Health
Tobacco Firms Lose Key Australia Plain Packet Case
Global tobacco firms lost a "watershed" court challenge to Australia's plain packaging laws for cigarettes on Wednesday in a closely-watched case health advocates said will have a worldwide impact.
The High Court of Australia ruled the measures, forcing cigarettes and tobacco products to be sold in drab, uniform packaging with graphic health warnings from December 1 this year, did not breach the country's constitution.
Four companies led by British American Tobacco (BAT) had challenged the law, claiming it infringed their intellectual property rights by banning brands and trademarks from packets, and was unconstitutional. But the court rejected the argument by BAT, Japan Tobacco International, Imperial Tobacco and Philip Morris that the law represented "an acquisition of (their) property otherwise than on just terms".
"At least a majority of the court is of the opinion that the Act is not contrary to (Australia's constitution)," the court said in a brief notice of judgment. The court's full reasons will be delivered at a later date, and the tobacco firms were ordered to pay the government's legal costs. They cannot appeal further in the Australian legal system.
Canberra estimates there are 15,000 deaths nationally each year from tobacco-related illnesses and that smoking costs more than Aus$30 billion (US$31.4 billion) a year in healthcare and lost productivity.
The High Court of Australia ruled the measures, forcing cigarettes and tobacco products to be sold in drab, uniform packaging with graphic health warnings from December 1 this year, did not breach the country's constitution.
Four companies led by British American Tobacco (BAT) had challenged the law, claiming it infringed their intellectual property rights by banning brands and trademarks from packets, and was unconstitutional. But the court rejected the argument by BAT, Japan Tobacco International, Imperial Tobacco and Philip Morris that the law represented "an acquisition of (their) property otherwise than on just terms".
"At least a majority of the court is of the opinion that the Act is not contrary to (Australia's constitution)," the court said in a brief notice of judgment. The court's full reasons will be delivered at a later date, and the tobacco firms were ordered to pay the government's legal costs. They cannot appeal further in the Australian legal system.
Canberra estimates there are 15,000 deaths nationally each year from tobacco-related illnesses and that smoking costs more than Aus$30 billion (US$31.4 billion) a year in healthcare and lost productivity.
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