Juul's Consumer Settlement Is 'Reasonable & Adequate', US Judge Says

• Juul Labs Inc, a unit of Altria Group (NYSE: MO), has reportedly secured preliminary court approval of a $255 million settlement resolving consumer claims for deceptive marketing.

• The settlement is part of a larger agreement by Juul to resolve several lawsuits by school districts, local governments, and individuals accusing it of contributing to a youth vaping epidemic.

• U.S. District Judge said the proposed class action settlement resolving claims by consumers who said they overpaid for Juul's vaping products was "fair, reasonable, and adequate." Reuters reported citing a court filing.

• In December, Juul Labs agreed to pay over $1 billion to resolve about 10,000 lawsuits covering over 5,000 cases.

• The class action settlement resolves claims for people saying they would have paid less or not bought the e-cigarettes if Juul had not downplayed the products' addictiveness and appealed to teenagers.

• Juul had agreed to pay $438.5 million in September to settle claims by 34 U.S. states and territories.

• In June, the FDA briefly banned Juul's e-cigarettes, though it later put the order on hold following an appeal.

• Juul Labs received a new lifeline with a fresh capital infusion to stave off the proposed bankruptcy in November.

• Price Action: MO shares are down 0.89% at $44.54 during the premarket session on the last check Monday.

• Photo via Wikimedia Commons

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