January Trial Date Set for N.Y. Lawsuit

Major tobacco companies will face trial in January in a lawsuit by more than 20 Blue Cross and Blue Shield health plans that claim they’ve spent billions of dollars treating sick smokers. U.S. District Judge Jack Weinstein in Brooklyn, N.Y., rejected the tobacco companies’ motions to dismiss the suit and set the trial for Jan. 12. The suit seeks as much as $25 billion in damages, said Vincent FitzPatrick, attorney for the plaintiffs. About 45 Blue Cross plans sued the industry in New York, Chicago and Seattle. The Seattle case was dismissed and a Chicago judge is expected to make a decision next month, FitzPatrick said. Among the three suits, the New York case is the biggest in terms of damages sought and “by far the biggest suit against the tobacco industry,” FitzPatrick said. An attorney for Philip Morris Cos. declined to comment on the decision. The suits allege fraud, conspiracy and violation of antitrust and anti-racketeering laws.