OCHA subsidiary NJOY wins lawsuit
Law360 reported on December 23 that NJOY LLC is a subsidiary of Altria Group. Won a lawsuit against vape brand ELFBAR.
U.S. Federal Judge Cynthia Bashant in California issued a preliminary injunction barring four California brick-and-mortar retailers from selling any ELFBAR products.
Four Retailers Ordered to Ban ELFBAR E-Cigarettes
Judge Basant said the ban was in the public interest because it would “uphold the law”. The state enacted a law banning flavored tobacco products in 2020.
Retailers had asked the judge not to issue the ban, claiming that ELFBAR was just one of many flavored vapes. They believe consumers will switch to brands like Hyde, Esco Bar, Puff Bar, and Hyppe before trying NJOY’s tobacco-flavored vapes.
ELFBAR is owned by iMiracle (HK) Ltd. and Shenzhen Imiracle Technology Co. Ltd. Says it’s unrealistic to assume flavored vape users will switch to NJOY’s products, just as grape juice lovers switch to kale juice when their favorite brand is removed from the shelves.
Judge Basant called the argument “unconvincing.” She argued that NJOY had provided sufficient evidence that NJOY’s sales had been affected by the availability of ELFBAR in vape shops. NJOY alleges in the lawsuit that iMiracle and retailers illegally sold flavored vapes that were not approved by the U.S. Food and Drug Administration (FDA), in violation of California’s ban on flavored tobacco products.
ELFBAR Products Not NJOY’s Legal Tobacco Flavored E-Cigarettes
NJOY said consumers were at a “competitive disadvantage” because they chose to buy ELFBAR products instead of NJOY’s legal tobacco-flavored vapes. NJOY says it is the only vape device manufacturer authorized by the FDA, and its NJOY ACE device received premarket authorization from the FDA in July.
The current lawsuit is at least the second NJOY has filed in federal court in California. A previous lawsuit filed in October 2023 has been voluntarily withdrawn.
Previous lawsuits were more ambitious, with NJOY seeking a nationwide ban on several popular flavored vape brands, while the current lawsuit only targets ELFBAR’s sales practices in California.
The four California retailers ordered to ban ELFBAR vapes are Aroma Avenue Vape Shop, Cigarettes N More, Cloudhaven Vapors, Inc., And the Z Vapor Room.
