Swedish Match Fined $1.2 Million For Violating Washington DC's Flavored Tobacco Ban

Swedish Match fined $1.2 million for violating Washington DC's flavored tobacco ban

Swedish Match North America was ordered to pay a $1.2 million settlement for violating the flavored tobacco ban in Washington, D.C., and the company agreed to take steps to ensure compliance with the ban, including monitoring distributors and notifying legal restrictions.

According to Fox5dc on December 13, Brian L. Schwalb, Attorney General of the District of Columbia, announced on Friday (13th) that Swedish Match North America LLC (hereinafter referred to as "SMNA") was ordered to pay a $1.2 million settlement for violating the flavored tobacco ban implemented in Washington, D.C. in 2022.

The settlement was reached after an investigation by the Office of the Attorney General (hereinafter referred to as "OAG") found that the company sold tens of thousands of flavored nicotine products in the District through its website. SMNA is a subsidiary of Philip Morris International (PMI), and the company agreed to take steps to ensure compliance with the ban, including monitoring its distributors and notifying them of legal restrictions annually.

Schwab said in a news release,

"The reason flavored tobacco products like ZYN nicotine pouches are banned is because they are dangerous, addictive, and threaten the tremendous progress made in reducing youth tobacco use. Manufacturers, distributors, and retailers should be aware that my office is actively enforcing this ban and will take action at any time to protect the health and safety of our children."

According to 2024 Centers for Disease Control and Prevention (CDC) data, about 3.5% of middle school and high school students in the United States (about 890,000 people) reported using nicotine pouches.

The OAG's investigation showed that from October 1, 2022 to June 30, 2024, SMNA facilitated the purchase of ZYN flavored products by consumers in the District through its website shop.zyn.com, in violation of the flavor ban and the District's Consumer Protection Procedures Act (CPPA).

After the OAG issued an investigative subpoena, SMNA stopped selling flavored products in the District and ceased all sales through its website.

The company agreed to take the following steps as part of the settlement:

Pay $1.2 million to the District;
Monitor distributors to ensure compliance with the flavor ban, including quarterly inspections and deterrence of violations, with distributors that continue to violate the ban at risk of termination of their distribution agreements;
Send annual compliance reminders to D.C. distributors and retailers regarding the flavor ban and related laws;
Prohibit future sales of flavored tobacco products in D.C. through shop.zyn.com or any related e-commerce platform.