TOBACCO CONTROL LAWS

Republic of the Marshall Islands v. American Tobacco Company

The Republic of the Marshall Islands sued a number of tobacco companies for the health care costs of treating residents with smoking-related illnesses. The government alleged that the tobacco companies misrepresented the health risks of smoking and, as a result, many residents became addicted to smoking and developed lung cancer and other diseases. The court affirmed an earlier dismissal of the case, finding that the government did not present sufficient evidence to show that any misconduct by the tobacco companies led to medical costs paid by the government. Additionally, the court found that the government failed to provide sufficient proof of both the existence of and the amount of damages.

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Republic of Marshall Islands v. American Tobacco Co., 2 MILR 181 (2002).

  • Marshall Islands
  • May 9, 2002
  • Supreme Court of the Republic of the Marshall Islands
View Case History

Parties

Plaintiff The Republic of the Marshall Islands

Defendant

  • American Tobacco Company
  • Brown & Williamson Tobacco Corporation
  • Philip Morris Incorporated
  • Philip Morris Products, Inc.
  • R.J. Reynolds Tobacco Company

Legislation Cited

Consumer Protection Act

Related Documents

None

Type of Litigation

Government Enforcement Action
Government, through its agencies and officials including prosecutors, may seek to enforce its health laws. For example, the government may revoke the license of a retailer that sells tobacco products to minors. These cases may also directly involve the tobacco industry, for example, a government might impound and destroy improperly labeled cigarette packs.
Health Care Cost Recovery
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.

Tobacco Control Topics

Advertising, Promotion and Sponsorship
Measures restricting any form of direct or indirect tobacco advertising, promotion and sponsorship. (See FCTC Art. 13)
Liability
Measures dealing with criminal and civil liability, including compensation. (See FCTC Art. 19)

Substantive Issues

Consumer Protection Violation

Any violation of a law designed to ensure fair trade, competition, or the free flow of truthful information in the marketplace. For example, a government may require businesses to disclose detailed information about products—particularly in areas where safety or public health is an issue.

Industry-Perpetrated Fraud
The tobacco industry may have perpetrated a fraud upon the public or the courts by presenting false information or deliberately hiding known-facts.
Sufficiency of Scientific Evidence
A discussion on whether current scientific evidence is sufficient to justify the regulatory measures.

Type of Tobacco Product

None

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