Court Rules
All enforcement actions
SettlementCritical RiskMultistate

CT AG Leads $438.5M JUUL Settlement Over Youth Marketing

JUUL LabsJune 7, 2023Connecticut Attorney General

Penalty Amount

$438,500,000

Summary

Connecticut led a multistate settlement with JUUL Labs for $438.5 million over allegations of marketing vaping products to underage youth. The settlement funds are being directed to Regional Behavioral Health Action Organizations through new legislation to combat youth vaping, with requirements for transparency and evidence-based programs.

Remedy

JUUL Labs must pay $438.5 million, with Connecticut's share of approximately $16 million allocated to RBHAOs for vaping prevention and cessation programs. The legislation ensures that funds are used for evidence-based treatment and prevention, with updated reporting requirements similar to opioid settlement funds.

Monetary Penalty

Contract Impact

In-house legal teams should review distribution agreements, retailer contracts, and marketing partnership agreements for clauses related to youth access prevention. Specifically, examine marketing restrictions prohibiting minor targeting, mandatory age-verification system requirements, retailer compliance certifications, and compliance with federal/state tobacco and vaping regulations (e.g., FDA, state age-gating laws). Agreements may need amendments to enhance age-verification protocols, add mandatory training on youth marketing prohibitions, strengthen audit rights, include explicit penalties for non-compliance, and align reporting obligations with settlement monitoring requirements.

Contract Search Terms

age verification system requirementsmarketing to minors prohibitionyouth access prevention measuresretailer compliance certificationdistribution channel restrictionscompliance with tobacco/vaping regulationsinjunctive relief obligationssettlement monitoring and reportingtermination for non-complianceaudit rights for age-gating

Violation Types

Entity Details

Entity

JUUL Labs

Also known as: JUUL

Industry

Technology

Multistate Coalition

34 states and territories

Official Sources

Related Enforcement Actions

CT

JUUL Labs

$438.5M

Connecticut Attorney General William Tong led 34 states and territories in a $438.5 million settlement with JUUL Labs over its youth-targeted marketing and misleading practices. The settlement includes strict injunctive terms prohibiting youth marketing, certain flavors, and requiring age verification. Funds will support tobacco cessation programs.

CT

SunRun, Inc.

$500K

Connecticut Attorney General William Tong announced settlements with SunRun, Inc., Elevate Solar Solutions, and two salespeople over allegations of deceptive solar sales, including impersonating consumers and locking homeowners into long-term contracts without consent. SunRun must pay $300,000 and provide consumer relief; Elevate and the salespeople face a stated $200,000 penalty, with $100,000 suspended subject to ongoing compliance.

CT

Mylan

$8.0M

Connecticut announced an $8 million settlement with Mylan over allegations that it used agreements to delay generic EpiPen competitors and took other actions that inflated prices. Mylan also agreed to provide 10,000 free EpiPens; the release states that Mylan denies wrongdoing.

CT

U.S. Department of Homeland Security

Connecticut Attorney General William Tong joined a coalition of 22 attorneys general in filing an amicus brief challenging DHS’s policy and practice of conducting warrantless civil immigration arrests. The press release describes a court challenge, not a privacy enforcement action or monetary penalty.

CT

Frontier Communications Parent Inc.

$625K

Connecticut reached a $625,000 settlement with Frontier Communications Parent Inc. over an April 2024 breach in which compromised employee and vendor credentials were used to access internal systems and exfiltrate unencrypted personal information of 58,841 Connecticut residents. The settlement requires Frontier to strengthen its security program, implement specific safeguards and training, and obtain an independent third-party assessment.

CT

Boston Children’s Health Physicians and XTIUM

$2.6M

Connecticut and New York found that Boston Children’s Health Physicians and its security vendor, XTIUM, failed to use reasonable safeguards, resulting in hackers accessing sensitive personal, medical, and employee information. The companies agreed to pay penalties totaling $2.64 million and implement enhanced cybersecurity measures.