Small Tobacco Companies

Eddie Farah
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Posted by Eddie FarahOctober 18, 2006 9:01 PM

Three small tobacco companies filed a suit with the Supreme Court alleging violations of antitrust laws in an effort to avoid paying states money

Eight years ago, four of the biggest tobacco companies paid $206 billion 30 states passed a law requiring companies that didn't participate in this settlement to pay money into escrow funds to satisfy future damage awards in cigarette-related lawsuits. The laws passed by each state were substantially identical to model legislation.

These settlement negotiations took place before the 2nd U. S. Circuit Court of Appeals in New York. The courts allowed three small companies to pursue antitrust claims before the Supreme Court.

The Supreme Court recently refused to consider this case


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