and survivors of a deceased smoker. The case is presently scheduled for the three week trial period starting 03/01/10.Duque v. Philip Morris, et al., Case No. 07-46324, Circuit Court of the11th Judicial Circuit, Florida, Miami-Dade County (case filed 12/28/07). Oneindividual suing. The case is presently scheduled for the two week trial period startingFebruary 1, 2010.Gil de Rubio v. R.J. Reynolds, et al., Case No. 16-2007-CA-12167-AXXXMA, CircuitCourt of the 4th Judicial Circuit, Florida, Duval County (case filed 12/20/07).One individual suing on behalf of the estate and survivors of a deceased smoker. The caseis presently scheduled for trial in 05/10.Gonzalez v. R.J. Reynolds, et al., Case No. 09-53850, Circuit Court of the11th Judicial Circuit, Florida, Miami-Dade County (case filed 07/17/09). Oneindividual suing. The case is presently set for the trial period starting in 03/22/10.Greene v. R.J. Reynolds, et al., Case No. 08-22567, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 05/20/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the trial period of 06/28/10 – 09/24/10.Haldeman v. R.J. Reynolds, et al., Case No. 07-3798, Circuit Court of the5th Judicial Circuit, Florida, Marion County (case filed 12/11/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for trial for the two week trial period starting 07/19/10.Hall v. R.J. Reynolds, et al., Case No. 01-2008-CA-3979, Circuit Court of the8th Judicial Circuit, Florida, Alachua County (case filed 07/25/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the two week trial period starting 04/05/10.Hanners v. R.J. Reynolds, et al., Case No. 07-CA-020540, Circuit Court of the15th Judicial Circuit, Florida, Palm Beach County (case filed 11/14/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for trial starting 10/12/10.Harberson v. R.J. Reynolds, et al., Case No. 2007-CA-3021, Circuit Court of the1st Judicial Circuit, Florida, Escambia County (case filed 12/13/07). Twoindividuals suing. The case is presently scheduled for trial starting 03/22/10.Harvey v. R.J. Reynolds, et al., Case No. 01-2007-CA-5087, Circuit Court of the8th Judicial Circuit, Florida, Alachua County (case filed 12/10/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the two week trial period starting 03/01/10.Hatziyannakas v. R.J. Reynolds, et al., Case No. 07-36751, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 12/28/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the trial period of 01/04/10 – 03/26/10.
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Hetzner v. R.J. Reynolds, et al., Case No. 2008-32278-CICI, Circuit Court of the7th Judicial Circuit, Florida, Volusia County (case filed 06/30/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for trial in 03/10.Kaplan v. R.J. Reynolds, et al., Case No. 08-26341, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 05/01/08). Oneindividual suing. The case is presently scheduled for the trial period of 01/04/10 –03/26/10.Lowe v. R.J. Reynolds, et al., Case No. 07-3801, Circuit Court of the 5thJudicial Circuit, Florida, Marion County (case filed 12/11/07). One individual suing onbehalf of the estate and survivors of a deceased smoker. The case is presently scheduledfor the two week trial period starting 01/10/11.Lukacs v. R. J. Reynolds, et al., Case No. 01-38-22 CA23, Circuit Court of the11th Judicial Circuit, Florida, Miami-Dade County (case filed 12/15/01). Oneindividual suing on behalf of the estate and survivors of a deceased smoker, as adecertified *Engle*class member. In June 2002, the jury awarded $37,500,000 in compensatorydamages, jointly and severally, which was subsequently reduced by the court. The jury foundLiggett 50% responsible. In August 2008, the court entered judgment in the amount of$24,835,000, plus interest from June 2002. In October 2008, plaintiff withdrew her requestfor punitive damages. In November 2008, the court entered final judgment. In December2008, the defendants appealed the decision to the Third District Court of Appeal. Briefingis underway. For more information on the *Lukacs*case, see “Note 8. Contingencies.”Mack v. R.J. Reynolds, et al., Case No. 01-2008-CA-3256, Circuit Court of the8th Judicial Circuit, Florida, Alachua County (case filed 7/25/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the two week trial period starting 03/16/10.Marrafino (formerly Talenfeld) v. R.J. Reynolds, et al., Case No. 08-22565, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed05/20/08). One individual suing on behalf of the estate and survivors of a deceased smoker.The case is presently scheduled for the trial period of 01/12/10 — 03/26/10.McKinney v. R.J. Reynolds, et al., Case No. 01-2008-CA-0152, Circuit Court of the8th Judicial Circuit, Florida, Alachua County (case filed 01/08/08). Oneindividual suing on behalf of the estate of a deceased smoker. The case is presentlyscheduled for the two week trial period starting 06/07/10.Morrissette-Stege v. R.J. Reynolds, et al., Case No. 07-34194, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 12/10/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the trial period of 03/29/10 – 06/25/10.Muhlig v. Philip Morris, et al., Case No. 07-46352, Circuit Court of the11th Judicial Circuit, Florida, Miami-Dade County (case filed 12/28/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case willlikely be scheduled for trial during the first quarter of 2010.
