Liggett to Settle State, County Claims

Brooke Group Ltd. tobacco unit Liggett Group said it agreed to settle all health-related claims by California, San Francisco and 10 California counties. The settlement, which calls for Liggett to turn over internal industry documents and provide witnesses for lawsuits against other cigarette makers, mirrors a March 20 agreement with 22 states suing the $50-billion-a-year industry. That settlement calls for Liggett to pay 25% of its pretax profit annually for the next 25 years. San Francisco was the first local government to sue the tobacco companies. California Atty. Gen. Dan Lungren told reporters, “The real fruit of this settlement will be in the potential evidence that California will now gain access to.”