US e-liquid pioneer Johnson Creek Enterprises has closed its doors just months after local government in the company’s Wisconsin base in Hartland threatened to sue the federal government over its plans to regulate the vaping industry.
Johnson Creek Chief Operating Officer Heidi Braun in a post on the company website said business ceased as of 10 October. Customers received an e-mail on 9 October that said the company had filed for bankruptcy, according to various vaping industry media. Johnson Creek production began nine years ago. Direct sales, bulk manufacturing for third parties and support for brick-and-mortar vape shops have made Johnson Creek the world’s second largest e-liquid manufacturer, according to the company website.
Hartland officials in July threatened the Food and Drug Administration with a lawsuit, alleging the FDA failed to consult with local governments in communities that would be severely impacted by its new vaping regulations. Shortly thereafter FDA announced it was slowing down implementation to reassess the regulatory impact.