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 | | Friday, 10 August, 2001, 04:20 GMT 05:20 UK Tobacco damages award slashed  The award was the largest ever for an individual A California judge has slashed from $3bn to $100m a damages award against Philip Morris in a claim filed by a smoker dying of lung cancer. Superior Court Judge Charles McCoy said that the original damages verdict against the firm was too high, setting an unfair precedent for future claims. Philip Morris said it would appeal the "grossly excessive" verdict. "Our appeal will request a complete reversal and retrial on multiple grounds, not the least of which was the passion and prejudice the jury displayed in reaching its verdict," the firm's lawyer said in a statement. The lawyer for Richard Boeken, the plaintiff, said a decision on whether or not to accept the reduced damages had not been made. Damage dispute In June, a jury in Los Angeles found Philip Morris liable for concealing the health dangers of cigarettes, awarding Mr Boeken $5.5m in compensatory damages and $3bn in punitive damages. The award was the highest-ever sum granted to an individual plaintiff.
The firm not only quibbled with the level of damages, but argued that the verdict itself should be thrown out because there was no direct evidence that Mr Boeken followed the tobacco industry's advice. Wall Street hailed the ruling as a victory for Philip Morris and a first step in its bid to have the entire award thrown out on appeal. "The concern was with $3bn, the flood gates were open," said Bonnie Herzog, analyst at Credit Suisse First Boston. "This helps to alleviate some of that concern." Claims pile up Since the mid-1990s, there have been six similar cases where individuals have won compensation from a tobacco company. But only one has resulted in someone actually receiving the money. He was a 70-year-old ex-smoker who received $1.1m from the Brown and Williamson tobacco company. Philip Morris is also involved in the biggest such case brought by smokers against tobacco companies. Last July, a jury in Florida returned a historic punitive damage award of $145bn in a class action lawsuit on behalf of all Florida's smokers. The case is pending a review by the US Supreme Court. | | See also:  Internet links: The BBC is not responsible for the content of external internet sites Top Business stories now:  Links to more Business stories are at the foot of the page. | |||||||||||||||||||||
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