E-cigarette maker Juul reaches settlement with nearly 10,000 plaintiffs
Partly owned by Altria Group Inc, Juul had in September agreed to pay US$438.5 million to settle claims by 34 US states and territories that it downplayed its products’ risks and targeted underage buyers.
In November, Juul said it had secured an investment from some of its early investors that will keep the e-cigarette maker in business, also planning to lay off about 400 people and reducing operating budget by 30 per cent to 40 per cent.
The company’s e-cigarettes were briefly banned in the country in late June, after the US Food and Drug Administration (FDA) concluded that it had failed to show that the sale of its products would be appropriate for public health.
But following an appeal, the health regulator put the ban on hold and agreed to an additional review of Juul’s marketing application.