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O’Dwyer-Harkins v. R.J. Reynolds, et al., Case No. 16-2008-CA-000009-XXXXMA, CircuitCourt of the 4th Judicial Circuit, Florida, Duval County (case filed 01/02/08).One individual suing as on behalf of the estate and survivors of a deceased smoker. Thecase is presently scheduled for trial in 08/10.Patterson v. R.J. Reynolds, et al., Case No. 08-CA-6853, Circuit Court of the13th Judicial Circuit, Florida, Hillsborough County (case filed 03/28/08). Oneindividual suing. The case is presently scheduled for the three week trial period starting01/11/10.Perry v. R.J. Reynolds, et al., Case No. 01-2008-CA-150, Circuit Court of the8th Judicial Circuit, Florida, Alachua County (case filed 07/25/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the two week trial period starting 05/18/10.Piendle v. R.J. Reynolds, et al., Case No. 2008-CA-38777, Circuit Court of the15th Judicial Circuit, Florida, Palm Beach County (case filed 12/08/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case isscheduled for the six week trial period starting 01/12/10.Putney v. R.J. Reynolds, et al., Case No. 07-36668, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 12/28/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the trial period of 03/29/10 – 06/25/10.Rey v. Philip Morris, et al., Case No. 07-46340, Circuit Court of the11th Judicial Circuit, Florida, Miami-Dade County (case filed 12/28/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the two week trial period starting 01/10.Rizzuto v. Liggett Group LLC, et al., Case No. H27-CA-2008-003318, Circuit Court ofthe 5th Judicial Circuit, Florida, Hernando County (case filed 05/21/08). Thecase is presently scheduled for the three week trial period starting 02/15/10.Rohr v. R.J. Reynolds, et al., Case No. 07-34472, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 12/12/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the trial period of 03/29/10 – 06/25/10.Santana v. Philip Morris, et al., Case No. 07-16279, Circuit Court of the11th Judicial Circuit, Florida, Miami-Dade County (case filed 05/31/07). Oneindividual suing. The case is presently scheduled for the two week trial period starting05/10/10.Sayles v. R.J. Reynolds, et al., Case No. 50 2008-CA-38599, Circuit Court of the15th Judicial Circuit, Florida, Palm Beach County (case filed 11/06/07). Oneindividual suing. The case is presently scheduled for the trial period starting 04/26/10.Sigl v. R.J. Reynolds, et al., Case No. 16 2007-CA-011654, Circuit Court of the4th Judicial Circuit, Florida, Duval County (case filed 12/11/07). Oneindividual suing. The case is presently scheduled for the trial period starting 03/15/10.
