Opinion
Civil Action 99-2496 (PLF)
05-26-2022
UNITED STATES OF AMERICA, Plaintiff, v. PHILIP MORRIS USA, INC., et al., Defendants.
ORDER #123 - REMAND
PAUL L. FRIEDMAN UNITED STATES DISTRICT JUDGE
On May 3, 2022, the parties informed the Court that “[a]fter extensive, months-long discussions and negotiations, [they] have reached an agreement in principle to settle the point-of-sale messaging portion of the corrective-statements remedy.” Joint Motion for Status Conference and Stay of Deadlines [Dkt. No. 6496] at 1. During the May 20, 2022 status conference, the parties further represented to the Court that they are currently working to reduce their agreement in principle into a proposed settlement, will seek this Court's approval of any settlement, and will request the Court's entry of a consent decree to enforce the terms of any settlement.
The parties therefore have asked the Court to schedule a fairness hearing to consider and approve any proposed settlement and consent decree. In the Court's view, convening such a fairness hearing will allow the Court to determine whether any proposed settlement is “fair, adequate, and reasonable, ” to consider the rights of retailers, and to hear any objections to the proposed settlement raised by any affected retailers, who will be notified of the parties' proposed settlement pursuant to a process yet to be determined. See United States v. Philip Morris USA Inc., 566 F.3d 1095, 1141-42 (D.C. Cir. 2009) (noting that the Court previously “exceeded its authority by failing to consider the rights of retailers and crafting an injunction that works a potentially serious detriment to innocent persons not parties to or otherwise heard in the district court proceedings” and remanding “to evaluate and ‘mak[e] due provision for the rights of innocent persons'” (alteration in original) (quoting 18 U.S.C. § 1964(a)).
Accordingly, it is hereby
ORDERED that the Court will convene a fairness hearing in this matter that will commence in the Ceremonial Courtroom (Courtroom 20) on July 19, 2022, beginning at 10:00 a.m., and will continue, as necessary, on July 20, 2022.
SO ORDERED.