Castano v. American Tobacco Co.

870 F. Supp. 1425, 1994 U.S. Dist. LEXIS 20322
CourtDistrict Court, E.D. Louisiana
DecidedNovember 15, 1994
DocketCiv. A. 94-1044, 94-3000
StatusPublished
Cited by9 cases

This text of 870 F. Supp. 1425 (Castano v. American Tobacco Co.) is published on Counsel Stack Legal Research, covering District Court, E.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Castano v. American Tobacco Co., 870 F. Supp. 1425, 1994 U.S. Dist. LEXIS 20322 (E.D. La. 1994).

Opinion

HEEBE, District Judge.

This cause came on for hearing on a previous day on the motion of defendants, The *1430 American Tobacco Co., R.J. Reynolds Tobacco Co., Philip Morris Inc., Liggett and Myers, Inc., Liggett Group Inc., Brooke Limited, Lorillard Tobacco Co., Lorillard, Inc., Brown and Williamson Tobacco Corp., United States Tobacco Corp., and the Tobacco Institute, Inc., to dismiss pursuant to Fed. R.Civ.P. 12(b)(6) on the bases of prescription and preemption.

The Court, having heard the arguments of counsel and having read the legal memoran-da submitted by the parties, is now fully advised in the premises and ready to rule.

REASONS

Plaintiffs, Dianne Castaño, Ernest Perry and George Solomon, filed this lawsuit on March 29, 1994 and later filed an amended complaint against the major American tobacco companies and their subsidiaries, The American Tobacco Co., Inc., American Brands, Inc., R.J. Reynolds Tobacco Co., R.J.R. Nabisco, Inc., Brown & Williamson Tobacco Corp., Batus, Inc., Batus Holdings, Inc., Philip Morris, Inc., Philip Morris Companies, Inc., Liggett & Myers, Inc., Liggett Group, Inc., Brooke Group, Ltd., Lorillard Tobacco Co., Inc., Lorillard, Inc., Lowes Corp., United States Tobacco Co., UST, Inc., along with the trade association to which the tobacco companies belong, The Tobacco Institute, Inc. The plaintiffs filed their action on behalf of a yet-to-be-certified class of “all nicotine dependent persons in the United States.”

The plaintiffs allege numerous claims: fraud and deceit, negligent misrepresentation, intentional infliction of emotional distress, violation of consumer protection statutes, breach of express warranty, breach of implied warranty, negligence, strict liability, redhibition, and equitable relief. Plaintiffs’ claims are based on their contention that defendants intentionally failed to disclose, and in fact concealed, knowledge that nicotine is addictive and that defendants manipulate nicotine levels in their cigarettes for the purpose of addicting consumers to then-products and sustaining that addiction.

Several of the defendants, The American Tobacco Co., R.J. Reynolds Tobacco Co., Philip Morris Inc., Liggett and Myers, Inc., Liggett Group Inc., Brooke Group Limited, Lorillard Tobacco Co., Lorillard, Inc., Brown & Williamson Tobacco Corp., United States Tobacco Co., and the Tobacco Institute, Inc., filed this motion to dismiss, pursuant to Fed. R.Civ.P. 12(b)(6), on the bases of prescription and preemption. Plaintiffs oppose this motion to dismiss as to any and all of their claims.

For the purpose of considering a motion pursuant to Fed.R.Civ.P. 12(b)(6), the Court must take the plaintiffs’ allegations as true, view them in the light most favorable to the plaintiffs, and draw all inferences in favor of plaintiffs. Kaiser Aluminum & Chemical Sales, Inc. v. Avondale Shipyards, Inc., 677 F.2d 1045, 1050 (5th Cir.1982). Dismissal under Rule 12(b)(6) is not appropriate unless it appears beyond a doubt that the plaintiff can prove no set of facts in support of his claim which would entitle him to relief. Baton Rouge Bldg. & Constr. Trades Council v. Jacobs Constructors, Inc., 804 F.2d 879, 881 (5th Cir.1986).

PRESCRIPTION

Defendants argue, first, that the plaintiffs’ claims are time-barred under the Louisiana law of prescription. Under Louisiana law, tort claims are barred unless they are brought within one year from the day injury or damage is sustained. La.Civ.Code art. 3492 (West 1994). The Louisiana Supreme Court has established that “prescriptive statutes are to be strictly construed against prescription and in favor of the obligation sought to be extinguished; of two possible constructions, that which favors maintaining, as opposed to barring, an action should be adopted.” Bustamento v. Tucker, 607 So.2d 532, 537 (La.1992) (citations omitted).

The plaintiffs’ claims, as stated in the complaint and the amended complaint, are based on injuries which they allege were caused by tortious actions by the defendants; the allegedly tortious actions span many years, from several decades ago to early 1994. “When a petition reveals on its face that prescription has run, the plaintiff has the burden of showing why the claim has not prescribed.” Wimberly v. Gatch, 635 So.2d 206, 211 (La. *1431 1994). Plaintiffs contend that their claims have not prescribed because either: (1) the continuous tort doctrine applies, preventing prescription from running, or (2) prescription was suspended or interrupted under the doctrine of contra non valentem.

The parties argue about whether the plaintiffs allege a “continuous course of conduct” by the defendants, so that the rules unique to “continuing torts” should apply. If a tort arises from continuous conduct, a cause of action does not accrue, and prescription does not begin to run, until the conduct is abated. South Central Bell Telephone Co. v. Texaco, Inc., 418 So.2d 531, 533 (La.1982).

Plaintiffs contend that the defendants’ advertising and running of public relations campaigns are continuing tortious actions. Plaintiffs also claim that defendants’ concealment of documents constitutes a continuous tort.

In GHR Energy Corp. v. Carboline Co., 744 F.Supp. 1405, 1407 (E.D.La.1990) (Mentz, J.), the Court held that the continuing tort doctrine and the notion of abatement cannot logically be applied to a claim of concealment of a product defect. The Court explained that failure to warn claims would never prescribe if the notion of abatement was applied; the claims would be timely as long as the defendant failed to make some kind of voluntary disclosure or continued to sell the challenged product or to make the challenged statements. Id.

As will be discussed below, plaintiffs’ claims are not claims of failure to warn; consequently, GHR Energy Corp. does not govern the outcome of this motion. The Court finds that plaintiffs’ allegations of fraud and deceit fit the definition of “continuing torts.” Therefore, the burden of proof is on the defendants to show that the plaintiffs’ action has prescribed. Bustamento, 607 So.2d at 542. The defendants have not shown that the allegedly tortious conduct has abated; therefore, they have not satisfied their burden of proof on the issue of prescription. South Central Bell, 418 So.2d at 533. Accordingly, the motion to dismiss on the basis of prescription is denied. The Court need not address the applicability of the doctrine of contra non valentem.

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Bluebook (online)
870 F. Supp. 1425, 1994 U.S. Dist. LEXIS 20322, Counsel Stack Legal Research, https://law.counselstack.com/opinion/castano-v-american-tobacco-co-laed-1994.