Tobacco Firms to Settle $32.5B Canada Lawsuit

Three major tobacco companies—JTI-Macdonald Corp., Imperial Tobacco Canada Ltd., and Rothmans, Benson & Hedges—are poised to settle with Canadian provinces and individuals for $32.5 billion over health impact claims. The deal follows litigation dating back to 1998, including class-action lawsuits in Quebec which a court had previously ruled required the companies to pay billions in damages. The settlement allocates $24.8 billion to healthcare systems and $6.5 billion directly to smokers and their heirs, the latter stemming from illnesses linked to tobacco. Critics argue that while this is a significant step, the financial restitution does not fully address the health impacts or guarantee funds will be used for tobacco-related health initiatives. Approval of the deal is pending further negotiations, creditor votes, and court validation. If approved, this will be the largest tobacco settlement globally, marking a significant legal precedent against the tobacco industry.