RJ Reynolds News

RJ Reynolds Settles California Lawsuit

At a glance:

A lawsuit that has been dragging on since 1999 was finally settled by the State of California and RJ Reynolds Tobacco Co. 
 
The State sued after RJ Reynolds gave away free cigarettes at public events, which is against the law in California. 
 
One-fifth of the $5 million settlement will go to the Public Health Institute, to fund anti-smoking programs.


RJ Reynolds to Settle State Lawsuit for $5 Million

Los Angeles Times - 5/9/2006 3:02 AM

R.J. Reynolds Tobacco Co. will pay $5 million to resolve a suit brought by California over the free distribution of cigarettes at a hot rod race, a jazz festival and other public events, the state attorney general's office announced Monday.
 
Under the settlement, the tobacco maker will pay a civil penalty of $3.1 million, plus $1 million to the Public Health Institute, a nonprofit organization that will use the money to fund smoking prevention and tobacco control advocacy programs, and $900,000 to cover costs incurred by the state attorney general's office.

 
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