Liggett Group Inc., et al. v. Engle

In 1994, a class-action suit was brought in Florida against most U.S. tobacco companies on the basis of numerous tort claims seeking compensatory and punitive damages for injuries caused by smoking.  After lengthy proceedings, a $145 billion punitive damages award for the class and a $12.7 million compensatory award for the three individual class representatives were given by the trial court.  This is the District Court of Appeal’s review and reversal of that award. 

The appellate court held the class was improperly certified as a class because the plaintiffs lacked the necessary preponderance of commonality between their claims. Additionally, the court held because of important differences in the claims, the class action procedure was not the superior procedure.  The court reversed the punitive award, holding that it was excessive as a matter of state and federal law; it was a result of improper inflammatory arguments by plaintiffs’ counsel; and it was barred by the State of Florida’s settlement with the tobacco industry regarding similar litigation.  The court failed to analyze the compensatory awards but reversed the entire decision and remanded it to be de-certified, forcing all plaintiffs to address their claims individually.

Liggett Group, Inc. v. Engle, 853 So.2d 434 (Fla. App., 2003)

  • United States
  • May 21, 2003
  • District Court of Appeal of Florida, Third District

Parties

Plaintiff

  • Liggett Group Inc.
  • Brooke Group Ltd.
  • Philip Morris Inc.
  • Council for Tobacco Research-USA, Inc.
  • Tobacco Institute, Inc.
  • Lorillard Tobacco Company
  • Lorillard, Inc.
  • Brown & Williamson Tobacco Corp.
  • American Tobacco Company
  • R.J. Reynolds Tobacco Company

Defendant Howard A. Engle, M.D. et. al.

Legislation Cited

Related Documents

Type of Litigation

Tobacco Control Topics

Substantive Issues

Type of Tobacco Product

None

"In conclusion, the entire judgment must be reversed and the class decertified. The class fails the requirements of predominance and superiority. Any initially imagined savings of judicial resources and expense, have been dispelled by the ensuing litigation and the overwhelming procedural problems inherent in the certification of this type of smokers' litigation. Those class members whose claims have not yet been tried, should be allowed to proceed individually. Class certification in mass tort actions such as this has been historically disfavored by courts throughout the nation. This hesitancy to certify complex mass tort actions is based upon the evolving recognition that the class action mechanism is generally not superior for these types of cases, and results in a higher than normal risk of infringing upon the rights of defendants. The present case presents a classic example of the inherent dangers that arise when a complex mass tort action is improperly certified. As discussed throughout this opinion, there are multiple sound legal bases why the result of this class action trial, including the punitive damages award, cannot be sustained. The trial plan which produced the $145 billion dollar award, violates Florida law, violates this Court's 1996 certification decision, and is unconstitutional. The proceedings that produced the findings of entitlement and the $145 billion dollar award were irretrievably tainted by class counsel's misconduct, and the award is bankrupting under Florida law. The fate of an entire industry and of close to a million Florida residents, cannot rest upon such a fundamentally unfair proceeding. Our system of justice requires more. Accordingly, we reverse the judgment below with instructions to decertify the class."