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Lorillard Loses Case Against Legacy
August 24, 2005

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News Summary

The American Legacy Foundation's "truth" prevention ads, which slammed the tobacco industry for its business and marketing practices, didn't violate the terms of the 1998 nationwide tobacco settlement, a Delaware judge has ruled.

Bloomberg News reported Aug. 23 that Delaware Chancery Court Judge Stephen P. Lamb ruled against Lorillard Tobacco, which sued Legacy over the ads and was asking the courts to cut funding to the foundation, which was financed as part of the 1998 settlement.

"There are no scurrilous and vitriolic attacks" in the ads, said Lamb. "There is no cruel slander. There is no public ridicule or calumny."

Cheryl Healton, Legacy's president, said the decision "will allow our foundation to continue to tell American youths the facts about tobacco and the industry that markets its products to them. This decision will save hundreds of thousands of lives."

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