State Attorneys General Bring JUUL to Court Over Marketing Tactics

JUUL Labs is America’s largest vaping company by a wide margin, and between the company’s enormous sales and funding from tobacco giant Altria, JUUL has had ample funds to spend on lobbying efforts. JUUL has courted attorneys general around the country by donating tens of thousands of dollars to election campaigns, perhaps in an attempt to smooth over the controversy surrounding the company’s early marketing campaigns. Some researchers have claimed that JUUL intentionally attempted to attract young users during its first years on the market, and many people believe that JUUL is directly responsible for the youth vaping epidemic that currently faces the United States.

Although JUUL’s campaign donations may have been made in an attempt to prevent legal proceedings, officials in 39 U.S. states have indicated that they have already begun investigations regarding JUUL’s marketing tactics. Specifically, officials want to determine whether JUUL intentionally targeted teens with its advertisements and whether the company attempted to obfuscate the true nicotine content of its products.

Underage Vaping a Serious Problem in the United States

The reason why JUUL gets such negative publicity in the United States is because recent survey data suggests that more than 5 million underaged children in the U.S. are regular vapers – and the vast majority of those children have selected JUUL as their e-cigarette brand. Former FDA commissioner Scott Gottlieb has gone on record blaming JUUL for the underage vaping crisis, saying that the company “popularized the idea of vaping among kids.”

During JUUL’s launch phase, the company invested heavily into putting the product in the hands of social media influencers. JUUL also staged posh launch parties in trendy locales across the country. The U.S. federal government is investigating whether JUUL deliberately targeted minors with these promotions.

JUUL Has Attempted to Forge Relationships With Attorneys General

Amid the scrutiny, JUUL has quietly met with attorneys general in the company’s attempt to “earn the trust of society.” While JUUL isn’t discussing those meetings in detail, the Associated Press reported that representatives from the company met with Iowa Attorney General Tom Miller, the longest-serving attorney general in the nation’s history. Reportedly, Miller advised the company with regards to how best to respond to government probes.

Miller’s office is not investigating JUUL’s marketing practices. Legal experts have commented that such a close relationship between an attorney general and a private company is highly unusual.

Reportedly, JUUL encouraged Miller to speak with the New York Times, CBS and NBC about the company’s efforts to reduce teen vaping. Miller also wrote a profile of JUUL’s founders for Time Magazine. In an interview with the Associated Press, Miller said that his involvement with JUUL stemmed purely from his interest in the product as a way to reduce smoking.

JUUL also hired former Massachusetts Attorney General Martha Coakley as a spokesperson. In addition, JUUL donated thousands of dollars to various election campaigns for legal offices around the country. Through further donations totalling $100,000, JUUL secured membership in both the Republican and Democrat committees responsible for raising funds for campaigns in attorneys general elections. Through those memberships, JUUL representatives were able to meet with attorneys general at exclusive conferences and retreats.

During the 2018 election cycle, JUUL donated approximately $38,000 to the election campaigns of several hopeful and incumbent attorneys general. The donations gave JUUL the opportunity to meet with various legal officials and lobby in favour of their product. JUUL came to these meetings equipped with slideshows trumpeting the product’s potential to reduce smoking rates.

The Pressure on JUUL Mounts Despite Lobbying Efforts

Attorneys general around the country aren’t waiting for the federal government to act against JUUL. One by one, they’re filing lawsuits of their own. On February 12, for example, Massachusetts Attorney General Maura Healey announced that her office is suing JUUL for “intentionally marketing and selling its e-cigarettes to young people.”

Healey’s lawsuit alleges that JUUL rejected a proposed adult-oriented advertising campaign in favour of a more youth-oriented campaign during the brand’s launch. JUUL’s “Vaporized” campaign featured young, attractive models in sexually charged poses, and some of the models used appeared to be under 21 years of age. The lawsuit further alleges that JUUL purchased advertising space on websites popular with teens and recruited social media influencers with significant numbers of underaged followers.

JUUL’s attempts to smooth things over with various attorneys general haven’t been entirely successful. Georgia is among the 39 states investigating JUUL’s marketing practices. JUUL met with Chris Carr – Georgia’s Attorney General – in May 2019. By then, Martha Coakley had begun working for JUUL. After the meeting, Coakley sent an email to Carr’s office staying that JUUL “[looked] forward to staying in touch.” JUUL also donated $3,000 to Carr’s re-election campaign in 2018.

Despite the efforts, Carr and the State of Georgia launched an investigation against JUUL in February 2020.

Backlash Against JUUL Not Dying Easily

As the investigations and lawsuits against JUUL continue to mount, it becomes clear that no amount of campaign contributions and private meetings will make the controversy surrounding the company die quietly. Even as JUUL attempts to spread its corporate reach around the world, negative sentiment against the company in its home country have reached a fever pitch. The controversy has caused elected officials in other nations to pause and reconsider whether allowing JUUL to enter those countries is a good idea after all. Although the lawsuits against JUUL may take years to play out, it is entirely possible that the judgments and settlements resulting from the lawsuits will cripple the company’s finances so much that the notion of international expansion becomes a moot point.