Calif. Supreme Court Resurrects Class Action Suit Against Tobacco Industry

The California Supreme Court has ruled in favor of smokers who want to bring lawsuits against the tobacco industry for deceptive advertising, despite a 2004 ballot initiative that sought to limit such lawsuits, the Los Angeles Times reported May 19.

The 4-3 decision was seen as a significant departure from previous interpretations of Proposition 64 — a consumer law intended to put an end to “shakedown” lawsuits that primarily benefited lawyers, not plaintiffs. In ruling on the tobacco case Justice Carlos Moreno said the voters did not intend to constrain consumers from suing over legitimate concerns.

The proposition required plaintiffs in such cases to demonstrate that illegal acts by companies resulted in lost money or property. In the tobacco case, the defendants argued that each smoker in the class action would have to individually prove that they bought cigarettes because they were deceived by advertisements. However, the court ruled that such a requirement would “effectively eliminate the class action lawsuit as a vehicle for the vindication” of consumer rights.

Corporate litigators are concerned that the high court’s ruling will bring a new wave of frivolous lawsuits, while trial lawyers consider the decision a major victory for consumers.

Mark Robinson, the lawyer who brought the tobacco suit, said the ruling would not stop courts from recognizing and throwing out illegitimate suits. “The way Justice Moreno wrote this opinion is just a work of art,” Robinson said. “He really has protected the consumers of California.”