Juul brand e-cigarettes in a case at a retail store. Photo: Joni Hanebutt/Shutterstock.com

What began as a Connecticut investigation into Juul Labs Inc.'s marketing and sales practices has now turned into a 39-state probe into whether the California-based electronic cigarette company targeted minors, misled customers about nicotine content, and made false claims about its product's effective as a smoking-cessation tool.

Connecticut, Texas, Florida, Nevada and Oregon are spearheading the investigation. They announced Tuesday that 34 other states have joined the effort. But Connecticut attorney general spokeswoman Elizabeth Benton declined to name the other states, saying some are barred from disclosing their investigations, while others plan to make announcements in due time.

Now, attorneys say they expect the investigations to leap into courtrooms, with litigation against Juul Labs, an arm of cigarette manufacturer Altria Group Inc. and its subsidiary Philip Morris USA Inc.

"I definitely see a lawsuit," said Mark Dubois, an attorney with New London-base Geraghty & Bonnano. "There will probably be an enforcement action by the states to enjoin Juul from putting dangerous products on the market. And then I expect a class action suit for putting a faulty or defective product into the stream of commerce."

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Related: Connecticut AG Investigates Juul Over Alleged Smoking-Cessation Claims Using E-Cigarettes

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In an emailed statement Tuesday afternoon, Juul spokesperson Austin Finan wrote: "We will continue to reset the vapor category in the U.S. and seek to earn the trust of society by working cooperatively with attorneys general, regulators, public health officials, and other stakeholders to combat underage use and transition adult smokers from combustible cigarettes."

The statement continues: "As part of that process in the U.S., we are preparing comprehensive and scientifically rigorous Premarket Tobacco Product Applications, stopped the sale of flavored pods other than tobacco and menthol in November, halted our television, print and digital product advertising, implemented a $1 billion restructuring plan, and support the administration's final flavor policy. Our customer base is the world's one billion adult smokers and we do not intend to attract underage users."

 

'Tough to rebound'

Juul is already fending off litigation in multiple states over alleged unlawful and deceptive trade practices.

Another blow: U.S. Surgeon General Jerome Adams warned that vaping could lead to lifelong addiction, and news reports stated federal officials singled out Juul, saying the company fueled an epidemic.

"Preying on children and those looking for help to quit smoking is one of the most despicable examples of risking people's lives for corporate profit," Nevada's Attorney General Aaron Ford said in a statement Tuesday.

Attorney Robert Mitchell of Stratford's Mitchell & Sheahan, who is not involved in the litigation, said future litigation will likely hinge on the company's alleged targeting of minors.

"I believe it will come down to the marketing to children, because when it comes to children, they are seen as defenseless victims of an overly sophisticated marketing campaign," he said. "And that's tough to rebound from."

A December 2019 lawsuit filed against the company in Connecticut alleged Juul e-cigarettes caused a teenage boy to experience seizures after be became addicted to nicotine. The suit alleges the company's marketing efforts, including selling fruit-flavored products and featuring young models in advertisements, are aimed at youths.

Florida Attorney General Ashley Moody appeared to be setting that tone.

"As Florida's attorney general and a mother, I cannot sit on the sidelines while this public health epidemic grows, and our next generation becomes addicted to nicotine," Moody said in a press release.

Texas Attorney General Ken Paxton said in a statement: "Protecting Texans from deceptive business practices is a high priority for my office, and I am committed to holding companies accountable for the quality, effects and marketing of their products."

Connecticut Attorney General William Tong issued a similar statement. "I will not prejudge where this investigation will lead," Tong said. "But we will follow every fact, and are prepared to take strong action in conjunction with states across the nation to protect public health."

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