Juul Labs Inc. has reached a settlement in over 5,000 lawsuits that claimed the company was responsible for encouraging vaping in youths across the US, reports Bloomberg.
Juul did not disclose the settlement amount saying that it was not allowed to give any figures and that the accord would be funded with an equity investment. The proposed settlement still requires court approval.
“These settlements represent a major step toward strengthening Juul Labs’ operations and securing the company’s path forward to fulfill its mission to transition adult smokers away from combustible cigarettes while combating underage use,” the statement said.
The Juul litigation in federal court encompassed around 3,234 personal injury suits with over 1,313 complaints brought by government entities and native Indian tribes, in addition to a proposed class-action fight, Bloomberg reports.
Juul had already reached an agreement earlier in the year to pay USD 438.5 million to 33 states that had also claimed that the company’s marketing and sales practices were aimed at youths.