Antitrust Law Daily Wrap Up, CONSUMER PROTECTION NEWS: Organic claims for e-cigarette liquids used in “vaping” challenged by Washington State, (Oct 30, 2015)
Organizations Mentioned:Alchemy E-Lixirs, LLC | Jai Mundi, Inc. | Orb Vapor | Vapeplace, Inc.
By Edward L. Puzzo, J.D.
E-cigarette liquid manufacturers marketed and sold their products, the liquid “vaping” refills used in electronic cigarettes, with deceptive labeling, unsubstantiated health claims, and as organic without certification, in violation of Washington’s Consumer Protection Act, according to a complaint filed in King County Superior Court by the State of Washington (State of Washington v. Alchemy E-Lixirs, LLC, October 26, 2015).
Washington’s Attorney General filed the complaint alleging that California-based Alchemy E-Lixirs marketed its e-liquids as “organic” without having them certified as in compliance with Washington’s Organic Products Act, and as “100% organic” despite containing non-organic products. Alchemy is also alleged to have made health and safety claims based upon its use of vegetable glycerin (VG) solvents instead of propylene glycol (PG) solvents despite a lack of evidence that VG solvents are safer or healthier. The complaint seeks civil penalties and a declaration that these acts were unfair or deceptive acts in trade or commerce that violated Washington’s Consumer Protection Act.
Separately, the Washington Attorney General’s office reported that it had entered into “Assurance of Discontinuance” agreements with two other e-liquid companies, California-based Jai Mundi and New Jersey-based Orb Vapor, based on similar marketing of their products as “organic.”
The market for e-cigarettes, primarily used as a nicotine delivery device, has reportedly grown into a largely unregulated $3.5 billion industry since 2007. “Vaping”—inhaling and exhaling vapor atomized by electronic cigarettes—requires the use of e-liquids that commonly contain solvents with flavorings and nicotine. The Washington Attorney General’s office noted that Governor Jay Inslee and Attorney General Bob Ferguson have introduced legislation to regulate e-cigarettes in a manner substantially similar to those for tobacco products.
Companies: Alchemy E-Lixirs, LLC; Jai Mundi, Inc.; Orb Vapor; Vapeplace, Inc.
News: ConsumerProtection StateUnfairTradePractices WashingtonNews