Tobacco Makers Lose Key Ruling on Latest SuitsBy David Cay Johnston and Melanie Warner, The New York Times, September 26, 2006 ABSTRACT
FRONT PAGE ARTICLE
The Federal District Court in Brooklyn ruled that "light" cigarette smokers can press their fraud claim against tobacco companies as a class-action suit. The decision interrupted tobacco companies’ recent legal winning streak, and raises the possibility that similar cases could become a major threat to the companies and expose them to potentially significant damages. The case was first filed in 2004 against Philip Morris USA, R.J. Reynolds Tobacco, British American Tobacco, Liggett Group, Brown & Williamson and Lorillard Tobacco. The case differs from previous lawsuits in that it does not claim personal injury on behalf of the plaintiffs. Michael Hausfeld, a partner at Cohen, Milstein, Hausfeld & Toll, P.L.L.C., is one of the attorneys representing the plaintiffs. EXCERPT
"In a legal blow to the tobacco industry, a federal judge in Brooklyn ruled yesterday that people who smoked light cigarettes that were often promoted as a safer alternative to regular cigarettes can press their fraud claim as a class-action suit. Judge Jack B. Weinstein of Federal District Court in Brooklyn found ''substantial evidence'' that the manufacturers knew that light cigarettes were at least as dangerous as regular cigarettes… Because some 45 percent of smokers currently smoke light cigarettes, potentially vast numbers of people nationwide could be involved. Michael D. Hausfeld, a partner at Cohen, Milstein, Hausfeld & Toll who is representing the plaintiffs, has said that the class could reach tens of millions of people and involve damages of up to $200 billion. The racketeering law being cited would allow any damage award to be tripled." For the complete article, please log onto www.thenewyorktimes.com. |
