Vermont Supreme Court orders Reynolds to pay $8.3 million for "potentially reduced risk" Eclipse website ad, MSA violation

[Bill Godshall]

Vermont Supreme Court orders RJ Reynolds to pay $8.3 million for violating VT consumer protection law and MSA by correctly claiming on its website that its heated tobacco product Eclipse posed potentially lower risks than combustible cigarettes.
http://www.atg.state.vt.us/assets/files/Eclipse remedies ruling and final judgment.pdf
Eclipse ad on Reynolds website
http://www.atg.state.vt.us/assets/files/Eclipse%20RJR.jpg
VT AG Sorrell’s press release
The Office of the Attorney General of Vermont | Home


Although this Reynolds ad was for its heated tobacco product Eclipse, its possible that VT AG Sorrell could (if he wants to) begin prosecuting e-cigarette companies that make similar "potentially reduced risk" claims on their website. This is also the first time I'm aware of a State AG successfully prosecuting a case against an Internet marketer located in another state (Reynolds is based in NC) over an advertisement on the company's website.

From my understanding of this case (talking with various folks at Reynolds), Sorrell prosecuted this case (for many years) because he had a longstanding hatred for Reynolds.

Sorrell was (and maybe still is) very active in the NAAG (National Association of Attorneys General) enforcement of the 1998 MSA (Master Settlement Agreement).

 

[DC2]

So basically the court is saying that Reynolds can not produce any evidence based on long-term studies.
Apparently common sense has no place in the Vermont court system.

 

[Bill Godshall]

William Sorrell has been the AG of Vermont for at least the past 16 years, and it appears that the VT Courts do whatever Sorrell recommends.

 

[Uma]

TBH, I think it's because the phrase "Potentially Reduced Risk" was used. It counterbalances the fearmongering tactical phrase "Potentially Harmful". Putting a stop to raised eyebrows before the eyebrows can be raised sort of thing.