Thompson v. American Tobacco Co.

189 F.R.D. 544, 1999 U.S. Dist. LEXIS 18119, 1999 WL 1054681
CourtDistrict Court, D. Minnesota
DecidedNovember 22, 1999
DocketNo. Civ. 3-96-888 PAM/JGL
StatusPublished
Cited by56 cases

This text of 189 F.R.D. 544 (Thompson v. American Tobacco Co.) is published on Counsel Stack Legal Research, covering District Court, D. Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Thompson v. American Tobacco Co., 189 F.R.D. 544, 1999 U.S. Dist. LEXIS 18119, 1999 WL 1054681 (mnd 1999).

Opinion

MEMORANDUM AND ORDER

MAGNUSON, Chief Judge.

This matter is before the Court upon Plaintiffs’ Motion for Class Certification and Plaintiffs’ Motion to Reserve Individual Injury and Damage Claims. A class certification hearing was held on October 15, 1999 at which time the Court heard oral arguments in support of and in opposition to Plaintiffs’ motion. For the following reasons, the Court denies Plaintiffs’ motions.

BACKGROUND

Plaintiffs bring this suit alleging that Defendants, who are cigarette manufacturers, promoters, and distributors, engaged in an industry-wide fraudulent scheme to induce people to smoke and to keep them smoking. Specifically, Plaintiffs contend that Defendants induced people to smoke by falsely denying the existence of addictive and hazardous agents in their products, through advertisements and other means, and generally concealing the truth about their products from the public. (See Third Am.Compl. Till 18-42.) Plaintiffs further contend that Defendants engaged in “premeditated conduct to addict smokers” by not only placing nicotine, an addictive agent, in their products but also by “manipulating nicotine content to maximize its effect on smokers.” (Pis.’ Mem. in Supp. of Class Certification at 22.) Plaintiffs allege that this scheme has directly caused addiction and disease and has exposed them to serious latent illnesses, thereby necessitating Plaintiffs’ participation in smoking cessation and medical monitoring programs. (See Third. Am.Compl. KK 16, 18.) Plaintiffs have produced voluminous documentation in support of these factual allegations, many of which were generated in the Minnesota tobacco case. (See Pis.’ App.)

Plaintiffs assert that Defendants’ allegedly fraudulent course of conduct constitutes common law fraud and statutory fraud under Minn.Stat. §§ 325F.67, 325F.68, 325F.69, 325D.43. (See Third Am.Compl. KK 43-50.) Plaintiffs also allege that Defendants’ conduct entitles them to recovery under the novel tort of “medical monitoring.” (See id. KK 51-59.) Under these theories, Plaintiffs seek the following relief: disgorgement of profits; compensatory damages; the establishment of a smoking cessation program and a court-administered medical monitoring program funded by the Defendants; costs, prejudgment interest; and any other relief Plaintiffs are entitled to under the law. (See id. at 18.) Plaintiffs have moved to reserve the individual injury and damage claims and proceed only with the request for cessation and medical monitoring at this time. (See Pis.’ Mot. to Reserve Claims.)

[548]*548Plaintiffs seek to prosecute their claim as a class action, representing themselves and others similarly situated. Plaintiffs propose the following class for certification:

All Minnesota residents as of September 3, 1996, who, while residents of Minnesota, smoke or smoked cigarettes manufactured or promoted by the Defendants, and, who desire to participate in a program designed to assist them in cessation of smoking and/or monitor their medical condition to promote early detection of disease caused by, contributed to, or exacerbated by cigarette smoking. Expressly reserved from the class claims are any claims for personal injury.

(Third Am.Compl. 116.) By definition then, the proposed class includes current smokers who suffer from smoking-related illnesses; former smokers who suffer from smoking-related illnesses; current smokers who do not currently suffer from smoking-relating illnesses but who are at an increased risk of suffering from such illnesses; and former smokers who do not currently suffer from smoking-relating illnesses but who are at an increased risk of suffering from such illnesses. The class also includes “smokers” who simply want to stop smoking. This apparently includes individuals who are addicted to cigarettes and wish to stop smoking, individuals who are not addicted to cigarettes, but desire to stop smoking with the assistance of a cessation program, and individuals who no longer smoke but wish to participate in a cessation program in order to remain smoke-free. (See Pis.’ Mem. in Supp. of Class Certification at 45.) Plaintiffs do not place a qualitative threshold on class membership. That is, Plaintiffs do not define the term “smoker” or exclude individuals who have smoked as few as one cigarette manufactured or promoted by Defendants within the class period from the class. Therefore, the Court analyzes the proposed class as if such individuals are proper class members. The parties estimate that, if certified, the class would include approximately 700,000 individuals. (See Pis.’ Mem. in Supp. of Class Certification at 37; Defs.’ Mem. in Opp’n to Class Certification at 28.)

Defendants oppose class certification, arguing that Plaintiffs fail to meet the requirements of Rule 23 of the Federal Rules of Civil Procedure. For the reasons discussed below, the Court declines to certify Plaintiffs’ proposed class. Accordingly, the Court also denies Plaintiffs’ Motion to Reserve Individual Injury and Damage Claims.

DISCUSSION

A. Class Certification

Class certification is governed by Rule 23 of the Federal Rules of Civil Procedure. In order to satisfy the threshold requirements of Rule 23, the named plaintiffs must establish that: (1) the class is so numerous that joinder of all members is impracticable; (2) there are questions of law or fact common to the class; (3) the claims or defenses of the representative parties are typical of the claims or defenses of the class; and (4) the representative parties will fairly and adequately protect the interests of the class. See Fed.R.Civ.P. 23(a); see also Castano v. American Tobacco Co., 84 F.3d 734, 740 (5th Cir.1996). If these prerequisites are met, the named plaintiffs must then show that the action is maintainable under one of Rule 23(b)’s subsections. In this case, Plaintiffs’ proposed class is predicated on Rule 23(b)(2) and (b)(3). (See Third Am.Compl. H1I 12 and 13.) Accordingly, the Court may certify this class only if it finds that either: (1) Defendants have “acted or refused to act on grounds generally applicable to the class, thereby making appropriate final injunctive relief or corresponding declaratory relief with respect to the class as a whole,” or (2) “questions of law or fact common to the members of the class predominate over any questions affecting individual members, and that a class action is a superior to other available methods for the fair and efficient adjudication of the controversy.” Fed. R.Civ.P. 23(b)(2) & (3). The Court exercises broad discretion in determining whether such criteria are met. See Reiter v. Sonotone Corp., 442 U.S. 330, 345, 99 S.Ct. 2326, 60 L.Ed.2d 931 (1979); Parkhill v. Minnesota Mut. Life Ins. Co.,

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Bluebook (online)
189 F.R.D. 544, 1999 U.S. Dist. LEXIS 18119, 1999 WL 1054681, Counsel Stack Legal Research, https://law.counselstack.com/opinion/thompson-v-american-tobacco-co-mnd-1999.