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Simon v. R.J. Reynolds, et al., Case No. 50 2008-CA-038812, Circuit Court of the15th Judicial Circuit, Florida, Palm Beach County (case filed 11/9/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the trial period starting 03/01/10.Soffer v. R.J. Reynolds, et al., Case No. 01-2008-CA-3979, Circuit Court of the8th Judicial Circuit, Florida, Alachua County (case filed 08/15/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the two week trial period starting 04/20/10.Sotherden v. R.J. Reynolds, et al., Case No. 01-2008-CA-3116, Circuit Court of the8th Judicial Circuit, Florida, Alachua County (case filed 06/09/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the two week trial period starting 01/04/10.Stalley v. R.J. Reynolds, et al., Case No. 08-22565, Florida, , Circuit Court of the13th Judicial Circuit, Florida, Hillsborough County (case filed 12/03/07). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the three week trial period starting 03/08/10.Townsend v. R.J. Reynolds, et al., Case No. 01-2008-CA-3978, Circuit Court of the8th Judicial Circuit, Florida, Alachua County (case filed 07/25/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for the two week trial period starting 02/01/10.Warrick v. R.J. Reynolds, et al., Case No. 16-2007-CA-11654-QXXXMA, Circuit Court ofthe 4th Judicial Circuit, Florida, Duval County (case filed 12/11/07). Oneindividual suing. The case is presently scheduled for trial in 07/10.Weick v. R.J. Reynolds, et al., Case No. 08-CA-006827, Circuit Court of the13th Judicial Circuit, Florida, Hillsborough County (case filed 03/28/08). Oneindividual suing on behalf of the estate and survivors or a deceased smoker. The case ispresently scheduled for the three week trial period starting 03/16/10.Weingart v. R.J. Reynolds, et al., Case No. 08-CA-038878, Circuit Court of the15th Judicial Circuit, Florida, Palm Beach County (case filed 12/8/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. The case ispresently scheduled for trial starting 10/12/10.b) Other Individual Cases.Beatty v. R.J. Reynolds, et al., Case No. 50-2009-CA-032435 (AB), Circuit Court ofthe 15th Judicial Circuit, Florida, Palm Beach County (case filed 09/24/09). Twoindividuals suing.Bryant v. Philip Morris Inc., et al., Case No. 50-2008-CA-25429 (AJ), Circuit Courtof the 15th Judicial Circuit, Florida, Palm Beach County (case filed 08/25/08).One individual suing as personal representative of the estate and survivors of a deceasedsmoker.Caldwell v. Philip Morris Inc., et al., Case No. 08-000391 (AA), Circuit Court ofthe 15th Judicial Circuit, Florida, Palm Beach County (case filed 01/07/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker.
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Cowart v. Liggett Group Inc., et al., Case No. 98-01483-CA, Circuit Court of the4th Judicial Circuit, Florida, Duval County (case filed 03/16/98). Oneindividual suing. Liggett is the only tobacco company defendant in this case. The case isdormant.Diamond v. R.J. Reynolds, et al., Case No. 08-24533, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 05/30/08). Oneindividual suing.Ferlanti v. Liggett Group LLC, Case No. 03-21697, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 12/11/03). Oneindividual suing on behalf of the estate and survivors of a deceased smoker. Liggett wasthe sole defendant in this action. Trial commenced on February 19, 2009. In March 2009,the jury returned a verdict for plaintiff in the amount of $1,200,000 (plus $95,972 ineconomic damages) but found plaintiff 40% at fault, which reduced the damages awardaccordingly. No punitive damages were awarded. The final judgment was entered on March 30,2009. Liggett appealed the verdict. In May 2009, the court granted plaintiff’s motion foran award of attorneys’ fees, but, has not scheduled a hearing to determine the amount of theaward.Fine v. Philip Morris, Inc., et al., Case No. 08-000383 (AA), Circuit Court of the15th Judicial Circuit, Florida, Palm Beach County (case filed 01/07/08). Oneindividual suing on behalf of the estate and survivors of a deceased smoker.Grose v. R.J. Reynolds, et al., Case No. 08-38276, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 