On February 21, 2014, the FDA issued it’s first orders to stop the sale & distribution of tobacco products that are currently on the market, as they were found not substantially equivalent (NSE). FDA’s press release on the subject can be found here.

Troutman Sanders tobacco team partner Bryan Haynes was quoted in a February 20th article titled “E-cig industry on tenterhooks ahead of U.S. regulation.”

The article discusses the heavy cloud of speculation hanging over the rapidly expanding e-cigarette industry as it awaits the release of deeming regulations by the FDA.  In addition to concerns over potential advertising restrictions, flavoring bans, and the regulation of internet sales, the article also discusses how regulations could affect this relatively new segment of the tobacco industry when it comes to its rapidly changing product dynamic.  

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. 

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. 

In late December, the European Union’s Parliament approved anti-tobacco legislation, and the legislation included regulations governing electronic cigarettes.  Although the European Union has been considering regulating electronic cigarettes for quite some time, the recently-approved legislation is the first rule covering electronic cigarettes at the EU-level.  Prior to the approval of this legislation, electronic cigarettes, if at all, were regulated by each individual government within the European Union.

An article by the Troutman Sanders tobacco practice appears in the December issue of Smokeshop Magazine. The article, titled “Disputed 2003 MSA Payments Resolved,” discusses the recent rulings of the arbitration panel regarding the “diligent enforcement” dispute that erupted between Participating Manufacturers and governments of MSA settling states. The full text of the article can be found here.

The Electronic Cigarette Industry Group (ECIG) announced Wednesday that they would be opening a new office in D.C.  Bryan Haynes, a partner in Troutman Sanders’ tobacco practice, supports the group’s government affairs department.  ECIG has been expanding rapidly in the face of the looming deeming regulations expected from the FDA, and the muddy waters of state government regulation.