the agreement, Juul will pay $40 million in six years to fund programs to help people quit smoking and prevent addiction and other research.

Juul also promised to change its business practices in the state to avoid attracting young people, including not targeting people under the age of 21 for marketing, and stricter restrictions and verification requirements for online sales and physical store sales.

In recent years, Juul has faced political backlash and Regulatory review The marketing and health effects of its products. According to people familiar with the matter, the litigation concern is that the tobacco group PMI in 2019 Leave the conversation US$200 billion merged with rival Altria, which acquired a 35% stake in Juul for US$12.8 billion at the end of 2018.

After the merger talks broke down, Juul Overhaul its leadership, And Marlboro cigarette manufacturer Altria was subsequently forced to write down its investment by billions of dollars.

The 2020 National Youth Tobacco Survey conducted by the U.S. Drug Regulatory Agency and the top U.S. public health agency shows that among the estimated 4.47 million young people who use any tobacco product, 3.6 million young people use e-cigarettes “an alarmingly high”. However, compared with 2019, the number of American teenagers using e-cigarettes decreased by 1.8 million.

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