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Action on Smoking and Health
A National Legal-Action Antismoking Organization Entirely Supported by Tax-Deductible Contributions
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Federal Judge Still Refuses to Dismiss $289 Billion Racketeering Case [05/07-5]
Excerpts from: Judge: $289 Billion Tobacco Case to Trial
Reuters [05/07/04]
A federal judge dealt tobacco companies a legal setback in a ruling made public
on Friday, refusing to throw out the federal government's $289 billion
racketeering case against the industry.
U.S. District Judge Gladys Kessler denied an industry motion to dismiss the case on the grounds that there was no chance tobacco companies would commit future misdeeds.
Kessler said the likelihood of future wrongdoing "obviously requires an evaluation of material factual issues that are clearly in dispute."
Kessler is still to rule on a separate motion by the tobacco industry that argues the government has no legal basis to seek "disgorgement" of $289 billion in industry profits.
Filed by the Clinton administration in 1999, the suit accuses tobacco companies of deliberately misleading the public about the risks of smoking in a conspiracy going back to the 1950s.
Tobacco companies say that charge is implausible, because since 1998 they have been operating under a landmark settlement with state attorneys general which severely restricts cigarette marketing and subjects them to oversight.
But Kessler said the state settlement doesn't automatically preclude the federal government's proposed remedies against the industry.
The suit seeks to force the industry to give up some past profits and to impose tougher rules on marketing, advertising and health warning claims on tobacco products.
The tobacco companies argue that U.S. officials knew of the relationship between smoking and disease and the government never said nicotine was "addictive" until the surgeon general changed the definition of addiction.
Links to these new rulings:
http://www.dcd.uscourts.gov/99-2496ab.pdf
http://www.dcd.uscourts.gov/99-2496ac.pdf
http://www.dcd.uscourts.gov/99-2496ad.pdf
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