OREANDA-NEWS. November 06, 2015. The Illinois Supreme Court today ruled in Philip Morris USA’s (PM USA)
favor, vacating the appellate court ruling attempting to reinstate a
multi-billion dollar judgment against the company in the dismissed Price
case.
“Today’s action by the Illinois Supreme Court effectively wipes away the
last seven years of court proceedings and requires the plaintiffs to
start from scratch,” said
Murray Garnick, Altria Client Services senior
vice president and associate general counsel, speaking on behalf of PM
USA. “The court held that the plaintiffs filed the wrong motion in the
wrong court. Now to succeed, plaintiffs would have to file a new motion
in the Illinois Supreme Court and convince at least four justices to
recall their own order, which dismissed the case 10 years ago.”
The Price case began in 2000 and alleged that PM USA deceived
Illinois smokers who purchased Marlboro Lights and Cambridge
Lights cigarettes. The plaintiffs sought a refund of a portion of
the purchase price. After a three-month trial in 2003, a Madison County
Circuit Court judge imposed a \\$10.1 billion judgment against PM USA,
with \\$1.7 billion going to the plaintiffs’ attorneys.
The Illinois Supreme Court overturned the award and dismissed the case
two years later. Since then, the plaintiffs’ attorneys have sought to
reopen the case on numerous occasions and reinstate the award, and in
April 2014, they successfully persuaded an intermediate appellate court
to do so.
On appeal from the company, the state’s highest court agreed to hear the
case nearly a decade after rendering its first decision. During the May
oral argument, the company outlined several reasons why the court should
let its 2005 decision stand.
“PM USA has been very successful in defending these cases on a variety
of legal grounds. In fact, most of these cases have been dismissed prior
to trial,” added Garnick.
The U.S. Food and Drug Administration (FDA) prohibits the use of
“lights” and other descriptors unless a manufacturer receives
authorization to use the terms. The FDA began regulating tobacco
products in 2009 with the passage of the Family Smoking Prevention and
Tobacco Control Act.
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