E-cigarette maker JUUL Labs Inc. has settled with Iowa's Attorney General over potential violations of Iowa's Deceptive Trade Practices Act.
The company was charged with exposing Iowans under 21 to its electronic nicotine delivery system (ENDS).
The company will pay $5 million over four years, as well as revamp its advertising.
JUUL will send $1.25 million to the Iowa Department of Health and Human Services each year over the next four years. The monies will be used, in part, to help Iowans quit e-cigarette use.
Iowa Attorney General Tom Miller stated: “This agreement strikes a balance in truthful advertising and promotions of JUUL devices and pods."
The company's advertising and promotional practices will also be updated.
The various agreement stipulations include not targeting youth in Iowa with advertising, promotion or marketing of JUUL products. Among other restrictions: Juul can't portray any person under 35 in any promotion, marketing or ad of its products or use cartoons in any such ad or marketing effort. It can't pay for any JUUL products placed in movies or TV shows.
In late June 2022, the Food and Drug Administration issued a marketing denial order to Juul, telling the company to remove its e-cigarettes from the U.S. marketplace.