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Contingencies (Tables)
6 Months Ended
Jun. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Contingencies The changes in our accrued liability for tobacco and health and certain other litigation items, including related interest costs, for the periods specified below are as follows:
For the Six Months Ended June 30,For the Three Months Ended June 30,
(in millions)2024202320242023
Accrued liability for tobacco and health and certain other litigation items at beginning of period$346 $71 $364 $171 
Pre-tax charges for:
Tobacco and health and certain other litigation (1)
38 

52 20 40 
Shareholder derivative lawsuits (2)
 98  — 
JUUL-related settlements (3)
30 240 24 240 
Related interest costs 11  10 
Payments(263)(91)(257)(80)
Accrued liability for tobacco and health and certain other litigation items at end of period$151 $381 $151 $381 
(1) Includes judgments, settlements and fee disputes associated with tobacco and health and certain other litigation.
(2) See Shareholder Class Action and Shareholder Derivative Lawsuits - Federal and State Shareholder Derivative Lawsuits below for a discussion of the settlement of the federal and state shareholder derivative lawsuits.
(3) Includes the settlement of certain e-vapor product litigation relating to JUUL e-vapor products. See E-vapor Product Litigation below for a discussion of these settlements.
The table below lists the number of certain tobacco-related cases pending in the United States against us as of:
July 29, 2024July 27, 2023July 25, 2022
Individual Smoking and Health Cases (1)
177171162
Health Care Cost Recovery Actions (2)
111
E-vapor Cases
81 (3)
5,3264,030
Other Tobacco-Related Cases (4)
333
(1) Includes as of July 29, 2024, 23 cases filed in Illinois, 15 cases filed in New Mexico, 73 cases filed in Massachusetts, 11 cases filed in Oregon, three cases filed in Hawaii and 29 non-Engle cases filed in Florida. Does not include individual smoking and health cases brought by or on behalf of plaintiffs in Florida state and federal courts following the decertification of the Engle class (these Engle progeny cases are discussed below in Smoking and Health Litigation - Engle Progeny Cases). Also does not include approximately 664 Broin cases. For further discussion of the Broin cases, see Other Smoking and Health Class Actions below.
(2) See Health Care Cost Recovery Litigation - Federal Government’s Lawsuit below.
(3) In May 2023, we reached agreement on terms to resolve the majority of the Multidistrict Litigation lawsuits, and, in March 2024, the court granted final approval of the settlement. Pending final dismissal of these cases, as of July 29, 2024, the remaining cases include 21 individual cases that opted out of the settlement, 21 class action lawsuits (three class action lawsuits pending in Canada and 18 class actions participating in the settlement but pending dismissal) and one individual state court case relating to the Multidistrict Litigation. Also includes 38 cases brought by Native American tribes that are subject to a separate settlement. For further discussion of the Multidistrict Litigation settlement and the settlement of the cases brought by Native American tribes, see E-vapor Product Litigation below.
(4) Includes as of July 29, 2024, one inactive smoking and health case alleging personal injury and purporting to be brought on behalf of a class of individual plaintiffs and two inactive class action lawsuits alleging that use of the terms “Lights” and “Ultra Lights” constitute deceptive and unfair trade practices, common law or statutory fraud, unjust enrichment, breach of warranty or violations of RICO.
Currently Pending Engle Cases with Verdicts Against PM USA
(rounded to nearest $ million)
PlaintiffVerdict DateDefendant(s)Court
Compensatory Damages(1)
Punitive Damages
(PM USA)
Post-Trial Status
GarciaJune 2024PM USAMiami-Dade
$6 million
$10 million
Post-trial motions pending.
ChaconOctober 2023PM USAMiami-Dade
<$1 million
<$1 million
Appeals to the Third District Court of Appeal pending.
SchertzerApril 2022PM USA and R.J. ReynoldsMiami-Dade$3 million$0
Appeal to the Florida Supreme Court pending.(2)
LippSeptember 2021PM USAMiami-Dade$15 million$28 millionThird District Court of Appeal reversed and remanded for a new trial. Plaintiff's motion for rehearing pending.
McCallMarch 2019PM USABroward
<$1 million (<$1 million PM USA)
<$1 million
Appeal to the Fourth District Court of Appeal pending.
ChadwellSeptember 2018PM USAMiami-Dade
$2 million
$0
Third District Court of Appeal reversed the judgment in part and remanded for entry of a verdict reducing compensatory damages based on jury’s comparative fault finding.
Kaplan (McLaughlin)
July 2018PM USA and R.J. ReynoldsBroward
$2 million
$0
Appeal to the Fourth District Court of Appeal pending.
Cooper (Blackwood)
September 2015PM USA and R.J. ReynoldsBroward
$5 million
(<$1 million PM USA)
$0
Retrial of punitive damages claim pending.
(1) PM USA’s portion of the compensatory damages award is noted parenthetically where the court has ruled that comparative fault applies.
(2) Does not include a separate judgment against PM USA for $3 million in fees and costs. PM USA has appealed the fees and costs judgment to the Third District Court of Appeal, which has stayed the appeal pending Florida Supreme Court disposition of the merits appeal.
Engle Cases Concluded Within Past 12 Months
(rounded to nearest $ million)
PlaintiffVerdict DateDefendant(s)CourtPayment Amount for Damages (if any)
HoffmanJanuary 2023PM USAMiami-Dade$3 million
LevineSeptember 2022PM USA and R.J. ReynoldsMiami-Dade$1 million
DuignanFebruary 2020PM USA and R.J. ReynoldsPinellas$4 million
FerraiuoloNovember 2023PM USA and R.J. ReynoldsDuval
<$1 million
GarciaMay 2021PM USAMiami-Dade$3 million