Illinois Supreme Court Vacates $10.1 Billion Judgment Against Altria

By Chelsey Dulaney 

The Illinois Supreme Court on Wednesday vacated an appellate court ruling that had reinstated a $10.1 billion dollar judgment against Altria Group Inc. in a long-running lawsuit over the marketing of so-called "light" cigarettes.

The ruling stems back to a 2000 lawsuit by smokers against Altria's Philip Morris USA unit.

A landmark 2003 verdict ordering the multibillion-dollar judgment against the tobacco giant for marketing its cigarettes as "light" and "low tar" was overturned in 2005 by the state's highest court. Plaintiffs then petitioned a lower appeals court to hear the case anew, citing new information.

Last year, an Illinois appellate court reinstated the verdict, which Altria then appealed.

The Illinois Supreme Court ruled in its decision Wednesday that the appellate court didn't have the authority to vacate the judgment dismissing the order, as it came from a higher court.

An attorney representing the plaintiffs couldn't immediately be reached for comment.

Tobacco companies began selling "light," "mild," or "low tar" cigarettes in the 1970s that they marketed as less harmful because they had ventilated filters and less nicotine. Companies have been prohibited from labeling cigarettes as light or mild since 2010.

Machine tests indicated cigarettes labeled "light" were less harmful because the holes allowed air to dilute the tobacco smoke. But researchers say in practice, smokers cover the holes with their mouth or fingers.

Write to Chelsey Dulaney at [e-mail]

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(END) Dow Jones Newswires

November 04, 2015 15:50 ET (20:50 GMT)

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