1. Class actions have been commenced on behalf of Ontario flue-cured tobacco growers and producers against Rothman’s Benson & Hedges Inc. (“RBH”), Imperial Tobacco Canada Limited (“ITCL”), JTI-MacDonald Corp. (“JTI”). The plaintiffs are the Ontario Flue-Cured Tobacco Growers’ Marketing Board (the “Board”) and individual Ontario flue-cured tobacco growers and producers. The proposed class consists of growers and producers in Ontario who sold tobacco through the Board pursuant to agreements during the period January 1, 1986 to December 31, 1996.
THE CLASS ACTIONS
2. RBH, ITCL and JTI have settled civil claims by the federal and provincial governments in respect of those companies' roles in cross-border smuggling of tobacco. While the governments will be compensated for the losses they have sustained due to tobacco smuggling, the tobacco growers and producers, who claim they were underpaid for their crops, have not been compensated for their losses stemming from that same activity. The class actions are intended to achieve that purpose.
3. On November 5, 2009, a class action was commenced on behalf of Ontario flue-cured tobacco growers and producers against RBH.
4. On December 2, 2009, a class action was commenced on behalf of Ontario flue-cured tobacco growers and producers against ITCL.
5. On April 23, 2010, a class action was commenced on behalf of Ontario flue-cured tobacco growers and producers against JTI.
6. The class actions seek to recover the difference between the export price paid by the domestic manufacturers (RBH, ITCL and JTI) for Ontario tobacco at the Board’s auctions and the higher price they ought to have paid because the tobacco was actually intended for domestic use. The pricing and payment obligations were contained in the agreements negotiated annually by the Board on behalf of Ontario flue-cured tobacco growers and producers.
NEXT STEPS
7. The class actions are in the preliminary stages. The court will eventually set a timetable for the conduct of the actions, but that has not occurred yet.
8. A judge of the Ontario Superior Court of Justice will hear motions for certification of the class actions to determine whether the cases can proceed as class actions. The motion dates have not yet been set.
FURTHER INFORMATION
9. A list of frequently asked questions may be reviewed here.
10. If you have further questions about the class actions which are not answered on this website, please click here.
11. If you would like to learn more about how a class action works, please click here.
IMPORTANT NOTE
This website provides general information to potential class members on three class actions commenced against Rothman’s Benson & Hedges Inc., Imperial Tobacco Canada Limited and JTI-MacDonald Corp.. The court will ultimately decide who will be included as a class member.
The information collected about potential class members will assist counsel in prosecuting the class action and assessing what damages were suffered by the class as a whole. Providing the information requested does not make you a client of Sutts, Strosberg LLP.
The site is not designed to answer questions about your individual situation or entitlement. Do not rely upon the information provided on this website as legal advice in respect of your individual situation nor use it as a substitute for individual legal advice.
This website is updated from time to time to provide potential class members with further information.
