Tobacco

Trade Commission’s Decision Affirms Altria’s Njoy Ace Devices Infringe on Several Juul Patents

Juul Labs’ Chief Legal Officer says ruling sends a ‘clear message that this freeriding violates U.S. law and American innovation will be protected’
U.S. International Trade Commission
Photograph: Shutterstock

The U.S. International Trade Commission (ITC) issued a decision on Wednesday affirming an administrative law judge’s (ALJ) ruling that Altria’s Njoy Ace e-vapor products infringe four patents owned by Juul Labs, Washington, D.C. 

The ITC agreed with Juul’s claims with respect to the four patents at issue in this case and issued a limited exclusion order and cease and desist orders “prohibiting Altria and Njoy from importing and selling the infringing Ace until the patents expire in 2034 and 2037,” Juul said in a statement.

Juul Labs’ Chief Legal Officer Tyler Mace said in a statement on Wednesday that the company is “pleased by the ITC’s decision to protect our U.S.-developed innovations against those who seek to import copycat products, principally from China.”

Mace said the company welcomes “fair competition in our mission to switch adult smokers away from combustible cigarettes, but we must protect our valuable intellectual property against the deliberate freeriding on our investments in homegrown U.S. technology. Today’s ruling sends a clear message that this freeriding violates U.S. law and American innovation will be protected.”

On its website, Juul said “Njoy obtained this infringing product from a Chinese manufacturer without ever securing any permissions or licenses from Juul Labs, a problem that Altria inherited when it acquired Njoy in 2023.”

Richmond, Virginia-based Altria acquired the e-vapor company Njoy, whose products are now distributed by Altria Group Distribution Co., in June 2023. In 2023, Juul Labs filed complaints against Njoy alleging its Njoy Ace e-cigarette device infringes on several patents of Juul Labs. Altria subsidiary Njoy filed a similar complaint in 2023 against Juul Labs with the ITC.

“The ITC’s decision is currently under a 60-day review period by the Office of the U.S. Trade Representative, which could reject the ITC’s decision,” Altria said in a statement on Thursday. “If the trade representative does not reject the ITC’s decision, the exclusion order and cease-and-desist orders would take effect on March 31, or earlier if the trade representative notifies the ITC of approval before the 60 days elapse.”

Altria said the final exclusion order and cease-and-desist orders “can be appealed to the U.S. Court of Appeals for the Federal Circuit, but the final exclusion order and cease-and-desist orders barring the importation and sale of Ace would likely not be stayed during the pendency of such an appeal.”

Altria said Njoy “continues to work on its product solution that addresses all of the patents at issue in the event the ITC’s decision is not rejected by the trade representative.”

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