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Saudi Arabia Sues Tobacco Industry for Billions in Health Costs
May 21, 2007

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News Summary

The Kingdom of Saudi Arabia is seeking more than $2.7 billion in payments from the tobacco industry to cover the expense of treating tobacco-related illnesses, Reuters reported May 19.

The Saudi health ministry said the massive damages award will be sought during a trial that will commence on Sept. 11. The ministry previously threatened to sue international tobacco companies if they did not voluntarily pay for treating tobacco-related illnesses among Saudi citizens.

The lawsuit demands a $2.67 billion lump sum payment plus about $133 million in annual payments for an undisclosed period of years. No companies were named in the suit, but British American Tobacco and Altadis are among the international tobacco firms that do business in the country.

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