Legal
State
Cigarette distributors drop suit against state (IL)
Cigarette distributors dropped their lawsuit against the state of Illinois over the sale of cigarette tax stamps prior to the $1 per pack tax increase. Initially, distributors were only allowed to purchase 25% more stamps than they purchased at the same time last year before the tax increase took effect, but a county judge in the state issued a temporary restraining order that specified that the state could not restrict the sale of tax stamps prior to the tax increase. As a result, a buying spree ensued where distributors bought about $40 million worth of tax stamps in two days during the week before the tax increase went into effect in late June. Following the tax hike, distributors now have to pay the new state tax of $1.98 before selling cigarettes to retailers. Click here to read more.
New court ruling on tobacco health warnings in stores (NY)
The 2nd U.S. Circuit Court of Appeals in Manhattan rejected a 2009 New York City policy that sought to require tobacco retailers to display graphic images that show the negative health risks of smoking cigarettes. The resolution was overturned by the court based on the notion that the Federal Cigarette Labeling and Advertising Act of 1965, which prohibited local or state authorities from posting health warnings near cigarette displays, was enacted first and should be upheld. However, the court did not address the possible placement of cigarette warning signs posted in locations other than the point-of-purchase or for non-cigarette tobacco products. Click here to read more.
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National
Supreme Court decision to uphold health reform law preserves vital tobacco prevention initiatives
The U.S. Supreme Court has upheld the Affordable Care Act (ACA) as constitutional, stating that a provision of the law known as the individual mandate, which requires most Americans to pay a penalty for not purchasing health insurance, can be considered a tax that Congress has the authority to collect. This court decision will allow implementation to move forward on nearly all aspects of the law. The ACA contains several disease prevention initiatives that will help reduce the health and financial burdens of tobacco use. Read more here. Click here to read a statement released by the Campaign for Tobacco-Free Kids regarding the court decision, and how it affects tobacco control efforts. The American Academy of Pediatrics’ Richmond Center for Excellence compiled a summary that explains what the Affordable Care Act means for tobacco control. Click here to view a listing of components specifically related to tobacco.
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