MONTREAL -- An anti-tobacco lobby group says a judge has awarded $15 billion to Quebec smokers in a landmark case that pitted them against three Canadian tobacco giants.
Throat cancer and lung cancer smoking victims will be eligible for between $80,000 to $100,000 in compensation while victims of smoking-related emphysema will be eligible for compensation of between $24,000 to $30,000 according to the ruling.
The Quebec Council on Tobacco and Health says Superior Court Justice Brian Riordan's decision was made public today following nearly three years of testimony and six months of deliberations. The judge ordered $1 billion to be paid immediately. Legal appeals - already pledged by the the three tobacco companies targeted - could delay the distribution of the rest.
The plaintiffs included just over one million Quebecers who argued the companies were liable because they knew they were putting out a harmful product and hid the health effects of tobacco.
The class-action suit involved two separate groups of plaintiffs: some who became seriously ill from smoking and others who said they couldn't quit.
Two of those big tobacco firms -- JTI-Macdonald and Imperial Tobacco -- have already reacted to Riordan's ruling and say they'll appeal the decision.
The industry argued people knew about the risks of smoking and that the products were sold legally and with federal government approval.
The trial stemmed from two cases that were originally filed in 1998 before being certified and consolidated in 2005. It began sitting in 2012.
The case heard from 78 witnesses over 234 days in a giant Montreal courtroom.
The $17.8-billion lawsuit was believed to be the biggest class-action ever seen in Canada.
"The Quebec judicial system was capable of bringing this suit to a term, we’re the only province in Canada where the suit was able to work and it’s thanks to the system and judge Riordan who was able to guide this ship," said lawyer Andre Lesperance. "One section that struck in the judgment was that, 'in choosing to not inform the authorities or public of what they knew, these companies chose their profits at the expense of their customers.'"
Lawyer Bruce W. Johnston said that it was his company's first class-action effort when they kicked it off in 1998. "We joked among ourselves that we’d start with an easy one. It was only half a joke because it should have been very easy to hold accountable an industry that produces an addictive and deadly product and lies about it and yet we know the tobacco industry would leave no stone unturned to prevent us to get to the point where we are now," said Johnston.
Widow happy with ruling
For Lise Blais, the judgment was bittersweet. One of the two lawsuits that eventually merged into one was filed by her husband, Jean-Yves Blais, shortly before he died of lung cancer in September 2012 at the age of 68. She attended a news conference in Montreal on Monday afternoon and urged people to quit smoking. "Your health is completely lost," she said as she clutched photos of her late husband.
In an interview in March 2012, Blais said he had tried to quit "five or six times in the last 14 years," although some of the remedies triggered depression. "I smoke a little more than one package a day -- maybe 30 cigarettes a day," he said.
Quebec Superior Court Justice Brian Riordan's long-awaited 276-page decision was made public following years of testimony and another six months of deliberations.
The three firms will split the $15.6 billion according to a responsibly set out by the court -- 67 per cent will fall to Imperial Tobacco ($10.5 billion), 20 per cent to Rothmans, Benson & Hedges ($3.1 billion) and 13 per cent to JTI-Macdonald ($2 billion).
The judgment calls on the three companies to issue initial compensation of a total of more than $1 billion in the next 60 days, regardless of whether they elect to appeal.
All three Big Tobacco firms reacted immediately to Riordan's ruling and said they'll appeal the decision.
The Quebec case marked the first time tobacco companies had gone to trial in a civil suit in this country and involved two separate groups of plaintiffs: some who became seriously ill from smoking and others who said they couldn't quit.
More than one million Quebecers were represented and argued the companies were liable because they knew they were putting out a harmful product and hid the health effects of tobacco.
The initial $17.8-billion lawsuit was believed to be the biggest class-action ever seen in Canada.
"Today marks an important day for the victims of tobacco who have waited almost 17 years for this moment," said Mario Bujold, executive director of the Quebec Council on Tobacco and Health.
The industry argued people knew about the risks of smoking and that the products were sold legally and with federal government approval and strict regulation.
"These cases are far from over," RBH spokeswoman Anne Edwards said in a statement. "We will vigorously appeal this lower court's judgment, and believe that we have very strong legal grounds to overturn the judgment in its entirety."
JTI-Macdonald said Canadians have been well aware of the health risks since the 1950s and health warnings have been on packages for more than 40 years.
"JTI-Macdonald Corp. fundamentally disagrees with today's judgment and intends to file an appeal," it said in a statement. "The company strongly believes that the evidence presented at trial does not justify the Court's conclusions."
Since the 1950s, Canadians have had a very high awareness of the health risks of smoking, the company noted. That awareness has been reinforced by the health warnings printed on every legal cigarette package for more than 40 years.
Imperial Tobacco added its disapproval Monday.
"We believe there are strong grounds for appeal and we will continue to defend our rights as a legal company," said Tamara Gitto, vice-president law and general counsel for Imperial.
The trial stemmed from two cases that were originally filed separately in 1998 before being certified and consolidated in 2005. The case began sitting in 2012.
Cecilia Letourneau filed on behalf of the province's smokers who were addicted to nicotine and remained addicted or who died without quitting.
The other was filed by Blais and sought compensatory and punitive damages for smokers who'd suffered from cancer in their lungs, larynx or throat, or emphysema.
The council says some 918,218 Quebecers qualified under Letourneau's action while 99,957 qualified under Blais.
The case heard from 78 witnesses over 234 days in a giant Montreal courtroom as well as several weeks of final arguments.
-With files from the Canadian Press
