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![]() ![]() ![]() ![]() Canada - AFP Canadian province can sue tobacco firms: court 2 hours, 4 minutes ago VANCOUVER, Canada (AFP) - The top court in Canada's westernmost province ruled that its government can sue tobacco companies for health care costs, in what could become a precedent for other jurisdictions. Earlier attempts by British Columbia's government to sue tobacco manufacturers were tossed out by the courts. The decision Thursday by the Appeals Division of the provincial Supreme Court, however, overturned a lower court ruling that laws backing the legal challenge exceeded the province's powers, because companies could be sued for damages that may have occurred outside British Columbia. The new ruling opens the door for the province to sue tobacco manufacturers to recover health care costs. Disease related to tobacco is estimated to cost the province's public health system about 500 million dollars (360 million US) annually. "Every year, the biggest single cost to our health care system is as a result of tobacco-related illnesses," said Joy MacPhail, an opposition politician whose New Democratic Party was in government when the Tobacco Damage and Health Care Costs Recovery Act was passed four years ago. Jurisdictions in the United States have already sued tobacco companies, but British Columbia's law is being closely monitored in Canada and elsewhere. "Other governments are probably watching this with interest. In that sense it sets a precedent," said David Laundy, a spokesman for the Canadian Tobacco Manufacturers' Council. Laundy said manufacturers will seek to appeal the ruling to the Supreme Court of Canada, the nation's highest court. He argued that it was hypocritical for governments to sue manufacturers because tobacco is highly regulated in Canada, said Laundy. The council estimates that governments collect eight billion dollars (six billion US) annually in tobacco taxes. "The legislation also sets a dangerous precedent for the Canadian justice system," said Laundy. |
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