Tobacco Firms Have Their Day in Australian Court

The case involves whether the country can require cigarettes to be sold in plain packaging with graphic images.

April 18, 2012

CANBERRA, Australia - British American Tobacco, Japan Tobacco, Philip Morris International and Imperial Tobacco all challenged the Australian prohibition on brand or company logos on cigarette packaging. This week, the case is before the seven judges of the High Court of Australia, Bloomberg Business Week reports.

The tobacco firms claimed that Australia€™s law making cigarettes be wrapped in plain packaging illegally seized their trademarks. The judges questioned that premise, given that brand names would appear on the packages.

"The name itself would be important for reputation and goodwill," said Justice Susan The plaintiffs claim the warning messages also required to be on the packs transform the packaging into a "political admonition that you should not smoke," said Bret Walker, an attorney for Imperial Tobacco. Crennan. "You and your competitors will all be in the same boat."

The Australian government has high hopes it will prevail, said Attorney General Nicola Roxon. "It€™s going to be a hard battle," she said. "Tobacco companies have made clear from the beginning that they will fight this battle in the courts."


The Australian ban will go into effect Dec. 1. Other countries contemplating a similar law, such as Belgium, Canada, France, Iceland and New Zealand, are closely following the case to see how the court rules. This week, the United Kingdom started
consultation talks about its own plain packaging law.

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