The celebrity gift bags distributed at the 2011 MTV Video Music Awards, which took place on Friday, August 26, contained electronic cigarettes (“e-cigarettes”) manufactured by blu Cigs brand.
Lawsuit Challenges Constitutionality of PACT Act
In August of last year, Musser’s Inc. t/d/b/a Genuine Tobacco Co. (“Genuine Tobacco”) filed a lawsuit in the Eastern District of Pennsylvania challenging the constitutionality of certain provisions of the Prevent all Cigarette Trafficking Act (the “PACT Act”). Genuine Tobacco operates two “brick and mortar stores” in Pennsylvania, as well as an online retail store that sells tobacco products through the Internet and telephone to consumers throughout the country.
General Tobacco Seeks Supreme Court Review
Earlier this month, General Tobacco requested that the United States Supreme Court review a decision from the Arkansas Supreme Court that General Tobacco must pay Arkansas $2.45 million under the Master Settlement Agreement. The State’s response to General Tobacco’s request for review is due early next month.
Local Governments Consider Including E-Cigarettes in Public Smoking Bans
A unit of local government in West Virginia, the Wheeling-Ohio County Health Board, is currently holding hearings on whether to ban the use of electronic cigarettes (“e-cigarettes”) in certain areas. The proposed Wheeling-Ohio County Clean Air Regulation would change the definition of “smoking” to “include[] the use of an e‐cigarette which creates a vapor, in any manner or in any form, or the use of any oral smoking device.”
FDA to Begin Inspecting Tobacco Product Manufacturers in October
In a letter to the industry dated August 16, 2011, the FDA announced that it will begin inspecting every factory engaged in the manufacture or processing of cigarettes, cigarette tobacco, roll-your-own tobacco and smokeless tobacco. The inspections will begin in October 2011, and pursuant to the Tobacco Control Act, inspections will be conducted at least once every two years.
One Article the E-Cigarette Industry Must Read
In a July 21, 2011 Perspective article published in the New England Journal of Medicine, the authors challenge the U.S. Food & Drug Administration’s decision to regulate electronic cigarettes as tobacco products and invite further regulation.
Proposed Legislation Significantly Increases Tobacco Taxes
The Senate Finance Committee is currently considering a bill introduced by Senator Tom Harkin (Iowa) that would dramatically increase the excise tax rates for small cigarettes and cigars, pipe tobacco, roll-your-own tobacco, and smokeless tobacco.
TPSAC Evaluates Dissolvables
On the heels of FDA’s surprising determination that dissolvable tobacco products, such as Star Scientific’s Stonewall and Ariva and R.J. Reynolds’ Camel “Orbs,” are not considered smokeless tobacco products currently subject to regulation under the Tobacco Control Act, the FDA’s Tobacco Products Scientific Advisory Committee convened its first meeting to evaluate these products.
States Attempt to Expand Successor Manufacturer Liability
Did you know that some states are taking the position that a contract cigarette manufacturer can be held liable for escrow payments as a “successor” manufacturer simply because the manufacturer made the same brand of cigarettes as a prior manufacturer?
The Impact of the “Diligent Enforcement” Arbitration on State Tobacco Taxation
We have previously written about New York’s recent effort to collect taxes for cigarette sales on Native American reservations. We have also written about the ongoing arbitration between the states and the major tobacco companies regarding allegations that the states have not “diligently enforced” their state escrow statutes.