08/15/08). Oneindividual suing as personal representative of the estate and survivors of a deceasedsmoker.Hikin, et al. v. Philip Morris Inc., et al., Case No. 08-57479, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 11/21/08). Twoindividuals suing.Laschke, et al. v. R.J. Reynolds, et al., Case No. 96-8131-CI-008, Circuit Court ofthe 6th Judicial Circuit, Florida, Pinellas County (case filed 12/20/96). Twoindividuals suing. The dismissal of the case was reversed on appeal, and the case wasremanded to the trial court. Motions to dismiss were filed by the defendants and arepending. No hearing date has been scheduled.Levine v. R.J. Reynolds, et al., Case No. CL 95-98769 (AH), Circuit Court of the15th Judicial Circuit, Florida, Palm Beach County (case filed 07/24/96). Oneindividual suing. Plaintiff asserted claims for negligence and strict liability againsteach defendant and a claim for punitive damages against R.J. Reynolds. On February 27,2009 plaintiff passed away. Defendant R.J. Reynolds recently filed a motion to dismiss thecase.Meckler v. Liggett Group Inc., Case No. 97-03949-CA, Circuit Court of the4th Judicial Circuit, Florida, Duval County (case filed 07/10/97). Oneindividual suing. Liggett is the only tobacco company defendant in this case. The case isdormant.Rawls v. Liggett Group Inc., Case No. 97-01354-CA, Circuit Court of the4th Judicial Circuit, Florida, Duval County (case filed 03/06/97). Oneindividual suing. Liggett is the only tobacco company defendant in this case. The case isdormant.Spivak v. Philip Morris Inc., et al., Case No. 08-19309 (AH), Circuit Court of the15th Judicial Circuit, Florida, Palm Beach County (case filed 06/26/08). Oneindividual suing as personal representative of the estate and survivors of a deceasedsmoker.
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Spry, et al. v. Liggett Group LLC, et al., Case No. 06-31216 CICI, Circuit Court ofthe 7th Judicial Circuit, Florida, Volusia County (case filed 07/27/06). Twoindividuals suing. Discovery is pending.**Illinois**Kersting v. A.W. Chesterton, Inc., et al., Case No. 09-L-735, Circuit Court of theThird Judicial Circuit, Illinois, Madison County (case filed 07/16/09). Trial is scheduledto commence on February 16, 2010.**Louisiana**Dimm, et al. v. R.J. Reynolds, et al., Case No. 53919, Circuit Court of the18th Judicial District Court, Louisiana, Iberville Parish (case filed 07/25/00).Seven individuals suing.Hunter, et al. v. R. J. Reynolds, et al., Case No. 2002/18748m, Circuit Court of theCivil District Court, Louisiana, Parish of Orleans (case filed 12/04/02). Two individualssuing.Newsom, et al. v. R.J. Reynolds, et al., Case No. 105838, Circuit Court of the16th Judicial District Court, Louisiana, St. Mary Parish (case filed 05/17/00).Five individuals suing.Oser v. The American Tobacco Co., et al., Case No. 97-9293, Circuit Court of theCivil District Court, Louisiana, Parish of Orleans (case filed 05/27/97). One individualsuing.Reese, et al. v. R. J. Reynolds, et al., Case No. 2003-12761, Circuit Court of the22nd Judicial District Court, Louisiana, St. Tammany Parish (case filed06/10/03). Five individuals suing.**Maryland**Slaughter v. John Crane-Houdaille, Inc., et al., Case No. 24-X-06-000394, CircuitCourt, Maryland, Baltimore City (case filed 02/10/09). Plaintiff is suing individually andas Personal Representative of the Estate of a deceased smoker. Plaintiff seeks damagesallegedly caused to decedent by exposure to asbestos and cigarettes, with claims againstcertain asbestos manufacturer defendants and certain tobacco company defendants, includingLiggett.Carder, et al., v. John Crane-Houdaille, Inc., et al., Case No. 24-X-09-000139,Circuit Court, Maryland, Baltimore City (case filed 09/04/09). Plaintiff is suingindividually and as personal representative of the estate of a deceased smoker. Plaintiffseeks damages allegedly caused to decedent by exposure to asbestos and cigarettes, withclaims against certain asbestos manufacturer defendants and certain tobacco companydefendants, including Liggett.**Missouri**Nuzum v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237237,Circuit Court, Missouri, Jackson County (case filed 05/21/03). Two individuals suing.Discovery is pending.
