Just an idea reguarding SE/NJOY lawsuit / customs

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crazybry79

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Sep 8, 2009
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Just so we're all on the same page here, I'll go over the cliff notes here of the current situation, in case someone hasn't been following the FDA lawsuit thread.

Smoking Everywhere / njoy have sued the FDA for holding their shipments in customs. The case has been in the works for months now. SE / njoy filed a motion that, in laymens terms, stated - Hey, if we can't get our products through customs, we're going out of business. So, after some time, the Judge said - OK, temporarily, we will let electronic cigarettes through customs.

Great news for all, right? Well, not completely. The FDA has now reacted to this by still stopping shipments of electronic cigarettes, but is allowing SE/njoy's products through. Their defence is that the case that is temporarily allowing shipments pertains only to SE / NJOY.

Some suppliers are writing letters. Some are contemplating joining the lawsuit. Some are laying down and taking it in stride. Some are going out of business.

What do we do?
Here's my thought. Someone sets up a ....I don't know what to call it....a "PV importers union" or SOMEthing on those lines - I don't know, just going off the top of my head here. Select 3 or 4 of the most popular products. Find the best prices on these products, and order product in bulk, on behalf of the suppliers. At the same time this organization, union, whatever you want to call it, joins up in this lawsuit. By joining the lawsuit, this wholesaler union will be exempted from customs seizures. All willing suppliers may now be included, without having to foot the entire fincial bill themselves.

How it works...

Well, let's say Joytech has a 015 product. Suppliers A,B,C,D,andE are suppliers of this 015 product. Let's say Joytech charges 19.60 per 015 kit/unit. Suppliers A,B,C,D, and E all order 200 units each AS THEY HAVE BEEN. Total, thats 1000 units, 5 orders of 200 going 5 places, in 5 different names. Then Suppliers A, C, and E gets their shipments seized. B and D are happy, and go about their business, meanwhile, A,C, and E are left in a bind. Chances are, one of these three may possibly go out of business. Now theres four suppliers left, and the cycle repeats.....until only the biggest stongest one is left to monopolize....and we all have our feelings on super corporations...

IF there was a 'wholesale union', suppliers A,B,C,D, and E could all order their 200 each units under protection from seizure. 5 orders of 200, all going to 5 differnt places, just ONE name. All safe, all protected.


WAIT....How does this 'wholesale union' get funding to join the SE/ NJOY lawsuit?? Well, suppliers could pay a due. Yearly??Monthly?? I don't know yet. Let's pretend it costs $1000 to join up in the SE/NJOY suit. Split that cost up between suppliers A,B,C,D, and E, thats $200. Costs are covered for the suit, and all products are protected.

WAIT...."I bet this union has a hefty mark up, right?" No. These 015s will still be $19.60. I belive the cost will not only be the same, but possibly less! If all 5 suppliers ordered individually, they each pay $19.60ea at 200 units. BUT, if all 5 order through the wholesalers union, the union may be able to get a better deal on 1000 units - now you have 1 order of 1000 instead of 5 orders of 200.

Let's say you are supplier A. Either way, union or not, you are going to order 200 units, at $19.60. That comes out to $3920. Now if that product gets seized, well either your $3920 is tied up for some time, or you may lose it. I think $200 is a cheap insurance policy!


When E-Cigs become OKed to ship through customs, this union can be disbanded. Everyone wins.

Obviously, these numbers are ficticious. I'm sure there will be more than 5 suppliers. I'm sure it costs more than the numbers above to join the lawsuit. Obviously ther's no 015 product (At least I hope not....) and if there is, I'm sure it doesn't cost $19.60......

Just a thought!
 
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