The government of Ontario sued a variety of tobacco manufacturers seeking to recover $50 billion in health care costs caused by tobacco-related disease. The claim was brought under the Tobacco Damages and Health Care Costs Recovery Act, an Ontario law that gives the government the right to recover health care costs arising from “tobacco-related wrongs.” The government alleged that the tobacco companies engaged in a decades-long conspiracy to mislead Ontario about the health risks of smoking and to suppress information about the dangers of smoking. Six of the foreign tobacco companies argued that the Ontario courts do not have jurisdiction over them. The appeals court affirmed an earlier ruling finding that that the court has sufficient jurisdiction to proceed against the foreign companies.
Governments or insurance agencies may seek reimbursement from the tobacco companies for health care costs related to tobacco. The most famous example is the case brought by individual states in the U.S.A. that resulted in the Master Settlement Agreement.
The court might consider procedural matters without touching the merits of the case. These might include: improper joinder, when third parties, such as Health NGOs or government officials, seek to become parties to the suit; lack of standing, where a plaintiff fails to meet the minimum requirements to bring suit; lack of personal jurisdiction, where the court does not have jurisdiction to rule over the defendant; or lack of subject matter jurisdiction, where the court does not have jurisdiction over the issue at suit.
A discussion on whether the regulations impose an undue burden on the tobacco industry. This argument may involve the costs of implementing regulatory measures.
Type of Tobacco Product
None
Limitations regarding the use of quotes The quotes provided here reflect statements from a specific decision. Accordingly, the International Legal Consortium (ILC) cannot guarantee that an appellate court has not reversed a lower court decision which may influence the applicability or influence of a given quote. All quotes have been selected based on the subjective evaluations undertaken by the ILC meaning that quotes provided here may not accurately or comprehensively represent a given court’s opinion or conclusion, as such quotes may have originally appeared alongside other negative opinions or accompanying facts. Further, some quotes are derived from unofficial English translations, which may alter their original meaning. We emphasize the need to review the original decision and related decisions before authoritatively relying on quotes. Using quotes provided here should not be construed as legal advice and is not intended to be a substitute for legal counsel on any subject matter in any jurisdiction. Please see the full limitations at https://www.tobaccocontrollaws.org/about.
"The duties at issue are clear cut: the duty to design and manufacture a reasonably safe product; the duty to warn the public about the risks of smoking; the duty not to misrepresent to the public the risks of smoking; and the duty to prevent children and adolescents from starting or continuing to smoke.
The manner in which Ontario alleges the appellants breached these duties is equally clear cut. In essence, it is alleged that they conspired with Canadian members of their respective Groups, and with members of other Groups, to mislead Ontario and persons in Ontario about the health risks of smoking and to suppress information about the dangers of smoking. In relation to each appellant, the motion judge gave examples derived from the pleadings, or from the pleadings and the evidence adduced on the motion, concerning how Ontario alleges this was done. In short, this is not a case where the statement of claim contains nothing
more than a series of bald allegations devoid of any factual foundation. We are satisfied that the pleadings, in combination with the affidavit evidence filed by the parties, adequately establish a cause of action known to law with a sufficient connection to Ontario."
"In substance, Ontario’s claim is that, since the 1950’s, several of the defendants have been committing “tobacco related wrongs” by manufacturing and distributing cigarettes in Ontario when they knew or ought to have known that smoking cigarettes and being exposed to second-hand smoke could cause or contribute to disease. In addition, Ontario asserts that all of the defendants have engaged in various conspiracies to mislead the government and the public about the dangers of smoking and to suppress information about those dangers.
In conducting themselves in this manner, all of the defendants have breached a number of common law obligations to the people of Ontario flowing from the dangerous nature of their product."
Limitations regarding the use of quotes The quotes provided here reflect statements from a specific decision. Accordingly, the International Legal Consortium (ILC) cannot guarantee that an appellate court has not reversed a lower court decision which may influence the applicability or influence of a given quote. All quotes have been selected based on the subjective evaluations undertaken by the ILC meaning that quotes provided here may not accurately or comprehensively represent a given court’s opinion or conclusion, as such quotes may have originally appeared alongside other negative opinions or accompanying facts. Further, some quotes are derived from unofficial English translations, which may alter their original meaning. We emphasize the need to review the original decision and related decisions before authoritatively relying on quotes. Using quotes provided here should not be construed as legal advice and is not intended to be a substitute for legal counsel on any subject matter in any jurisdiction. Please see the full limitations at https://www.tobaccocontrollaws.org/about.
The government of Ontario sued a variety of tobacco manufacturers seeking to recover $50 billion in health care costs caused by tobacco-related disease. The claim was brought under the Tobacco Damages and Health Care Costs Recovery Act, an Ontario law that gives the government the right to recover health care costs arising from “tobacco-related wrongs.” The government alleged that the tobacco companies engaged in a decades-long conspiracy to mislead Ontario about the health risks of smoking and to suppress information about the dangers of smoking. Six of the foreign tobacco companies argued that the Ontario courts do not have jurisdiction over them. The appeals court affirmed an earlier ruling finding that that the court has sufficient jurisdiction to proceed against the foreign companies.