Frequently Asked Questions
- What are the lawsuits about?
- Who is a member of the Settlement Class?
- What can I get from the Settlement?
- What else does the Settlement provide?
- How do I get a payment?
- How can I exclude myself from the Settlement?
- What is the Fairness Hearing and when does it occur?
- How can I get additional information?
1. What are the lawsuits about?
Plaintiffs, on behalf of themselves and all other similarly situated individuals in California, have alleged that U.S. Smokeless Tobacco and related entities (collectively, “U.S. Smokeless Tobacco”) engaged in sales practices that made it possible for U.S. Smokeless Tobacco to monopolize the market for moist smokeless tobacco products in violation of the antitrust and/or consumer protection laws of the State of California. Plaintiffs allege that, as a result of U.S. Smokeless Tobacco’s alleged conduct, Class Members were injured because they paid more for U.S. Smokeless Tobacco moist snuff tobacco products than they would have absent the alleged conduct.
U.S. Smokeless Tobacco expressly denies that it engaged in any wrongful or illegal sales practices or other conduct, and has asserted numerous defenses to the Plaintiffs’ claims in the Litigation. The Court has not decided in favor of the Plaintiffs or U.S. Smokeless Tobacco. Instead, both sides agreed to enter into negotiations, and the parties reached this settlement with the help of a neutral mediator. This Settlement is not to be construed as an admission or concession of liability by U.S. Smokeless Tobacco. Given the expense and duration of any trial and/or appeal and the uncertain outcome and risks of litigation, Plaintiffs and Class Counsel have concluded that this settlement is in the best interests of the settlement class. On November 5, 2007, the Court entered an order granting preliminary approval of the Settlement Agreement, and ordered that this website be made available to the members of the settlement class.
THE COURT HAS NOT RULED ON ANY OF THE CLAIMS OR DEFENSES OF THE PARTIES, AND THIS WEBSITE IS NOT AN EXPRESSION OF ANY OPINION BY THE COURT REGARDING THE MERITS OR LACK THEREOF OF ANY OF THE CLAIMS OR DEFENSES ASSERTED BY PLAINTIFFS OR DEFENDANTS.
2. Who is a member of the Settlement Class?
The settlement class consists of the following:
“All persons who purchased moist snuff products, indirectly from defendants, in the State of California from January 1, 1990, through October 17, 2007 (‘Class Period’) for their own use and not for resale. Specifically excluded from the Class are the defendants herein; officers, directors, or employees of any defendants; any entity in which any defendant has a controlling interest; the affiliates, legal representatives, attorneys, heirs or assigns of any defendant. Also excluded are any federal, state or local governmental entity, and any judge, justice, or judicial officer presiding over this matter and the members of their immediate families and judicial staffs.”
U.S. Smokeless Tobacco’s moist smokeless tobacco products include: Copenhagen®, Skoal®, Rooster®, Red Seal®, Bandits®, Pouches® and Husky® (and including the different cuts and/or flavors thereof).
You need not take any action to remain in the settlement class and your rights as a beneficiary of the Settlement Agreement will be represented by Plaintiffs.
The Settlement Agreement was approved by the Court on March 12, 2008. The judgment binds all persons in the class who did not timely exclude themselves (as described below in Frequently Asked Question #6), and their claims against the Defendants are forever released and dismissed. Class members can request a share of the Settlement Fund by postmarking a Claim Form on or before April 10, 2008.
3. What can I get from the Settlement?
The proposed settlement provides for the payment of $96 million by U.S. Smokeless Tobacco into a Settlement Fund. The Court has approved the proposed settlement and eligible Class Members may receive cash payments up to $585 as described in the Notice of Class Action Settlement.
To download a Claim Form please click here.
4. What else does the Settlement provide?
Under the Plan of Distribution, at least $5 million of the Settlement Fund will be distributed cy pres to charitable or non-profit organizations in California in satisfaction of the claims of Class Members who purchased fewer than thirty cans of Moist Smokeless Tobacco Products indirectly from U.S. Smokeless Tobacco during each of three specified time periods.
