San Francisco Unified settles federal lawsuit against Juul

Juul to pay nearly $440 million to settle states' teen vaping probe

SAN FRANCISCO – The San Francisco Unified School District announced Thursday that it has reached a settlement with Juul Labs, as the company agreed to resolve thousands of lawsuits over its vaping products.

According to a district statement, the settlement would provide additional resources to address youth vaping and youth nicotine use in the district, along with advancing the district's mission to educate about the dangers of youth nicotine use. SFUSD did not reveal the exact settlement amount.

Superintendent Matt Wayne said the district was "very pleased with the outcome" following litigation that spanned over three years.

"This settlement represents a very positive outcome that will amplify the efforts of our health education staff and benefit SFUSD's students by helping to reduce and deter youth nicotine use," Wayne said.

SFUSD was among nearly 10,000 plaintiffs who reached a settlement with Juul this week, including school districts and Native American tribes, along with individuals and families of Juul users.

"The settlement will make a significant difference in the public health fight against youth e-cigarette use, and will further advance SFUSD's established health education work by providing meaningful resources to support prevention efforts and education around youth e-cigarette use," said Jenny Lam, president of the San Francisco Board of Education.

For years, the company was the target of lawsuits and government sanctions after it was blamed for a rise in underage vaping among teenagers, some of whom became addicted to the company's flavored nicotine pods.

In September, the company reached a $440 million settlement with 33 states to settle a two-year-investigation into the marketing of its high-nicotine vaping products.

Juul's future remains in doubt, as other litigation continues and after the FDA rejected its application to keep its product on the market as a smoking alternative for adults. The company announced hundreds of layoffs last month.

Law firm Wagstaff & Cartnell, LLP, which filed the lawsuit on behalf of the district, would be compensated from lawsuit proceeds. The district did not incur out-of-pocket legal fees in connection with the Juul case.

While SFUSD has settled with Juul, the district is continuing litigation against tobacco giant Altria, which had invested nearly $13 billion in Juul in 2018.

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