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Tobacco firms ask dismissal of case / Growers charge antitrust breach 

Jump to full article: Richmond (VA) Times-Dispatch, 2000-07-01
Author: PETER HARDIN / Times-Dispatch Washington Correspondent

Intro:

Philip Morris and other cigarette makers are asking a federal court to throw out a lawsuit by about 6,000 tobacco growers and quota holders accusing the tobacco companies of violating federal antitrust law.

In a motion to dismiss the lawsuit filed Thursday, lawyers for Philip Morris contended the growers and quota holders essentially were attempting to preserve the federal tobacco program, and “that is clearly beyond the scope of the antitrust laws.”

“While the goal of the antitrust laws is to enhance competition and thus reduce prices, plaintiffs seek to invoke the antitrust laws to increase the price they are paid for tobacco and to ensure that the Federal Tobacco Program . . . is not replaced with a free market,” the tobacco companies said.

The cigarette companies also said the lawsuit failed to provide enough detail to back up its allegation that manufacturers manipulated the tobacco auction system.

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