On August 30, according to Law360, a U.S. federal judge refused to initially approve a $117 million settlement between Altria and shareholders over the company’s investment in Juul Labs, saying the deal was insufficient.

The lawsuit alleges that Altria executives put caution behind the scenes when they bought a 35% stake in Juul for $12.8 billion in 2018.

Altria executives also engaged in illegal and anti-competitive behavior that cost Altria billions of dollars, according to shareholders, as Juul faces a growing number of legal battles over alleged health risks of its products and alleged exposure to future risks. Marketing to adult consumers.

The problem is that the plaintiffs say Altria knew about it when it invested, but ignored it.

Altria's investment has steadily declined in value as Juul Labs faces increased litigation and regulatory scrutiny.

Plaintiffs argued for approval of the settlement, arguing that recovery was fair and reasonable when weighing the costs and risks of further litigation. U.S. District Judge David Nowak did not explain why he did not think the settlement was adequate.