In a better market, this would probably have been worth more than $10/share...
New York Appeals Court Rejects Class Certification; Smoking Case Depends On Evidence From Each Smoker Philip Morris Says Important Decision Emphasizes
Case Trend
NEW YORK, Nov 30, 2000 (BUSINESS WIRE) -- A unanimous New York appeals court has rejected a bid to certify a class-action case of smokers and former smokers seeking damages for illnesses claimed to have been caused by smoking.
In the brief but blunt opinion, the court said that these kinds of claims against cigarette manufacturers are utterly dependent on a jury's resolution of individual issues, which requires looking at the facts on a case-by-case basis. The plaintiffs' lawyers had sought to distinguish this case from previous smoking class-action litigation by telling the court that questions of addiction would not be part of their claims. However, the court said such issues cannot be ignored and must be determined individually. The decision, in the Geiger case, was released late Wednesday.
Issues such as addiction and legal causation, the court said, "must be resolved on a case-by-case basis, and thus, the difficult questions of causation and the extent of the injuries weigh against class-action treatment."
Additionally, the court noted that the plaintiffs' claims based on allegedly defective cigarette designs - in which plaintiffs alleged the companies had manipulated nicotine levels and failed to develop safer products - could not be resolved in a class-action trial. That was so, the court said, because "cigarettes are not a generic product." The court said the jury would have to consider evidence regarding each type and brand of cigarette smoked by each member of the proposed class.
"We're very pleased with this decision because it underscores why the class-action device cannot fairly resolve these kinds of claims," said William S. Ohlemeyer, Philip Morris vice president and associate general counsel. "It also emphasizes that each smoker's case is different and fairness requires a case-by-case examination of the facts of each smoker's claim."
CONTACT: Philip Morris |
