Judge Dismisses Most Of Altria's Lawsuits Against One-time Sellers, Except Elfbar
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Judge dismisses most of Altria's lawsuits against one-time sellers, except Elfbar
Altria's lawsuit against dozens of disposable e-cigarette manufacturers, distributors and retailers has been dismissed by the U.S. District Court in California. A court has not dismissed a lawsuit against Elf Bar maker IMiracle.
A lawsuit filed by Altria Group's e-cigarette subsidiary NJOY against dozens of disposable e-cigarette manufacturers, distributors and retailers has been dismissed by the U.S. District Court in California. A court has not dismissed a lawsuit against Elf Bar maker IMiracle.
The lawsuit, filed last October, accuses the companies of illegally selling the products in California and the United States and seeks a nationwide injunction blocking future imports and sales of the products and the payment of compensatory and punitive damages to NJOY.
The companies charged include manufacturers and distributors of Breeze, Elf Bar, Esco Bar, Flum, Juice Box, Lava Plus, Loon, Lost Mary, Mr. Fog and Puff Bar, which together make up the U.S. disposable e-cigarette market. A large part of the market.
Judge Terry J. Hatter Jr. of the U.S. District Court for the Central District of California issued the dismissal order on Jan. 18. The court held that the defendants were not party to "the same transaction, event or series of transactions or events" and were therefore improperly joined to the proceedings. Mr Justice Hart therefore dismissed the proceedings against all parties except the first defendant, IMiracle.
NJOY, once known as a pioneer in the independent e-cigarette industry, is now an e-cigarette subsidiary of Altria Group, the American manufacturer of Marlboro cigarettes.
The judge issued the order "without prejudice," meaning NJOY can re-sue the dismissed defendants individually or in smaller groups with apparent relationships. The court also denied NJOY's unfair competition claim and its motion for a preliminary injunction prohibiting the defendants' sales and distribution.
In the case of Hong Kong-based Elf Bar manufacturer IMiracle, the court denied NJOY's motion to serve the company via email, noting that there are established international procedures (the Hague Convention) for serving legal notices on foreign defendants. This leaves NJOY's lawsuit against IMiracle still valid, but unable to proceed until the Chinese manufacturer receives formal notice of the lawsuit.
NJOY, once known as a pioneer in the independent e-cigarette industry, is now an e-cigarette subsidiary of Altria Group, the American manufacturer of Marlboro cigarettes. Last year, Altria acquired NJOY for $2.75 billion after giving up a 35% stake in Juul Labs. NJOY sells two of the six vaping devices that currently have FDA authorization.
