A federal appeals court on Friday granted Juul Labs Inc. a temporary stay of the Food and Drug Administration’s order for the vaping company to pull its e-cigarettes off the U.S. market.
A panel of judges from the U.S. Court of Appeals for the D.C. Circuit on Friday afternoon granted Juul’s request to delay the FDA’s ban, according to court documents. The temporary stay gives the court time to hear arguments and wasn’t a ruling on the merits of the case, the judges wrote.
In addition to fighting the FDA’s order, Juul has been working with its legal advisers on options that include a possible bankruptcy filing if the company is unable to get relief from the government’s ban, according to people familiar with the matter. The company’s counsel, Kirkland & Ellis is advising on the contingency plans, the people said.
Stock of Altria Group Inc.
which owns a large share of Juul, rose Friday.
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