(Formerly NCDA / NFGE)



Our Tobacco Lawsuit

July 1, 2000

    All casino dealers, and especially those in Nevada, should know the significance of October 8, 1997. It was on that date the NCDA filed a class action lawsuit against 18 tobacco companies, seeking damages for Nevada's casino dealers and charging the companies with knowingly and wrongfully exposing them to second hand smoke and thereby putting them at increased risk for cancer, lung and heart disease.

    There are literally dozens of lawyers from three separate law firms who are engaging Tobacco's legal hit team in battle. Tobacco has overwhelming resources and many scalps on their belt, but we sense that their luck is running out; the tide has turned. Like John Gotti, the Teflon Don, their time has come---the party's over!

    At present, the lawsuit is in the U.S. District Court of Nevada before Judge Phillip Pro. Tobacco is claiming they should not pay medical monitoring costs despite their wrongdoing. They do not deny that dealers were wrongfully exposed to toxic second hand smoke that causes cancer, as well as heart and lung disease. They do not deny that dealers, once made aware of these dangers, would seek medical monitoring to ensure detection of disease. They do not deny that this would mean additional expense for dealers subject to the toxic smoke. Nor do they deny that it was they that caused this additional financial burden on dealers.   

What they do deny is that they should pay for medical monitoring despite their wrongdoing. The costs, according to the tobacco companies, should be borne, not by the wrongdoers, but by the innocent parties---the dealers.

    The argument regarding medical monitoring has caused Judge Pro to ask the Nevada Supreme Court to rule on whether medical monitoring is allowed by Nevada statute. Of course, this causes more delay---the tobacco companies love delay.

    The tobacco companies and their "amici" (their resort owning friends) filed briefs with the Supreme Court asserting arguments with two central themes. The first is that if they allowed monitoring, the courts would be overwhelmed with cases. The second is that businesses in Nevada would suffer if they were required to bear the costs of medical monitoring for their misdeeds. And that, in turn, would lead to the misperception that Nevada was no longer "business friendly."

    Essentially, Tobacco's argument ignores the right and wrong of the case and focuses only on how a decision against their interests might indirectly hurt Nevada. Of course, we hope the Supreme Court will reject their arguments.

    We never thought this battle would be easy, but in the end, it will be worth all the effort. We will be issuing more situation updates as the case progresses.


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