Alex is offering you to have website «E-Finance News» remembered
Do you want us to remember the «E-Finance News» website?
Yes No
Прогноз погоды

You can either make money or make excuses

Tobacco companies to settle smoking lawsuits for $100 million


Tobacco companies to settle smoking lawsuits for $100 million

Three major U.S. tobacco companies - R.J. Reynolds Tobacco Co, Lorillard Inc and Altria Group’s Philip Morris USA - will pay $100 million to settle hundreds of federal lawsuits over smoking, according to an announcement from plaintiffs’ lawyers on Wednesday.

The agreement will cover more than 400 lawsuits filed in federal court in Florida by smokers or their families, according to court filings. The settlement will not cover cases that have already gone to trial, or thousands of lawsuits in state court. The tentative agreement will be finalized if all individual plaintiffs participate, or the parties otherwise agree.

Philip Morris and R.J. Reynolds will each pay $42.5 million, and Lorillard will pay $15 million, according to a lead lawyer for plaintiffs, Joe Rice of law firm Motley Rice.

Rice and other plaintiffs' firms that negotiated the deal said Wednesday they were pleased their clients would be compensated after years of litigation.

It is the first major agreement reached by the three companies to resolve a chunk of so-called Engle cases, named after a class action brought by Florida residents over injuries or deaths they said were caused by tobacco-related medical conditions.

In 2006, the Florida Supreme Court overturned a $145 billion award for the class and ruled that plaintiffs had too many individual issues to proceed as a group. However, the court said plaintiffs could bring individual lawsuits based on findings from earlier in the litigation that nicotine is addictive and that tobacco use can cause diseases.

After that ruling, thousands of cases were filed in Florida federal and state courts. All three companies have been hit with millions of dollars in damages from dozens of Engle cases that have gone to trial.

In 2013, Liggett Group and parent company Vector Group Ltd paid $110 million to nearly 5,000 smoking lawsuits.

Murray Garnick, associate general counsel for Altria Client Services, said the agreement was in the company’s best interests and that it will vigorously defend unsettled lawsuits.

R.J. Reynolds Assistant General Counsel Jeff Raborn said the agreement presented an opportunity for the company, an indirect subsidiary of Reynolds American Inc, to put the federal litigation behind it. Lorillard general counsel Ronald Milstein said the company was pleased to have resolved the federal cases on favorable terms.

Shares of Lorillard were up 0.2 percent in morning trading, while Reynolds American and Altria each gained 0.3 percent.


Published by , 25.02.2015 at 21:21
Статистика 1
Показы: 1 Охват: 0 Прочтений: 0


To show the previous comments (%s from %s)
Anna K
Anna K 26 February 15 05:59 I am not a smoker, and I love this reading about this settlement. I'm bummed that the much larger settlement was rejected, but 100 million is NOT chump change. I hope it sends a message to tobacco companies and makes it harder for them to operate. Text hided expand
Show new comments
All comments are shown: 1

Site search

Last comments

i'm shocked
Anthony Qatari-led group wins $4 billion battle for Canary Wharf
they have no solution themselves.
Anthony Obama's $4 trillion budget includes higher taxes on rich and big banks, public works program
If the UK sector gains useful experience of this kind of work, they could be in a position to utili…
Anthony Shell declares end of pipeline for Brent oilfield
Lots of profit losses for oil companies still in the pipe..
Anthony The oil plunge isn't over yet
Almost all companies do this.
Anthony Apple's timing on bonds
Too little, too late
Anthony QE could be too little too late to help Europe’s stock markets
it gets boring.
Anthony What crisis? Kalashnikov's business is booming
They do have a temporary effect when used in Economic warfare.
Anthony Russia: How long until the economy cracks?
Why is there not a car simliar that is not a high priced hybrid??
Anthony 2017 Chevrolet Spark: Photos Of Updated Minicar Leaked In Korea
it is completely free and just a bit of fun, so look out for VillaLibra Lucky Numbers if you want t…
Anthony Odds of winning the Powerball jackpot: One in 175,000,000