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NLIS 5
December 5, 2000
(Justice)

 

The following statement was issued today by Kelvin Parsons, Minister of Justice. It was also read in the House of Assembly:

Every year over 45,000 Canadians die as a result of tobacco related illness. In Newfoundland and Labrador alone, two people die every day as a result of illness caused by smoking. Government has incurred health care costs on behalf of thousands of individuals.

The negative effects of tobacco products on Newfoundlanders and Labradorians have placed a great financial burden on government in the provision of health care for people who have suffered illnesses due to tobacco use. Initial estimates indicate that tens of millions of dollars are spent in this province each year to treat people who have become ill due to smoking cigarettes. Government believes these costs should be borne by the tobacco industry.

Due to the insurmountable difficulty of proceeding with thousands of individual court claims, the proposed Tobacco Health Care Cost Recovery Act will provide an alternate method of claiming reimbursement of those costs. The bill will allow government to take direct legal action, on its own behalf, against the tobacco companies for the recovery of tobacco related health care costs.

The province will issue a Statement of Claim for the purpose of seeking the recovery of health care costs from tobacco companies. The bill, once it becomes law, will facilitate government�s court action.

Newfoundland and Labrador has also entered into a Collaboration Agreement with British Columbia to share legal research and other information related to potential claims against tobacco companies. We are also encouraging other provinces to take legal action, and several have shown interest in what this province and the Province of British Columbia are doing.

The government will also work with experts from Health Canada, the Canadian Cancer Society and Physicians for a Smoke-Free Canada in preparing this action.

Mr. Speaker:

In the United States, tobacco companies have paid State Governments in excess of $240 Billion as a result of legal actions commenced by State Governments to recover health care costs from these companies. It is time that the tobacco companies assumed their obligations to Canadian provinces, including our own, for the costs incurred by the health care system in treating tobacco related illnesses. With the introduction of this bill, the tobacco companies will be put on notice that this province will be seeking reimbursement for amounts expended by the health care system for treating illness which is the result of tobacco use.

It is with this sense of purpose that I bring this legislation foward.

2000 12 05 1:45 p.m.


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