United States v. Philip Morris USA Inc., et al.
In 1999, the United States filed a lawsuit in the U.S. District Court for the District of Columbia against the major cigarette manufacturers and related trade organizations alleging that defendants, while acting as an enterprise, fraudulently misled American consumers for decades about the risks and dangers of cigarette smoking and exposure to secondhand smoke in violation of the Racketeer Influenced Corrupt Organizations Act (RICO). In 2006, the court found that defendants violated RICO and that there was a reasonable likelihood that defendants would continue to violate RICO in the future. On appeal, the district court’s findings were upheld, in part, vacated, in part, and remanded, in part, to the district court. After the U.S. Supreme Court declined to hear appeals from both sides in the case in June 2010, the district court began to implement the 2006 final order.
This order discusses (1) whether the Court should defer consideration of the issue of corrective action statements (as well as the issue of advertisement placement in retail stores); and (2) if so, how long such consideration should be deferred. The Court ruled that there would be no deferral of decisionmaking regarding the corrective action statements.