Juul Begins $300 Million Settlement Payouts to Former Users

Former Juul users are beginning to receive payments from a class-action settlement against the e-cigarette manufacturer, with compensation ranging from $10 to several hundred dollars, according to Juul Labs' settlement documentation provided to Newsweek in October 2024.

The payments stem from a lawsuit alleging Juul Labs Inc. misled consumers about its products' addictive nature and health risks while marketing to young people. According to court filings reviewed in March 2024, the settlement totals $300 million, comprising a $255 million settlement from Juul approved in January, supplemented by a $45 million payment from tobacco company Altria Group (which previously held a 35 percent stake in Juul).

According to the official settlement terms, those who purchased Juul products in the United States on or before December 7, 2022, and submitted claims by the February 5, 2024 deadline qualify for payment. The settlement administrator confirms payment amounts are determined by how much each consumer spent on Juul products compared to other settlement class members and whether they provided proof of purchase.

In a statement to Newsweek, a Juul Labs spokesperson said: "The payment of settlement funds is managed by the Settlement Trust, not directly by Juul Labs. We are pleased to have resolved the vast majority of the company's past legal issues and are focused on advancing our mission, including our efforts to combat underage use of our products, which has been cut by 98 percent since 2019 according to the most recent government data."

The settlement distributions began after the court approved fund distribution on October 8, as confirmed by settlement trust documents, with payments being processed through digital payment platforms like Venmo.

Kevin Lanning, 39, a former Google employee from West Palm Beach, Florida, interviewed for this article, shared his experience: "The mango pods were absolutely phenomenal; they tasted like candy. I instantly became addicted to them." Lanning received his settlement payment while launching a podcast about overcoming addiction.

Michael Ryan, founder of michaelryanmoney.com, told Newsweek, "This settlement isn't just about reimbursing past purchases. It's about holding these companies accountable for their marketing strategies that have had serious financial and health consequences for consumers."

According to financial records cited by Ryan in his Newsweek interview, during peak usage, many young adult Juul customers spent between $30 and $50 a week on the products. The lawsuit alleged, as documented in court filings, that Juul's marketing practices particularly affected young adult consumers between 2015 and 2021.

Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, explained to Newsweek: "Filing a claim is certainly one way of seeking financial assistance as a way of forgiveness, but the most important factor going forward is ensuring others, particularly minors, understand the effects of Juul's products going forward before purchasing them."

Kevin Thompson, CEO of 9i Capital Group, noted to Newsweek: "Juul, like most companies, is not admitting wrongdoing and has decided to settle claims that they marketed their products towards minors or hid the addictiveness of the product. Many young people became hooked on nicotine, leading to serious long-term health risks."

The settlement administrator confirms distributions are expected to continue through December 2024. While the claim filing period has ended, this case highlights ongoing discussions about corporate responsibility in the e-cigarette industry and youth marketing practices.

media not only to share their payment amounts but also to reflect on their past use. Many report having quit vaping since filing their claims, citing health concerns and increased awareness of addiction risks.

Claimants can contact the settlement administrator through the official settlement website for settlement eligibility or payment status information.