California on Monday sued the the United States’ biggest e-cigarette maker, alleging that Juul Labs Inc. deliberately marketed and sold its flavoured nicotine products to teenagers.
The lawsuit from California’s Attorney-General is the latest legal action against Juul, the multibillion-dollar vaping startup that has been widely blamed for helping spark the teen vaping craze.
California is the second state to sue the company, following a North Carolina lawsuit in May. Illinois, Massachusetts and several other states are also investigating the company.
A Juul spokesman said the company’s intended customers are adult smokers, adding “we do not intend to attract underage users.”
Under intense pressure, the company has suspended its U.S. advertising and halted sales of all but two of its flavours, menthol and tobacco. Additionally, the company shuttered its social-media accounts, tightened age verification for online sales and replaced its chief executive.
San Francisco-based Juul is the bestselling e-cigarette brand in the U.S., controlling roughly two-thirds of the retail market.
The lawsuit from California Attorney-General Xavier Becerra argues that Juul’s past marketing efforts online and in major U.S. cities used bright colours and youthful models to attract underage users. Federal law bans sales to those under 18.
California officials said they are seeking money to help pay for anti-vaping advertisements.
“Juul ran big tobacco’s playbook and the results were predictable – millions of teens and young Americans now use their product,” Mr. Becerra said at a Sacramento news conference announcing the lawsuit. “In California, we will not allow kids to be lured in by deceptive practices.”
The lawsuit also alleges that Juul previously:
- failed to adequately verify customers’ ages and identities on its website;
- shipped products to users who gave fake names, such as “Beer Can”;
- distributed free products at concerts and festivals that did not include a mandatory warning label.
The lawsuit came as White House officials said U.S. President Donald Trump is backing away from a plan to remove most vaping flavours from the market. The officials, who were not authorized to speak publicly, said Mr. Trump is concerned the flavour ban could alienate voters he needs to win re-election.
“We’re not going to wait for the federal government,” Mr. Becerra said.
Underage vaping has reached what health officials call epidemic levels. In the latest government survey, 1 in 4 high-school students reported using e-cigarettes in the previous month, despite federal law banning sales to those under 18.
E-cigarettes typically heat a solution that contains nicotine, which makes cigarettes and e-cigarettes addictive.