To make a claim for a cash payment, you must fill out a Claim Form under oath. Valid and timely claimants may receive $195, $390 or $585 payments from the Settlement Fund depending upon the amount and length of time of their purchases of Moist Smokeless Tobacco Products, and upon the number of valid and timely claims received from all Class Members.
Specifically, claimants may be eligible to receive a $195 payment for each of the following time periods during which they purchased 30 or more cans of U.S. Smokeless Tobacco moist snuff:
- Purchase Period A: Any time from January 1, 1990 to December 31, 1995;
- Purchase Period B: Any time from January 1, 1996 to December 31, 2001;
and/or - Purchase Period C: Any time from January 1, 2002 to October 17, 2007.
Claimants may claim for one or more Purchase Periods and any combination of Purchase Periods, and may receive $195, $390 or $585. A pro-rata reduction of the estimated payment amounts may be made depending upon the settlement funds available for such payments and the total number of valid and timely claims made by Class Members.
The deadline for filing a Claim Form was April 10, 2008. This deadline has now passed.
6. How can I exclude myself from the Settlement?
The deadline for submitting timely requests for exclusions in this matter has passed.
Anyone electing to be excluded from the class must have submitted a written request for exclusion to the Settlement Administrator so that it was postmarked on or before January 25, 2008. The name, address, and phone number of the Settlement Administrator to whom your written request for exclusion must have been mailed is as follows: California U.S. Smokeless Tobacco Settlement Administrator, c/o Rosenthal & Company LLC, P.O. Box 6175, Novato, CA 94948-6175, 1-888-271-6739.
The request must have indicated the person’s name and address. Members of the settlement class may not exclude themselves by filing such requests for exclusion as a group. However, multiple persons may use the same notice to transmit their respective requests for exclusion, but each such person must be individually and specifically identified within the notice and sign the notice.
IF YOUR REQUEST FOR EXCLUSION SENT TO THE SETTLEMENT ADMINISTRATOR WAS POSTMARKED ON OR BEFORE JANUARY 25, 2008, YOU WILL RETAIN YOUR RIGHTS, IF ANY, TO PURSUE AVAILABLE REMEDIES AGAINST THE DEFENDANTS AT YOUR OWN COST AND EXPENSE. YOU MUST HAVE SUBMITTED A REQUEST FOR EXCLUSION EVEN IF YOU HAVE ALREADY FILED OR YOU INTEND TO FILE A LAWSUIT AGAINST THE DEFENDANTS CONCERNING THE ALLEGED CONDUCT.
7. What is the Fairness Hearing and when does it occur?
The Court held a Fairness Hearing at 9:30 a.m. on March 12, 2008, in the Courtroom of the Honorable Richard A. Kramer, Judge of the San Francisco Superior Court, Department 304, 400 McAllister Street, San Francisco, California 94102.
At the Fairness Hearing, the Court considered, among other matters, whether the Settlement Agreement should be granted final approval as fair, adequate and reasonable, and in the best interests of Class Members. The Court also reviewed and approved the proposed Plan of Distribution. At the Fairness Hearing the Court granted final approval for the Settlement. The Judgment Upon Order Granting Final Approval of Settlement and Dismissing Action Against Settling Defendants With Prejudice can be viewed by clicking here.
8. How can I get additional information?
This website only contains a summary of the proposed Settlement Agreement. You may appear in person during regular business hours at the Clerk’s office of the San Francisco Superior Court, 400 McAllister Street, San Francisco, California and review the Settlement Agreement in its entirety, as well as the pleadings, records and other papers on file with the Court.
The Settlement Agreement is also available by clicking here.
If you need further information, please contact the California U.S. Smokeless Tobacco Settlement Administrator by calling toll-free, 1-888-271-6739, or by mail at: P.O. Box 6175 , Novato, CA 94948-6175. All questions you may have concerning the Settlement Agreement or the Notice should be directed to the Settlement Administrator, at the address listed above.
PLEASE DO NOT TELEPHONE OR ADDRESS INQUIRIES TO THE COURT.