Ontario v. Rothmans Inc.

The government of Ontario brought an action against various tobacco manufacturers seeking recovery of 50 billion dollars in health care costs that had been or would be paid by the government for treatment of its insureds' diseases or risks of diseases related to tobacco use.  The claim was brought under the Tobacco Damages and Health Care Costs Recovery Act.  The government alleged that the manufacturers had engaged in an intentional scheme of deception, arguing, among other things, that the manufacturers had been aware of the harmful health effects of cigarette smoke and second-hand smoke for several decades but had suppressed evidence revealing these effects and had purposely misled the public about the health risks of cigarette smoke.

This order reviews certain companies challenge to jurisdiction.  The court rejects the challenge to jurisdiction and orders costs to be calculated for all the proceedings leading up to this ruling.

Ontario v. Rothmans et al. 2012 ONSC 22

  • Canada
  • Jan 4, 2012
  • Ontario Superior Court of Justice

Parties

Plaintiff Ontario (Canada)

Defendant Rothmans Inc. et. al.

Legislation Cited

Tobacco Damages and Health Care Costs Recovery Act

Related Documents

Type of Litigation

Tobacco Control Topics

Substantive Issues

Type of Tobacco Product

None

"As set out above, the Crown has established a good arguable case that the JCDs conspired and acted in concert in committing tobacco related wrongs. The damage is alleged to have occurred in Ontario. This is sufficient to establish a connection between the JCDs and the province. Moreover, this conspiracy, if proven, relates to matters of significance in Ontario – allegedly misleading the public and the government about the harmful effects of cigarettes and exposure to second hand smoke. The allegations of conspiracy and concert of action establish a real and substantial connection between each of the JCDs and the Province of Ontario. In addition, and while it is not necessary to go further, the Crown’s evidence on Investments’ involvement in Canadian research matters and in Imasco’s tobacco operations reinforces its connection to Ontario. Likewise, the evidence of RJR Company’s sales of RJR blended products referred to above reinforces the connection between RJR Company and Ontario."