UK cigarette companies win key court case (fwd)

[Robert Weissman <rob@essential.org>]

FOCUS-UK cigarette companies win key court case
by Lisa Jucca
Reuters (1583) 
Date: Friday, 2/26/99

               =================== 08:36 a.m. Feb 26, 1999 Eastern

LONDON, Feb 26 (Reuters) - A senior British judge on Friday dismissed
smoking-related health claims brought by 46 people against cigarette
companies Imperial Tobacco Group and Gallaher . 

Imperial and Gallaher, who supply nearly 80 percent of the cigarettes sold
in Britain, faced claims from 53 people who alleged that the two companies
negligently failed to reduce tar levels in their cigarettes and caused
their lung cancer. 

But in a landmark decision, English High Court Judge Justice Michael
Wright dismissed 46 of the cases on Friday and awarded costs to the
cigarette companies. 

The two firms of solicitors representing the claimants dropped the case.
The remaining seven plaintiffs, left without legal representation, are
considering their position. 

Imperial Tobacco Chief Executive Gareth Davis said he was very pleased
with the outcome and added that he hoped it would deter similar cases
being brought in the future. 

``It will convey an important message to others, who are contemplating
similar proceedings, about their prospects of success,'' he said in a
statement. 

But the British Medical Association (BMA) said the ruling was a grave
disappointment, and showed the tobacco industry using its financial muscle
to hamper attempts to hold it accountable for death and disease caused by
smoking. 

``Today's setback is deeply frustrating,'' said BMA science and research
adviser Dr Bill O'Neill. 

``The tobacco companies have built up huge coffers by exploiting smokers
over many years. They have used their financial might quite ruthlessly to
block action against them,'' he added. 

Shares in both companies moved ahead strongly on the ruling. 

Gallaher shares were up 24p, or almost six percent, at 444p at 1325 GMT
while Imperial rose 17p, or 2.3 percent, at 744p. 

Gallaher produces well known British brands such as Benson and Hedges and
Silk Cut while Imperial markets Lambert & Butler, John Player and Embassy. 

Imperial said that the action had begun in 1996 after Leigh Day & Co, one
of the two firms of solicitors involved, advertised for litigants. 

Judge Justice Wright had ruled earlier this month that eight of the claims
should be barred because they were not brought within a statutory
three-year time limit. 

Imperial and Gallaher have agreed not to enforce orders for costs in their
favour, save in certain specific circumstances, Imperial said.
------------------------------------------------------ 9:35 AM on 2/26/99