In 1998 a few states including California and New York sued and settled with tobacco companies for a sum of $206 billion. The money was to be put toward health care for the ailing health of smokers.
However as of 2006 the tobacco companies have yet to pay and Calfornia has sued to recieve their money. The cigarette producers say that they don’t owe them any money because the agreement signed says they don’t have to pay if their stocks fell, and their stocks did fall.
California Atty. Gen. Bill Lockyer filed the lawsuit to keep the companies from taking back more than $154 million that they owe that state. New York has also said that they would sue to get their share that is owed to them.