Philip Morris Asia Limited launched its challenge against the Australian government in 2011, seeking to rely on an argument that the ban on trademarks breached foreign investment provisions of Australia’s 1993 Investment Promotion and Protection Agreement with Hong Kong. Earlier this month, the Singapore Ministry of Health also announced that from 2017, shops here will have to keep all tobacco products out of sight of customers.
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“The tobacco industry’s campaign against plain packaging in Australia is more ferocious than anything I have seen in the 40 years I have been working in this area”. This was dismissed by the High Court in 2012.
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Australian government has won a legal battle against tobacco company Philip Morris Asia over plain packaging for tobacco products.
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Philip Morris said it was reviewing the decision in detail to consider its next options, but sought to head off suggestions that other countries should follow suit.
In addition to banning tobacco companies’ logos and colors, the legislation allows for graphic images of lung cancer and other tobacco-induced health problems to be displayed on every pack of cigarettes.
Legislation for plain packaging was introduced to Parliament in 2014 but it has been put on hold until after the WTO dispute is over.
The Tribunal is expected to publish the decision on its website as soon issues regarding confidentiality have been resolved.
“There is nothing in today’s outcome that addresses, let alone validates, plain packaging in Australia or anywhere else”, Philip Morris global senior vice president and general counsel Marc Firestone said in a statement on Friday.
Professor Mike Daube, who chaired the government expert committee that recommended the laws, said the federal government, and former Labor health minister Nicola Roxon, who led the charge for plain packaging, should feel vindicated.
On Friday the tribunal in the arbitration agreed unanimously with Australia’s position that it had no jurisdiction to hear the company’s claim.
“They are the big losers, but the thousands who will not die from smoking are the winners”.
“Smoking in Australia is falling in adults, in children and by tobacco volume sales”.
“Plain packaging is a legitimate public health measure which is consistent with Australia’s global legal obligations”, she said in a statement.
– AFP pic, December 18, 2015.An Australian law requiring cigarettes to be sold in plain packaging has received a boost after an worldwide tribunal said it would not hear a tobacco company’s legal challenge.
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The United Kingdom is also facing legal action from tobacco companies over its plain-packaging legislation, due to take effect next May.