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**New York**Brantley v. The American Tobacco Company, et al., Case No. 114317/01, Supreme Courtof New York, New York County (case filed 07/23/01). One individual suing.Debobes v. The American Tobacco Company, et al., Case No. 29544/92, Supreme Court ofNew York, Nassau County (case filed 10/17/97). One individual suing.Hausrath, et al. v. Liggett Group LLC, Case No. I2001-09526, Supreme Court of NewYork, Erie County (case filed 01/24/02). Two individuals suing. Liggett is the onlydefendant in this case.James v. The American Tobacco Company, et al., Case No. 103034/02, Supreme Court ofNew York, New York County (case filed 04/04/97). One individual suing.Shea, et al. v. The American Tobacco Company, et al., Case No. 008938/03, SupremeCourt of New York, Nassau County (case filed 10/17/97). Two individuals suing.Standish v. The American Tobacco Company, et al., Case No. 18418-97, Supreme Courtof New York, Bronx County (case filed 07/28/97). One individual suing.Tomasino, et al. v. The American Tobacco Company, et al., Case No. 027182/97,Supreme Court of New York, Nassau County (case filed 09/23/97). Two individuals suing.Tormey, et al. v. The American Tobacco Company, et al., Case No. 2005-0506, SupremeCourt of New York, Onondaga County (case filed 01/25/05). Two individuals suing.Yedwabnick v. The American Tobacco Company, et al., Case No. 20525/97, Supreme Courtof New York, Queens County (case filed 09/19/97). One individual suing. A Note of Issuerequesting a trial date is scheduled to be filed on May 28, 2010.**Ohio**Croft, et al. v. Akron Gasket & Packing, et al., Case No. CV04541681, Court ofCommon Pleas, Ohio, Cuyahoga County (case filed 08/25/05). Two individuals suing.**West Virginia**Brewer, et al. v. The American Tobacco Company, et al., Case No. 01-C-82, CircuitCourt, West Virginia, Ohio County (case filed 03/20/01). Two individuals suing.Little v. The American Tobacco Company, et al., Case No. 01-C-235, Circuit Court,West Virginia, Ohio County (case filed 06/04/01). One individual suing.**II.****CLASS ACTION CASES**a) Smoking RelatedBrown, et al. v. Philip Morris USA Inc., et al., (In Re: Tobacco II Cases), Case No.711400, Superior Court of California, County of San Diego (case filed 10/01/97). In April2001, under the California Unfair Competition Laws and the Consumer Legal Remedies Act, thecourt granted
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in part the plaintiffs’ motion for certification of a class composed ofresidents of California who smoked at least one of the defendants’ cigarettes from June 10,1993 through April 23, 2001, and who were exposed to the defendants’ marketing andadvertising activities in California. The action was brought against the major U.S.cigarette manufacturers, including Liggett, seeking to recover restitution, disgorgement ofprofits and other equitable relief under California Business and Professions Code.Certification was granted as to the plaintiffs’ claims that the defendants violated § 17200of the California Business and Professions Code pertaining to unfair competition. Thecourt, however, refused to certify the class under the California Legal Remedies Act or theplaintiffs’ common law claims. Following the November 2004 passage of a proposition inCalifornia that changed the law regarding cases of this nature, the defendants moved todecertify the class. In March 2005, the court granted the defendants’ motion. In