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Baltimore wins settlement with JUUL Labs for alleged deceptive marketing

FILE - In this April 16, 2019 file photo, a researcher holds vape pens in a laboratory in Portland, Ore. According to a Centers for Disease Control and Prevention report released on Wednesday, Sept. 9, 2020, vaping rates among U.S. teenagers fell dramatically in 2020. The drop comes in the wake of 2019’s outbreak of vaping-related illnesses and deaths. (AP Photo/Craig Mitchelldyer, File)
Craig Mitchelldyer
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FR170751 AP
FILE - In this April 16, 2019 file photo, a researcher holds vape pens in a laboratory in Portland, Ore.

The city of Baltimore won yet another settlement from drug manufacturers Wednesday after coming to an agreement with JUUL Labs.

JUUL Labs, which produces e-cigarette products, agreed to pay either $7.5 million by the end of the year or $8 million over three years.

Baltimore sued JUUL Labs in 2020, alleging that the company’s products and marketing tactics were deceptive and targeted minors.

“Since taking office, my administration has done everything in our power to invest in Baltimore’s young people to ensure they can reach their full potential,” said Mayor Brandon Scott. “Achieving that aim means focusing on every aspect of their lives — including their health. When there is such a clear case of a company wrongfully targeting them to increase their bottom line, then we have a responsibility to take action and that’s what we did with this lawsuit. I am grateful to the legal team for their diligent work on this case and for reaching this settlement for the residents of Baltimore."

Baltimore had the option to sign on to a global settlement, but would have only received $1.9 million.

"We have and will continue to refuse settlement offers that do not fairly compensate Baltimore City for the harms that the misconduct of these companies bring on us," said City Solicitor Ebony Thompson.

The city opted to individually sue the company for more. It used the same tactic with opioid manufacturers, which has paid off. The city has won nearly a quarter of a billion dollars from three companies this year.

Scott has not yet outlined how the city will use the funds from JUUL.

Last week, the mayor signed an executive order setting up the governance structure for how it will spend the opioid funds.

Scott is the Health Reporter for WYPR. @smaucionewypr
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