CRA Challenges California’s UTL in Federal Court to Protect the Premium Cigar Industry

Alexandria, Virginia (October 3, 2025) - Today, Cigar Rights of America, Rocky Patel Premium Cigars, Inc., Oliva Cigar Co., Piloto Cigars, Inc. d/b/a Padrón Cigars, Inc., A. Fuente & Co., LLC, Ashton Distributors, Inc., Premium Imports, Inc. d/b/a La Flor Dominicana, My Father Cigars, and the Premium Cigar Association, filed a complaint in the United States District Court for the Central District of California challenging the application of California’s Unflavored Tobacco List (UTL) law to premium cigars as defined in the federal regulatory system. California’s Attorney General is claiming that, if premium cigars manufacturers do not submit a voluminous application for every size, shape, and blend of premium cigar by October 9, 2025, those cigars will need to be pulled off the shelves of retailers. In doing so, the Attorney General is trying to set himself up as a second Food and Drug Administration, in violation of numerous federal and state constitutional and statutory provisions. 

If there is a point to the unflavored tobacco list law, it is to help the Attorney General identify flavored tobacco products. It has turned into one of the most expensive and useless regulatory mandates in the history of tobacco regulation. And it makes no sense to run what the federal regulatory system has determined to be premium cigars through the process, as (under the federal definition) such cigars cannot be flavored. 

From the outset, CRA has opposed these regulations because they unfairly penalize the premium cigar industry. The UTL was meant to address flavored products and youth use, yet the proposed rules saddle premium cigar manufacturers with excessive fees and paperwork. Despite recognition in the courts and by FDA that premium cigars are not flavored products, the Attorney General’s office is forcing thousands of legitimate cigars to prove otherwise through an arbitrary $12 wholesale price threshold. This needless requirement ignores established definitions and inflicts financial harm on a market segment wholly unrelated to the problem AB 3218 was designed to address.

Rocky Patel, President and CEO of Rocky Patel Premium Cigars and CRA Board Member said upon today's filing, "California’s regulations are arbitrary and capricious, usurious in practice, and serve as a de facto prohibition that slashes product availability, imposes outrageous compliance costs, and unfairly punishes good actors in the premium cigar industry. Instead of taking the time to understand this cottage industry and craft a practical solution, the Attorney General’s office chose a path that violates due process and fair business practices."

“CRA and Oliva Cigar Company are committed to protecting premium cigars wherever that road leads us,” said Cory Bappert, CEO of Oliva Cigar Company and CRA Vice-President. “We look forward to our day in court to challenge the unfair burden put on our industry by the state of California. To our California clients we hear you and help is on the way.”

Today’s filing is the crucial first step in our legal challenge to halt California’s UTL. CRA is fully committed to this action and will provide further updates as the case proceeds through the legal process.

To read a copy of today's filing, please click here.

About Cigar Rights of America (CRA)

Cigar Rights of America is a national non-profit organization dedicated to protecting the rights of the premium cigar community and advocating for balanced, common-sense regulation. CRA represents cigar manufacturers, retailers, and consumers across the United States.

Contact

Cody Carden
Director of Communications
cody.carden@cigarrights.org
202.844.4272