May 2005,the plaintiffs appealed. In September 2006, the California Court of Appeal affirmed theorder decertifying the class. In May 2009, the California Supreme Court reversed the orderof decertification and remanded the case for further proceedings regarding whether the classrepresentatives can demonstrate standing. In June 2009, the defendants filed a Petition forRehearing in the California Supreme Court, which was denied by the court in August 2009. InSeptember 2009, plaintiffs’ counsel informed the trial court that plaintiffs intend to seekreconsideration of the trial court’s order finding that plaintiffs’ allegations regardinglights cigarettes were preempted by federal law. Plaintiffs contend that the recent decisionin *Altria Group v. Good*, by the United States Supreme Court, necessitates reconsideration ofthe trial court’s preemption ruling. The defendants intend to oppose the reconsiderationmotion. The court will set a briefing schedule, which will likely be heard in January 2010.Following the decision on reconsideration, the court will address the issue of standing, ifnecessary.Cleary, et al. v. Philip Morris, Inc., et al., Case No. 09-CV-1956, USDC NorthernDistrict of Illinois (case was originally filed 06/03/98 in Circuit Court of Cook County,Illinois). The action was brought on behalf of persons who have allegedly been injured by(1) the defendants’ purported conspiracy pursuant to which defendants allegedly concealedmaterial facts regarding the addictive nature of nicotine; (2) the defendants’ alleged actsof targeting their advertising and marketing to minors; and (3) the defendants’ claimedbreach of the public’s right to defendants’ compliance with laws prohibiting thedistribution of cigarettes to minors. The plaintiffs request that the defendants berequired to disgorge all profits unjustly received through their sale of cigarettes toplaintiffs. In July 2006, the plaintiffs filed a motion for class certification and a classcertification hearing was conducted in September 2007. The parties are awaiting a decision.Merits discovery was stayed pending a ruling by the court on class certification; classcertification discovery is ongoing. In March 2009, plaintiffs filed a Third AmendedComplaint replacing one named class representative with a new plaintiff and adding newallegations regarding defendants’ sale of “light” cigarettes. In March 2009, defendantsfiled a notice of removal to the United States District Court for the Northern District ofIllinois. In April 2009, plaintiffs filed a motion to remand the case back to the CircuitCourt of Cook County. In April 2009, plaintiffs in 11 “lights” class actions, including*Cleary*, moved to consolidate these 11 actions in a Multidistrict Litigation entitled *In Re:Light Cigarettes Product Liability Litigation*. The motion, as to the consolidation of the*Cleary*case, was denied by the court in September 2009.In Re: Tobacco Litigation (Personal Injury Cases), Case No. 00-C-5000, CircuitCourt, West Virginia, Ohio County (case filed 01/18/00). Although not technically a classaction, the court consolidated approximately 750 individual smoker actions that were pendingprior to 2001 for trial on some common related issues. Liggett was severed from trial ofthe consolidated action. A conference was held in February 2009 which put into place a newcase management order and scheduled trial for February 1, 2010. For more information onthis case, see “Note 8. Contingencies.”
