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A Contract is a Contract

 The 4th District Court of Appeal affirmed the underlying trial court that held Reynolds remained liable for the annual settlement payments to the state of Florida despite Reynolds’ Asset Purchase Agreement (“APA”) with ITG.  That entity, ITG, was to assume “all Liabilities under the State Settlements in respect of the Acquired Tobacco Cigarette Brands that relate to the period after the Closing Date.”  Neither Reynolds nor ITG made the required annual payment to the State of Florida arising under the prior Florida Settlement Agreement that required large annual payments to be made in perpetuity by Reynolds.

See link: https://www.4dca.org/content/download/641672/7288381/file/182616_DC05_07292020_084802_i.pdf

The opinion is available here for download:

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R.J. REYNOLDS TOBACCO COMPANY, Appellant,

v. STATE OF FLORIDA and PHILIP MORRIS USA INC., Appellees.

No. 4D18-2616

July 29, 2020

Author’s Note: On September 18, 2020, Florida’s Fourth District Court of Appeal declined to rehear the case. Further, it did not cite a conflict precluding review by Fl. Supreme Court . A contract is a contract…at least for the time being….. http://onlinedocketsdca.flcourts.org/DCAResults/CaseDocket?Searchtype=Case+Number&Court=4&CaseYear=2018&CaseNumber=2616

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