(Reuters) – E-cigarette maker Juul Labs Inc. has agreed to pay $ 40 million to North Carolina to settle a lawsuit filed by the state accusing it of marketing its products to minors.
The settlement, announced Monday by North Carolina Attorney General Josh Stein, is the first the company has reached with a state government. The deal also includes restrictions on the sale of products that appeal to minors and requires Juul to produce annual reports that show that it is compatible.
Attorney General Stein told a news conference that he began investigating Juul after "hearing from friends about the devastation this product had inflicted on children's lives – substance abuse, depression, poor grades, changing schools, medical treatment and more."
In a statement, Juul said: "This agreement is in line with our ongoing efforts to restore our business and its relationship with our stakeholders, as we continue to combat the use of minors and promote the potential for harm to adult smokers."
Juul's e-cigarettes are similar to USB sticks and work by evaporating a liquid with nicotine, and in its 201
Juul, where Marlboro manufacturer Altria Group took a breath l at 35 percent in 2018, still faces more than 2,000 lawsuits over its e-cigarette marketing. U.S. In March, the Federal Trade Commission asked it and other e-cigarette manufacturers to provide sales and advertising data. Catalog