RJ Reynolds to Settle State Lawsuit for $5 Million
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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