Wednesday, October 23, 2024

Customers 'Shocked' By Hefty Juul Settlement Payouts

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Howard Feinstein wasn't expecting much when he submitted his information to a lawsuit against Juul Labs that accused the vaping company of misleading customers about the addictiveness and safety of their products.

⁘I thought it was fake at first,⁘ said the 55-year-old real estate agent, who lives in Washington state. ⁘I was absolutely shocked.⁘

The payment to Mr Feinstein this week was one of more than 800,000 that the company is making to former customers as a result of a more than $300m court settlement finally approved earlier this year.

The payouts range from $15 to more than $10,000, with an average of about $240, said Dena Sharp of the San Francisco law firm Girard ⁘ Sharp, who was the lead attorney on the case.

Administrators of the settlement, which involved Juul and tobacco giant Altria, which previously held a sizable stake in the company, started mailing checks late last week. Electronic payments began on Monday.

⁘Please continue to be patient and give us a little bit of time to process these claims,⁘ she said.

More than 14 million people submitted claims to the court, of which only about 842,000 were officially validated.

Ms Sharp said the court followed a careful process to winnow the claims, looking for duplicates, signs of fraud and proof of purchase.

About a quarter of the recipients purchased directly from the company, making their eligibility easier to verify, she said.

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