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Bliley Brown & Williamson

Confidential Report Containing Legal Advice and Attorney Opinion Work Product Regarding Numerous Smoking and Health Issues Relevant to Litigation, Prepared by Outside Counsel for RJR, with Whom B&W Maintains A Common Legal Interest, and Forwarded to B&W in-House Counsel

Date: No date
Length: 924 pages
681879254-681879715
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REPORT
Author
Abrams, T.
Crist, P.
Kaczynski, S.
Marple, W.

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Page 1: 681879254
- I 9 9 ........................... s~)nss I XD~ 3dsuoD ............................. M_~IAK'~AO GNY /~{~54H~S "II ................................ uo3~z.~u~D~O "~ ................................ M=oM ~ eq~ ~nal £ .......... ~:oda~ X~.^~.~DV e~od~OD ;o adoos "D I ...................... uo3~eu:~o~uI ~o sa:)~nos
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Specific Examples of "Safer" Cigarettes ......................... 25 (I) Charcoal Filters ............. 25 (2) Low Gas Cigarette - Fact ..... 27 (3) Palladium Cigarettes ......... 27 ~ (4) Lower Tar and Nicotine i,~ ~ ....... ~ Cigarettes ................... 31 E Punitive Damages Issues 3~ ..... i. Ezamples o~ Punftfve Damages ~ssues .................................
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A. Grant Clarke ................... 38 .......... ~ ~ .....~.~ ............ ", ~ ~ ......... ih.. • The Kent Micconite Filter ........... 39 ................. ~.~_~ ...... ~ ...... c. Deceptive Cooperation with the . , Surgeon General ................... d. True Magazine ..................... 39 40 40 41 41 e. Criticism of Adverse Reports ...... f. Influencing the Media ............. Influencing the Insurance Industry .......................... CONSPIRACY ISSUES ................................ 43 The Maintenace of the Deadly Delusion of The Open Controversy ............................. 43 [ng Evidence and Documentat[an TIRC/CTR and TI as Acjents of "Open Controversy" Ads and Pu~Ztc :. Statements by TIRCIC~ and TI 47 :~;~ :~ ;~- :~=;'~=~;~':~." Industry "A~issions" Concerning the "Open Controversy" Position ....... 51 -:~.~.~=~=~i~ii~.:~ Reynolds Statements ............... 58 " ' The PuDlic Issues Campaign of Reynolds .......................... 60 "Moderation" as an A~ission ...... 60 Possible Industry Response ............. 60 - iii -
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CONFI[ ATTORNEY WORK ATTORNEY-~LI~ EGED The Gentlemen's Agreement .................... ,:'~',~L ~ ~i a ~ n t i f f s" Contentions ..................... Industry Response ................... 65 65 CORPORATE AWARENESS AND RESPONSIVENESS TO THE SMOKING AND HEALTH CONTROVERSY ................... 70 Corpo=ate Awareness ......................... 7O Plaintiffs' Contentions ..................... Supporting Testimony and Documentation ...... 72 72 a. Liggett ........................... 73 b. Reynolds .......................... c. Philip Morris ..................... 74 American ........................... Possible Industry Response Corporate Awareness ............ : ~ ,,, ,,~ rpor~e Responszveness ........... .., - ~ ,, .~ .... ~ < ~ ~ ':/~'~ ,' : " Y ................ -?"2,;,;~, Investigate ............................ ." "" '-:'~'~$~~-i'~' z~ O ~ .... ~' ':~ ~' ~::" "~"~~ ...... Supporting Evidence and Documentation -- 86 - -."~'~-~_., ~. O-w ~ • ~- ' '~':'~:~-~ -'" -~:~;~~"':~'::~" b ~ ~-eyno''s . ......................... ~7 . ...... ~:,-. ,.t.' ~ .~ . .... ~ " ..... I O 2 " ' " : '- c. Phili~ Morris ................. _ .............. ~ 104 d. Lo~ill~d ......................... 108 e . ~e~ica~ ..........................
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CONFIDENTIAL ATTORNEY ATTORNEY-CLIENT.:PRI~ILEGED • 2. ',TIRC;CTR's Failure to Investigate Pla~ntiffs" Contentions .................. 110 Supportlng Evidence and Documentati6"~'.~.~.%-~2 ..... 1 TIRC's Public and Private Agendas ... 112 -~ " TIRC/CTR's Public Relations Function ............................ 117 3. TIRC/CTR's Research Function ........ 132 4. LS, Inc ............................. 140 5. Lawyer Involvement .................. 141 a. Special Pro~ec:s ............... 142 b. CNS Research ................... 144 "Legal" Review of Grant Applications ................... 144 ~ibie Industry Response Responsiveness ...~ Individual Companies" F~ilure to Investigate ................. TIRC/CTR°s Failure to Investigate .................... 158 (i) Early Efforts: Smoke Constituent Analysis and ....... . .~ (2) (3) (4) Animal Inhalation Studies ................... 166 Other CTR Funded Projects .................. 172 LS, Inc ................... 173 -- V
