As federal and state regulators consider whether and how to regulate electronic cigarettes, some private employers are considering their own restrictions. A recent NPR article explores this trend.
State Regulatory
Troutman Sanders Smokeshop Magazine Article Regarding State Regulation of E-Cigarettes
An article by the Troutman Sanders tobacco practice appears in the February issue of Smokeshop Magazine. The article, titled “E-Cigs at the Forefront,” discusses the growing momentum for state-level regulation of tobacco product alternatives, with e-cigarettes attracting the most attention. The full text of the article can be found here.
Missouri Reintroduces the Allocable Share Bill After the Arbitration Panel’s Decision on MSA “Diligent Enforcement” Disputes
Posted in Legislation, State Regulatory
Missouri, the last remaining state in which nonparticipating manufacturers (“NPMs”) can obtain allocable share releases from their escrow payments, has again introduced legislation to repeal the release mechanism. The bill, House Bill 1242, was introduced on January 8, 2014 and has been referred to and is pending before the House Budget Committee.
Pending FDA Regulation, Lobbyists Push for E-Cigarette Clarity in Washington
Troutman Sanders tobacco team partner Bryan Haynes was quoted in a February 26th NPR article titled “Lobbyists Amp Up Efforts To Sell Washington On E-Cigarettes.”
States Seek to Increase Tobacco Tax Revenue by Taxing E-Cigarettes
Troutman Sanders tobacco team partner Bryan Haynes was quoted in a February 24th Law360 article titled “States Acting Hastily In Pushing E-Cigarette Taxes.”
Lawmakers Attempt to Force Electronic Cigarettes into the MSA
Posted in Legislation, State Regulatory
On February 12, 2014, congressmen from California, Iowa and Vermont sent a joint letter to the Attorneys General in those states, urging them to classify electronic cigarettes as cigarettes under the Master Settlement Agreement (“MSA”). The MSA was adopted in 1998 and applies to cigarette and roll-your-own tobacco manufacturers. In the letter, the lawmakers stated that classifying electronic cigarettes as cigarettes would be a “bold step” in the battle against tobacco use.
State Attorneys General Ask to Exclude Tobacco from All Future Trade Agreements
Posted in State Regulatory
On January 27, 2014, the National Association of Attorney Generals (“NAAG”) sent a letter, signed by 45 state attorneys general, to the United States Trade Representative (the “USTR”), requesting that all future United States trade agreements explicitly provide that they do not apply to tobacco or tobacco products.
The New Year Brings E-Cigarette Legislation at the State and Local Levels
Posted in Legislation, State Regulatory
The beginning of 2014 has seen a variety of legislation at the state and local levels that would regulate and/or tax electronic cigarettes.
Arbitration Panel Rules Against State of New Mexico
Posted in Significant Cases, State Regulatory
As mentioned in a previous blog post, on September 11, 2013, a three-member federal arbitration panel decided the on-going dispute among three participating manufacturers (“PMs”) and 15 states involving the 2003 payment obligations under the Master Settlement Agreement (“MSA”).
Arbitration Panel Rules in Favor of New York State, Finds No Obligation to Collect Escrow for Tribal Sales
Posted in State Regulatory
As mentioned in a previous blog post, on September 11, 2013, a three-member federal arbitration panel settled the on-going dispute among three participating manufacturers (“PMs”) and 15 states involving the 2003 payment obligations under the Master Settlement Agreement (“MSA”).
New York is one of the states that the arbitrators ruled in favor of in denying the PMs a credit under the non-participating manufacturer (“NPM”) Adjustment. The arbitration panel concluded that “the MSA’s first condition for application of the 2003 NPM Adjustment was satisfied: the PMS had suffered a ‘Market Share Loss’ for 2003.” In particular, the independent auditor calculated approximately an 8 percent market-share shift from the PMs to the NPMs from 1997-2003. New York (nor any of the other 14 states) disputed the auditor’s finding that the PMs suffered a market share loss in 2003.