Two new legal actions against Australian tobacco companies

Myriam Cauvin v Philip Morris & Ors,  NSW Equity Proceedings No. 2625 2002; NSW Common Law Proceeding No. 11301 of 2002

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Two new court actions have been commenced against the Australian tobacco companies in the NSW Supreme Court over the past week by Myriam Cauvin represented by Maurice May & Co. Solicitors.

Myriam Cauvin, from western Sydney, began experimenting with tobacco products at ten years of age, was regularly smoking by 13-15 years of age, developed breathlessness by 26, was diagnosed with emphysema in her early thirties and was given a life-saving lung transplant on 11 September 2001. She is on a disability pension and medication for life, treatment costs of which around $800 a week are paid by the Commonwealth Government PBS.

Equity Proceedings No. 2625 will be listed before the Equity Duty Judge Mr Justice Hamilton at 10am on Thursday 16^th May 2002. These proceedings are against Philip Morris and British American Tobacco (formerly known as WD& HO Wills and Rothmans) and tobacco retailers. This action seeks to establish a Fund of around $230M for the benefit of smokers who paid excise in the period 1 July 1997 to 5 August 1997 which was declared invalid by a High Court decision in 1997.  The Federal Government passed remedial legislation which was retrospective only to 5 August 1997 leaving 5 weeks of collected excise in the hands of the tobacco manufacturers. In December 2001, the High Court held that this money would be a “windfall” for the manufacturers or retailers but, in absence of a claim, or legislation, to benefit consumers, could not be retained by the manufacturers as against the retailers. This case seeks to establish that the $230M should not be retained by the manufacturers or the retailers but for the benefit of the consumers who paid the invalid taxes. The Fund would be used, amongst other things, to benefit tobacco consumers by providing services to the eight out of ten smokers who have tried to quit.

The Common Law Proceedings, No.11301, will be listed before the Common Law List Judge, Justice Whealy, on Tuesday 11 June 2002. These proceedings are against Philip Morris and British American Tobacco Australia (formerly known as WD& HO Wills and Rothmans) and the most recent entrant into the Australian cigarette market Imperial Tobacco, including their parent and related companies Philip Morris (New York), BAT (UK), Imperial (UK) and RJ Reynolds (US). This action, on behalf of Myriam Cauvin, a 39 year old lung transplant recipient, alleges that the Defendants and the companies represented by them have conspired over the past 25 years to mislead the Australian public about the harmful effects of smoking, the addictiveness of nicotine and the marketing strategies directed at children. The relief claimed includes:

• Reimbursing the Health Insurance Commission for medical treatment;

• Providing funding for medication without being a burden on the Pharmaceutical Benefits Scheme;

• Making provision for future medical expenses; and

• Providing compensation so persons with smoking related illness do not have to rely on taxpayer funded welfare benefits.

For more information, contact:

Anne Jones, Chief Executive Officer, ASH Australia   

Ph. (02) 93341876 or 0417 227879

Page last updated on 16/5/2002