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Hanging Tough

One more chapter of the tobacco litigation unfolds. The AP's Stephanie Stoughton reports that cigarette maker RJR, in the face of a looming payment deadline in the tobacco settlement, has refused to pay the full amount mandated.

RJR, Lorillard, and Philip Morris have collectively argued that the $6.5 billion award should be cut $1.2 billion, under a clause of the settlement allowing such reductions if the companies in the pact lose market share to those outside the pact. Philip Morris made its full scheduled payment, of $3.4 billion.



Isaac Gorodetski
Project Manager,
Center for Legal Policy at the
Manhattan Institute

Katherine Lazarski
Press Officer,
Manhattan Institute


Published by the Manhattan Institute

The Manhattan Insitute's Center for Legal Policy.