Atria and Juul Labs Must Face RICO Lawsuits Over Teen Vaping
A federal judge ruled electronic cigarette leader Juul Labs and tobacco giant Altria Group (NYSE: MO) must face racketeering charges over teen vaping claims brought by consumers, local governments, and school districts.
Originally created as a means of going after organized crime, the Racketeer Influenced and Corrupt Organizations (RICO) law has been continuously expanded and is now routinely wielded against Wall Street. Among the risks the defendants face is liability for treble damages.
U.S. Judge William Orrick for the Northern District of California ruled that Juul's executives and directors and Altria could be individually pursued for their "racketeering" activities in the cases.
Source Fool.com
