Ontario court approves major $32.5B tobacco settlement

The Canadian Press

· Posted: Mar 06, 2025 7:05 PM EST | Last Updated: 1 hr ago

An Ontario tribunal has approved a historical $32.5 cardinal colony that volition spot 3 large baccy companies compensate provinces, territories and ex-smokers successful Canada.

In a ruling released today, Ontario Superior Court Chief Justice Geoffrey Morawetz called the support a "momentous accomplishment successful Canadian restructuring history."

The colony was archetypal projected successful October aft years of mediation betwixt the companies — JTI-Macdonald Corp., Rothmans, Benson & Hedges and Imperial Tobacco Canada Ltd. — and their creditors, which see plaintiffs successful 2 Quebec class-action lawsuits arsenic good arsenic provincial and territorial governments.

It was unanimously approved by creditors successful December and faced its last hurdle — support from the tribunal — implicit respective days of hearings that began precocious past month.

The program calls for the companies to wage much than $24 cardinal to provinces and territories implicit astir 2 decades, portion plaintiffs successful 2 class-action lawsuits successful Quebec volition get much than $4 cardinal to divided betwixt them.

Another $2.5 cardinal volition spell to compensate Canadian smokers not included successful the lawsuits, and much than $1 cardinal volition spell to a instauration to combat tobacco-related diseases. The wealth for the instauration besides includes $131 cardinal taken from the magnitude allocated to the Quebec plaintiffs.