California Grants & Holds Punitive Damages Opinion in Tobacco Case

Punitive damages are, once, again, in the news. Last week, the California Supreme Court granted review in Bullock v. Philip Morris, a single plaintiff smoker case in which the court of appeal had affirmed $ 28 million in punitives. Philip Morris' petition presented two issues concerning the constitutionality of the punitive award: (1) does the 33:1 ratio of punitive to compensatory damages violate due process; and (2) should the jury have been instructed it can't impose punitives to punish the defendant for the effects of its conduct on non-parties. Bullock v. Philip Morris USA, Inc., formerly at 138 Cal.App.4th 1029, mod. 139 Cal.App.4th 588a, S143850, review granted 8/2/06.

However, the state high court will not be deciding these issues anytime soon. It deferred briefing pending the U.S. Supreme Court's decision in Philip Morris USA v. Williams (Ore. 2005) 127 P3d 1165, cert. granted 5/30/06, No. 05-1256.