Lorillard Tobacco Co. has agreed to take steps to prevent the illegal sale of its cigarettes over the Internet and through the mail. The company reached an agreement with 33 attorneys general across the country, including Nevada. A similar agreement was reached with Philip Morris USA in January.
The agreement means the company will not ship to customers that the attorneys general have found to be reselling them mail order or on the Internet. Retailers engaging in illegal sales will also be suspended from Lorillard's incentive program.
The attorneys general believe that virtually all sales of cigarettes over the Internet are illegal because the sellers are violating one or more state and federal laws such as state age-verification laws and state and federal tax laws. In 2005, credit card companies agreed to stop processing credit card payments for Internet tobacco retailers. DHL, UPS and FedEx agreed to stop shipping packages for them.