Australian states move to sue tobacco firms for $50bn
Australian states could jointly sue tobacco companies for up to $50 billion. The goal is to recover healthcare costs caused by smoking.
A former barrister who helped prove that secondhand smoke causes lung cancer proposed a new legal strategy. Australian state governments could sue tobacco companies for billions in public healthcare costs.
The South Australian government is formally seeking advice on the plan. Other states are reviewing it.
The proposal targets British American Tobacco, Philip Morris, and Imperial Brands. It argues they engaged in decades of misleading conduct.
They knew smoking caused serious disease. Under the plan, six state governments would pool resources.
They would run the case together in federal court. The author argues the companies could be held liable under consumer protection laws.
This avoids some challenges faced by individual smokers in personal injury cases. Similar lawsuits have succeeded in the United States and Canada.
- Up to 50 billion dollars
- Compensation sought
- Six state governments pooling resources
- States participating
Why it mattersIf successful, this could force the tobacco industry to pay the full cost of harm from their products. Right now taxpayers and smokers bear the burden.
AustraliaA successful case could recover billions for Australian public healthcare systems and fund smoking prevention and cancer screening across the country. It would represent the first collective state action against tobacco in Australia.
