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High court to review 'light' case


Published :
Tue, 16 Jan 2007 20:59
By : Agencies
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NEW YORK (AFX) - The U.S. Supreme Court said Tuesday it would review a case to determine the proper jurisdiction for the Watson 'light' cigarettes case from Arkansas, potentially affecting outcomes of other similar cases pending against the tobacco companies.

The lead plaintiffs, Lisa Watson and Loretta Lawson, have said the cigarette maker made misleading claims in its advertising of light cigarettes. The plaintiffs wanted the case to be kept in state court while Philip Morris USA won an appeal to move it to federal court. The case has yet to be tried.

The argument behind the move to federal court was that the tobacco companies used the 'light' label under 'instructions and supervision' of the Federal Trade Commission, Citigroup analyst Bonnie Herzog wrote in a research report Tuesday.

The Supreme Court decided to review the case against a recommendation by the U.S. Solicitor General, Paul Clement.

'Philip Morris USA looks forward to the opportunity to explain to the U.S. Supreme Court why these cases should be heard in federal, rather than state, courts,' said Philip Morris USA vice president and general counsel, William S. Ohlemeyer.

Philip Morris USA is owned by New York-based Altria Group Inc., which also owns Philip Morris International. Philip Morris USA makes and distributes cigarettes under the Marlboro brand and others.

Shares of Altria rose 93 cents to $89.35 in afternoon trading on the New York Stock Exchange.

Copyright 2006 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.




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