JUUL Labs became the dominant e-cigarette brand in the United States, capturing approximately 75% of the market by 2019. However, its rise was accompanied by significant controversy and legal scrutiny.
Product Details
- Device: Sleek, rectangular vaping device with magnetic pod attachment
- Pods (JUULpods): Pre-filled, closed-system nicotine cartridges
- Nicotine concentration: 5% (59 mg/ml)—significantly higher than the EU/UK cap of 20 mg/ml
- Nicotine formula: Nicotine salts (chemical formulation that reduces harshness, enabling higher concentrations)
- Nicotine content: One JUUL pod contains approximately the same nicotine as 20 cigarettes
[1][2][3]
Company Status
Headquarters
- Current HQ: Washington, D.C. (1000 F St NW, 8th Floor)
- Former HQ: San Francisco, California (123 Mission Street)
- The company purchased the 29-story, 360,000 square foot building in 2019 for $397 million
- Abandoned the office less than a year later, listed it for sale expecting $450 million
- No successful purchase offers materialized
- In March 2026, investors (Madison Capital and PGIM) bought the debt for $90-100 million (less than 25% of pre-pandemic value)
- The company relocated to Washington, D.C., likely for lobbying purposes given regulatory scrutiny [45][46][47]
Company Overview
| Metric |
Value |
| Status |
Active, privately held |
| Employees |
~720-1,200 |
| Annual Revenue |
~$1.5 billion |
| Total Funding |
$16 billion+ |
| Countries Operating |
24 |
| CEO |
K.C. Crosthwaite |
[44][45][48]
Current Business Status
Yes, JUUL is still in business in the USA.
In July 2025, the FDA granted JUUL marketing authorization for their products:
- FDA Decision: July 17, 2025 - Marketing Granted Orders (MGOs) for the JUUL System [49][50]
- Products Authorized: JUUL device + Virginia Tobacco and Menthol flavored JUULpods (3% and 5% nicotine) [49]
- Data: JUUL submitted 110+ scientific studies, including a 2-year longitudinal cohort study showing 38-52% of adult smokers switched completely to JUUL [49][50]
- Note: FDA originally ordered a ban in 2022 but reversed course days later. The authorization is not "FDA approval" - it means the products meet the "appropriate for protection of public health" standard [49][50][51]
Congressional Hearings
The House Committee on Oversight and Reform's Subcommittee on Economic and Consumer Policy held two days of hearings:
| Date |
Hearing |
Serial No. |
| July 24, 2019 |
Examining JUUL's Role in the Youth Nicotine Epidemic: Part I |
116-51 |
| July 25, 2019 |
Examining JUUL's Role in the Youth Nicotine Epidemic: Part II |
116-54 |
Chairman: Rep. Raja Krishnamoorthi
Key witnesses: James Monsees (Co-Founder/CPO), Ashley Gould (CAO), public health experts, parents, teenagers
Documents: ~55,000 non-public documents produced to the Subcommittee. [4][5]
FDA Warning Letter (September 9, 2019)
The FDA issued a warning letter citing violations of Section 911 of the Federal Food, Drug, and Cosmetic (FD&C) Act:
Violations
- Marketing unauthorized modified risk tobacco products
- Claiming products were "99% safer than cigarettes"
- Claiming products were "much safer than cigarettes"
- Describing products as "totally safe"
- Marketing as "a safer alternative than smoking cigarettes"
[6][7]
FDA Questions
- Why use nicotine salts? (reduces harshness, enables ~3x higher concentration)
- Why 5% nicotine concentration?
- School presentations telling students JUUL was "totally safe"
[1][6]
Federal Litigation (MDL)
Case: In Re: Juul Labs, Inc., Marketing, Sales Practices, and Products Liability Litigation
Court: U.S. District Court, Northern District of California
Case No.: 3:19-md-02913-WHO
Judge: William H. Orrick
MDL Order: October 2019 [8]
Settlements
| Date |
Settlement |
Amount |
| December 2022 |
Class Action (Economic Loss) |
$255 million |
| May 2023 |
Altria Group |
$235 million |
| September 2023 |
Final Approval |
$255 million |
The MDL consolidated ~5,000 cases with ~10,000 plaintiffs (personal injury, consumer class, government entities, tribes). [8][9]
State Attorney General Settlements
| Date |
States/Jurisdictions |
Amount |
| December 2022 |
33-34 states |
$438.5 million |
| April 2023 |
CA, CO, DC, IL, MA, NM, NY |
$462 million |
The April 2023 $462 million settlement was the largest multistate settlement with JUUL. State allocations: California $175.8M, New York $112.7M, Illinois $67.6M, Massachusetts $41M. [10][11][12]
"Nicotine is a Drug" Argument
Public health organizations argued JUUL should be regulated as a drug/device:
- Marketing implied the product helped smokers "switch" or quit—therapeutic claims requiring FDA drug approval
- Under the FDA's "Tobacco Intended Use Rule," products marketed for smoking cessation require approval as drugs/devices
- Selling without requisite drug approval = illegal marketing under the FD&C Act [13][14]
See Also
References
[1] Stanford University - Dr. Robert Jackler Testimony: The Role of the Company in the JUUL Teen Epidemic
[2] CDC - E-Cigarette Article: JUUL and Teen Smoking
[3] Jackler et al. - JUUL Advertising Study, Stanford University
[4] House Committee on Oversight and Reform - Examining JUUL's Role in the Youth Nicotine Epidemic: Part I
[5] House Committee on Oversight and Reform - Examining JUUL's Role in the Youth Nicotine Epidemic: Part II
[6] FDA - Warning Letter to JUUL Labs (September 9, 2019)
[7] FDA - Warning Letter Full Text (PDF)
[8] CourtListener - In Re: Juul Labs, Inc. MDL Case No. 3:19-md-02913
[9] Law360 - JUUL MDL Coverage
[10] New Jersey AG - $435 Million Settlement Announcement
[11] California AG - $462 Million Settlement Announcement
[12] New York AG - $462 Million Settlement
[13] American Heart Association - Letter to FDA re: JUUL (May 2019)
[14] FDA - Tobacco Intended Use Rule
[44] SEC Filing - JUUL Labs Form D
[45] The Real Deal - Investors Buy Debt Tied to Juul Labs' San Francisco Offices
[46] Equilar - JUUL Labs Executive Bio
[47] Tracxn - JUUL Labs Company Profile
[48] LinkedIn - JUUL Labs Company Page
[49] FDA - FDA Authorizes Marketing of Tobacco- and Menthol-Flavored JUUL E-Cigarette Products
[50] JUUL Labs - Statement on FDA Marketing Authorizations
[51] PBS News - Juul can continue selling e-cigarettes