Last week’s Supreme Court affirmation that the federal government has no third-party liability in tobacco suits by Canadian provinces may cost the industry billions, reported Postmedia News.

The ruling concerned cases in British Columbia, however Postmedia cited Erik Knutsen, a civil litigation expert from Queen's University in Kingston, Ontario, saying the court has emboldened all provinces contemplating damage suits. "I think it's probably a matter of days and weeks before the others are coming," he told Postmedia.
Tobacco companies had appealed suits by British Columbia for health costs tobacco-related illnesses and from consumers of “light” and “mild” cigarettes seeking both damages and punitive damages. The companies said the federal government also bore responsibility, and also should be held liable for potential damages.
British Columbia, Ontario and Alberta are among provinces in varying stages of seeking redress from tobacco companies. Ontaria reportedly wants CAD 50 billion (EUR 36.3 billion).
In a statement on 29 July, Imperial Tobacco Canada criticised the high court ruling. “Unfortunately, the Supreme Court of Canada has decided that the federal government is not accountable for its decisions and actions,” said Donald McCarty, Imperial Tobacco Canada’s vice president of law. “We nonetheless intend to set the record straight and believe it is important for the government of Canada to answer for its long and sustained involvement in the tobacco industry.” (ci)