NJOY’s lawsuit against disposable vape manufacturers did not go well. Photo credit: Katrin Bolovtsova, Pexels.
A US District Court in California dismissed a lawsuit filed by NJOY, Altria Group’s vape subsidiary, against multiple manufacturers, distributors, and retailers of disposable vapes. However, NJOY’s case against Elf Bar manufacturer IMiracle remains active.
NJOY brought the lawsuit last October, alleging that the companies named in the suit were selling products illegal in California and the US and sought a nationwide injunction to prevent future importation and sale of the products, as well as compensatory and punitive damages.
The defendants included manufacturers and distributors of vape brands Breeze, Elf Bar, Esco Bar, Flum, Juice Box, Lava Plus, Loon, Lost Mary, Mr. Fog, and Puff Bar, which collectively dominate the US disposable vape market.
On January 18, Judge Terry J. Hatter Jr. of the US District Court for the Central District of California issued the dismissal order. The court found that the defendants were improperly joined in the lawsuit as they did not participate in “the same transaction , occurrence, or series of transactions or occurences.” Consequently, all parties, except the first named defendant, IMiracle, were dropped from the suit.
The court's orders were issued "without prejudice," which means NJOY could refile against the dismissed defendants individually or in smaller groups with demonstrable relationships. Additionally, the court dismissed NJOY’s claim of unfair competition and its motion for a preliminary injunction against sales and distribution by the defendants.
NJOY’s attempt to serve Hong Kong-based IMiracle by email was denied by the court, which cited the established international process, the Hague Convention, for serving legal notice to foreign defendants.
While the lawsuit against IMiracle remains active, it cannot proceed until the manufacturer is formally served notice.