Not quite. The judge said that FDA cannot regulate e-cigs under the banner of "drug/delivery device". He said the e-cig is to be classified as a
tobacco product.
But FDA now has regulatory authority over
tobacco products (as of June 09), but has not yet classified the e-cig as either a tobacco product or a reduced harm tobacco product.
Until they do so, e-cigs remain at the very least legal, and completely legal to distribute whatever product you currently have in your hands at this point.
The political gridlock situation stands as follows: FDA will stonewall on the return of any seizures made up to Jan 14 2010 (Leon's ruling), and will continue random seizures of non-SE, non-
njoy product as long as those individual companies don't have the balls to take them to court.
What this means in practical terms, until further rulings are made, is that you stand a good chance of getting product in because FDA simply cannot stop ALL shipments -- only a fraction of them. The best way to stay under the radar is simply to not make VERY LARGE AND CONSPICUOUS orders of e-cig inventory. Make smaller orders from a wider net of large scale inventory suppiers -- that way most orders will get through, and the ones that don't get through is to be considered the cost of doing e-cig business for now.