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Parsons, et al. v. A C & S Inc., et al., Case No. 98-C-388, Circuit Court, WestVirginia, Kanawha County (case filed 04/09/98). This personal injury class action isbrought on behalf of plaintiff’s decedent and all West Virginia residents who allegedly havepersonal injury claims arising from their exposure to cigarette smoke and asbestos fibers.The case is stayed as a result of the December 2000 bankruptcy petitions filed by threedefendants in the United States Bankruptcy Court for the District of Delaware.Schwab [McLaughlin], et al. v. Philip Morris USA, Inc., et al., Case No.04-CV-01945-JBW-SMG, USDC, Eastern District of New York (case filed 05/11/04). This classaction sought economic damages on behalf of plaintiffs and all others similarly situatedunder the RICO act challenging the practices of defendants in connection with the marketing,advertising, promotion, distribution and sale of “light” cigarettes. In September 2006, thecourt certified a nationwide class of “light” smokers. The defendants appealed thecertification and, in April 2008, the United States Court of Appeals for the Second Circuitdecertified the class. The case has been remanded to the district court. To date, nofurther proceedings have been held. In April 2009, plaintiffs in 11 “lights” class actions,including *Schwab*, moved to consolidate these 11 actions in a Multidistrict Litigationentitled *In Re: Light Cigarettes Product Liability Litigation*. The motion, as to theconsolidation of the *Schwab*case, was denied by the court in September 2009.Young, et al. v. The American Tobacco Company, et al., Case No. 97-CV-03851, CivilDistrict Court, Louisiana, Orleans Parish (case filed 11/12/97). This purported personalinjury class action is brought on behalf of plaintiff and all similarly situated residentsin Louisiana who, though not themselves cigarette smokers, have been exposed to secondhandsmoke from cigarettes which were manufactured by the defendants, and who suffered injury asa result of that exposure. The plaintiffs seek to recover an unspecified amount ofcompensatory and punitive damages. In October 2004, the trial court stayed this casepending the outcome of the appeal in *Scott v. American Tobacco Co., Inc.*For moreinformation on the *Scott*case, see “Note 8. Contingencies.”b) Price FixingSmith, et al. v. Philip Morris, Inc., et al., Case No. 00-CV-26, District Court,Kansas, Seward County (case filed 02/07/00). In this class action, plaintiffs allege thatdefendants conspired to fix, raise, stabilize, or maintain prices for cigarettes in Kansas.The court granted class certification in November 2001 and discovery is proceeding.**III.****GOVERNMENTAL ACTIONS**City of St. Louis, et al. v. American Tobacco Company, Inc., et al., Case No.CV-982-09652, Circuit Court, Missouri, City of St. Louis (case filed 12/04/98). City of St.Louis and approximately 40 hospitals (over 50 hospitals originally filed suit, but some havesince dismissed their claims with prejudice) seek to recover past and future costs expendedto provide healthcare charity and bad debt patients suffering from tobacco-relatedillnesses, from multiple defendants including Liggett Group LLC, Liggett & Myers Inc. andVector Group Ltd. In June 2005, the court granted defendants’ motion for summary judgmentas to claims for damages which accrued prior to November 16, 1993. The claims for damageswhich accrued after November 16, 1993 are pending. Discovery is proceeding. Trial isscheduled to commence on June 7, 2010.Crow Creek Sioux Tribe v. The American Tobacco Company, et al., Case No.CV-97-09-082, Tribal Court of the Crow Creek Sioux Tribe, South Dakota (case filed09/26/97). The plaintiff
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seeks to recover actual and punitive damages, restitution,funding of a clinical cessation program, funding of a corrective public education programand disgorgement of unjust profits from sales to minors. The case is dormant.**IV.****THIRD-PARTY PAYOR ACTIONS**General Health Services (Kupat Holim Clalit) v. Philip Morris, Inc., et al., CaseNo. 1571/98, District Court, Jerusalem, Israel (case filed 09/28/98). General HealthServices seeks to recover the past and future value of the total expenditures forhealth-care services provided to residents of Israel resulting from tobacco related diseasealong with interest, increased and/or exemplary damages and costs. Motions filed by thedefendants are pending before the Israel Supreme Court, seeking appeal from a lower court’sdecision granting leave to plaintiff for foreign service of process. A hearing occurred inMarch 2005. A decision is pending. For more information on the *General Health Services*case, see “Note 8. Contingencies.”National Committee to Preserve Social Security and Medicare, et al. v. Philip MorrisUSA, Inc., et al., 08-CV-02021-RJD-JO, USDC, Eastern District of New York (case filed05/20/08). Plaintiffs filed this action pursuant to the Medicare as Secondary Payer statuteto recover for Medicare expenditures made from May 21, 2002 to the present. Defendants’Motion to Dismiss and Plaintiffs’ Motion for Partial Summary Judgment were filed in July2008. In March 2009, the court granted the Defendants’ Motion to Dismiss the case. In April2009, the court denied plaintiffs’ motion for reconsideration. Plaintiffs appealed to theUnited States Court of Appeals for the Second Circuit.
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