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Vaping lawsuit results in justice: Island to receive nearly $7.5 million in compensation

The Secretary of the Department of Justice of Puerto Rico, Domingo Emanuelli Hernández, announced this Wednesday a legal transaction through which the Island will receive over $7 million to counteract the effects of the illegal use of electronic cigarettes or vaping among minors.

through the Office of Monopolistic Affairs (OAM) of the Department of Justice, the Government of Puerto Rico joined 34 US states and territories in an investigation against JUUL Labs, Inc., a leading manufacturer of e-cigarettes, accused of its illegal and deceptive marketing practices to encourage vaping among youth and children.

“As a result of the investigation, we filed a lawsuit for consent in the Court of First Instance of San Juan, through which we demand the cessation and desist of the illegal and deceptive practices carried out by the JUUL company directed at minors. After months of negotiation, we reached a settlement agreement whereby we stipulate that the company will stop its illegal practices and comply with the payment of economic compensation in an amount that exceeds $7.5 million, in order to counteract the effects of the illegal use of electronic cigarettes, develop prevention and education measures on the impact of this practice and offer treatment to the affected populations”, the Secretary of Justice detailed in a press release.

Among the findings, it was discovered that JUUL, knowing its illegality, used advertising campaigns to attract millions of minors to purchase its vaping products. In addition, they altered the chemical composition to make them more attractive to young people and misled consumers about the nicotine content and addiction caused by e-cigarettes.

The company targeted its strategies at minors through launch parties in which it distributed free samples, as well as advertisements and posts on social networks, using fashion figures among youth. The company was confident in the ineffectiveness of pre-consumption age verification measures.

“Through this action we protect a vulnerable population from the deceptive practices of a company that, for profit, did not care about harming a large part of our youth and children, practically condemning them to nicotine addiction. Now this company will have to assume responsibility for the damage caused. With this agreement, not only are the illegal practices that have caused an excessive increase in vaping stopped, but funds are designated to develop prevention and treatment programs aimed at the affected population,” said Emanuelli Hernández.

“According to the Centers for Disease Control and Prevention, by the year 2019, 13.1% of young people in Puerto Rico between the ages of 15 and 18 had tried cigarettes; while 35.8% had used the electronic cigarette”, reported the assistant secretary of the OAM, Guarionex Díaz Martínez.

In addition to financial compensation, JUUL must also comply with strict injunctions that limit its sales and marketing practices. The company may not place advertisements on billboards or billboards nor in public transportation vehicles; You may also not sell flavored cigarettes without FDA approval or misrepresent the nicotine content of your products; You are prohibited from allowing access to your web pages without age verification or using influencers; nor distribute free samples, among others. The agreement includes restrictions around where products will be placed in stores and limits retail and online sales.

The millionaire figure will be remitted within a period of six to ten years to the Mental Health and Addiction Services Administration (ASSMCA).

For his part, the administrator of ASSMSCA, Dr. Carlos Rodríguez Mateo, highlighted the essentials of this announcement, since it will strengthen prevention strategies and promotion of mental and physical health for the benefit of the most vulnerable population, which are children. , adolescents and young people.

“As we have been guiding and alerting from the ASSMCA, the electronic cigarette and the so-called vaping have a harmful effect on the health of our children and young people. Therefore, through this agreement with the company JUUL, we intend to increase prevention and intervention initiatives among the population of children, adolescents and their families through the ten Prevention Centers with more guidance services and workshops at the level of Puerto Rico, as well as increasing efforts to prevent its accessibility. This is key to changing habits and behaviors, as studies have shown”, said Dr. Rodríguez Mateo.

Vaping among teens skyrocketed after JUUL hit the market in 2015, prompting the Food and Drug Administration (FDA) to declare it an “epidemic.” In 2016, sales increased by 700%, and by 2018 the company dominated 75% of the entire market, impacting approximately five million minors.

Puerto Rico joined the investigation in May of last year, which began in early 2020 in the states of Connecticut, Oregon, and Texas. The following states also joined: Alabama, Arkansas, Delaware, Georgia, Hawaii, Idaho, Indiana, Kansas, Kentucky, Maryland, Maine, Mississippi, Missouri, Montana, North Dakota, Nebraska, New Hampshire, New Jersey, Nevada, Ohio, Oklahoma, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, Virginia, Vermont, Wisconsin, and Wyoming.

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