A Wisconsin smoke shop chain has been hit with one of the largest fines in state history, totaling nearly $13 million, for violating the state’s new vape sales law that went into effect in September and is currently being challenged in appeals court.
Exclusive Tobacco, a four-store retailer that operates a location in Oshkosh, was cited twice in October for selling vape products that are not included on Wisconsin’s approved directory. The list allows only select brands such as Juul, Blu, Vuse, and Crossbar.
State officials at the Wisconsin Department of Revenue (DOR) received multiple complaints that the Oshkosh location was selling unlawful vape products. During the inspection, investigators discovered the store was also operating with an expired municipal tobacco license, further compounding the violations.
The DOR proceeded to seize all inventory, including 1,244 illegal vape devices. Under the new law, retailers face a $1,000 daily fine per illegal device, bringing the total to $1,244,000.
A fine notice reviewed by the Milwaukee Journal Sentinel showed that the penalty was multiplied by 10, representing the 10 days between the initial warning and the follow-up inspection — pushing the total fine to over $12.4 million, which Exclusive Tobacco is now required to pay.
Shortly after the first seizure, the DOR received another complaint alleging that the same store continued to sell unapproved vape products. A second inspection confirmed the violation, resulting in an additional fine of $431,000.
Wisconsin officials say more enforcement actions may follow as the legality of the new vape law continues to be debated in court.
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