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Pa 173 AM/k/ERE .................................. Plaintiffs ' Contentlons ................. ? 173 ~-,~_:.~h~ Supporting Testimony and Documentation ... 174 ~.:~,~,%>5..,.",, 182 183 " " 183 183 187 Possible Industry Response to AMAIERF Studies .................................. 0the£ Industry-Funded Research ........... Plaintiffs' Contentions .................. Supporting Testimony and Documentation ... Possible Industry Response to Other Research Projects ........................ 188 V. STRICT LIABILITY/NEGLIGENCE ISSUES ................. -.V~:~,;,~-:A :,~:!!,,~'he Risk/Benefit Test: Cigarettes Are ,-~ ~ "" :~ ' ~unno~tin~ Testimony and Documentation .... .,:,~.. 190 , ' , ~::~~, "'~T ,>~Possible Industry Response .................... 194 ,~:.~ ...... ,,.:.~ B.,~-'~'Des~gn Defect: Cigarette Manufacturers Have ~ ~ .... Failed ~o Design and/o~ Marke~ Safe~ ' ',. Cmgar~ttes .................................... ~ .- Pl~int~ffs' Contentions ....................... 195 Supporting Testimony and Documentation ........ 196
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Specific Examples of "Safer" Cigarettes .. (i) 197 Charcoal Filters .................... 198 (a) Health ClaimS for Charcoal Filters ........................ 200 (b) Challenges to the Efficacy of Charcoal Filters ............... (c) Admissions that Charcoal Filters Were not Salter ................ 210 Possible Industry Response - Charcoal Filters.. 214 (ii) Low Gas Cigarette - Fact ............ 214 (iii) Palladium Cigarettes: The Development of the "XA" Cigarette ............... 216 Possible Industry Response -.Palladium Cigarettes ..................................... 242 iv) Lower Tar and Nicotine Cigarettes ,~ . 247 Possible Industry Resgonse"" ~,o~ Tar and ..... (v) Nicoret te Gum ....................... Possible Industry Response - Nicorette Gum .... Warning Defect: Cigarette Manufacturers Failed to Warn Prio~ to 1966 and Then Gave ~ .~:~:An Inadequate Warning ......................... Plaintiffs' Contentions ....................... Supporting Testimony and Documentation ......... Possible ~ndustry Response .................... 252 ': :''~ .............. ' ~ ......... ...... 253 '
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06~ .............. ~u3 s3Q:a^p%, LB~ ...........
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0 291 a. In Genera i .......................... 291 bL~'~ ...... Hea1~h Claims fo~ FiIte~s .................................... 292 3. 1964 to Present: The Modern Era ......... 293 Plaintiffs" Contentions ....................... 293 Supporting Evidence and Documentation ......... 294 Adoption of the Cigarette Advertising Code ................................ 294 Possible Industry Response .................... 300 Cigarette Advertising Code Issues ... 302 b. Special Modern Era Advertising Issues .............................. 305 : r ~intiffs" Contentions/Supporting .......... ~ ,~, • and Oocumen~:at:~on ,,~ _~; ;.~;~';:~ 305 (iii) Stadia Bill Boards ............. 307 ~ ,,::,~ :;:r~, ~.~.~ ...... _,~ . _:. .... ..... Possible Industry Response .................... 309 (~) S~a~a B~boa~s .............. ~0~ (ii) Sampling ....................... ~I0 .................... ~ ....... 4. - Low Ta~/Charcea! Filte~s/L~w Gas Cigarettes ............................... 310 Plaintiffs" Contentions ....................... 310 - ix -
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Z~L Supporting Evidence and Documentation ( i i ) Tempo .......................... b. Low Gas Cigarettes .................. (i) Fact ........................... Possible Industry Response .................... 5. Cognitive Dissonance ..................... 310 313 314 315 315 316 320 Plaintiffs' Con~en:ions ....................... 320 Supporting Evidence and Documentation ......... 321 a. Smokers as Conflicted ............... 321 ~sitioning the Warning La~ei ~-~-~-~~[~-~__~ d. Label as Worn-Out ................... ..... -2~ ~ 327 -~"~'~,/~ possible Industry Response ..................... -~';/~ Supportsng Evidence and Documentation .......... ...... :- possible Industry Response .................... - X - 651579263 .....

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