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Liggett Tobacco settles with California

graphic April 3, 1997
Web posted at: 11:30 p.m. EST

LOS ANGELES (CNN) -- California has reached an agreement with the Liggett Tobacco Company to compensate the state for public health costs associated with tobacco-related illnesses.

California Attorney General Dan Lundgren announced the deal Thursday. It is similar to an agreement Liggett signed last month with the attorneys general of 22 other states, in which the company admitted targeting minors with cigarette advertising and having knowledge that smoking is addictive.

The agreement gives California access to internal tobacco company documents that could be used to pursue other tobacco companies, Lundgren said.

California was not among the 22 states that sued Liggett to obtain the documents and compensation because a special state law exempted tobacco companies from liability for tobacco use. Lundgren is trying to get that exemption repealed to clear the way for action against the tobacco industry.

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