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Release Time: 2026-01-09Writer: DANK SOMKE
The San Francisco prosecutor’s office announced a $1 million settlement with nicotine pouche brand Lucy Goods, Inc., demanding that the company stop shipping illegal tobacco products to San Francisco.
Previously, Rogue Holdings LLC, Swisher International, Inc., and Northern Scandinavia, Inc. had paid nearly $3 million to San Francisco.

1. Location: San Francisco, California, USA.
2. Background of the lawsuit: In September 2024, multiple nicotine bag sellers were sued, involving flavored tobacco products such as nicotine bags.
3. Court Progress: San Francisco Superior Court Orders and Bans Lucy Goods, Inc. on January 6, 2026.
4. Accumulated results: The total amount of fines and expenses incurred in the case is nearly 4 million US dollars; Other defendants previously agreed to pay nearly $3 million.

According to the San Francisco prosecutor’s office, San Francisco City Attorney David Chiu announced that his office has reached a $1 million settlement, requiring nicotine pouche online retailer Lucy Goods, Inc. to stop shipping illegal tobacco products to San Francisco.
David stated in a statement that the popularity of flavored nicotine pouches have increased, and San Francisco has banned all flavored tobacco products, including nicotine pouches. Online tobacco retailers are not allowed to ship banned products to San Francisco.
The agreement judgment and injunction made by the San Francisco High Court on January 6, 2026, against Lucy Goods, Inc. requires the company to pay a civil fine of $1 million and attorney’s fees to San Francisco, and to prohibit the use of a San Francisco address in shipping or billing address fields, while also publishing clear language on its website stating that flavored tobacco products cannot be sold in San Francisco.

In September 2024, David sued Lucy Goods, Inc., Rogue Holdings LLC, Swisher International, Inc., and Northern Scandinavia, Inc., alleging that they illegally sold multiple flavors of nicotine pouches directly to San Francisco consumers through their website, in violation of the San Francisco Flavor Tobacco Ban and the California Unfair Competition Act.
The City of San Francisco has reached an agreement judgment with other defendants, requiring Rogue Holdings LLC, Swisher International, Inc., and Northerner Scandinavia, Inc. to pay nearly $3 million to San Francisco. Reference reading: SF 3 ZYN Retailers Fined $3m For Sell Illegal Nicotine Products and City Attorney secures nearly $3 million settlement from online tobacco retailers – City Attorney of San Francisco.
The San Francisco City Prosecutor’s Office reached an agreement with other defendants in the case for a judgment and injunction in October 2025. The lawsuit has resulted in nearly $4 million in fines and fees for enforcing the San Francisco flavor tobacco ban.

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