Friday, 28 February 2025

Corporate objections to settlement plan are suddenly withdrawn

On February 27th a flurry of documents were submitted to the court managing the resolution of tobacco lawsuits in Canada. From these it appears that the companies have reached an agreement amongst themselves about how much each will contribute to the payments to provincial governments and their other victims.

This would appear to have removed the concerns previously expressed by Japan Tobacco and Rothmans, Benson and Hedges, who now state they support the plan. 

"The Monitor understands that the Tobacco Companies have now reached an agreement in principle to resolve all allocation issues under the CCAA Plans between them." (RBH Monitor)

"JTIM supports the sanctioning of the Third A&R CCAA Plan, and otherwise withdraws its previous objections, subject to the Court agreeing to the amendments and accepting the Third A&R CCAA Plan." (Aziz Affidavit)

This agreement will require court approval for the (minor) amendments to the proposed plans (pictured below). To authorize this, a hearing has been scheduled for next Monday (March 3rd) at 10:00 a.m. and will be viewable on YouTube.