SÃO PAULO BRAZIL v. AMERICAN TOBACCO CO.

Nos. 383/384, 2006.

919 A.2d 1116 (2007)

The STATE OF SÃO PAULO OF the FEDERATIVE REPUBLIC OF BRAZIL, Plaintiff Below, Appellant, v. The AMERICAN TOBACCO COMPANY, et al., Defendants Below, Appellees. Republic of Panama, Plaintiff Below, Appellant, v. The American Tobacco Company, et al., Defendants Below, Appellees.

Supreme Court of Delaware.

Decided: February 23, 2007.


Attorney(s) appearing for the Case

Randall E. Robbins and Richard D. Heins, of Ashby & Geddes, Wilmington, DE; Michael X. St. Martin and Conrad S.P. Williams, III, of St. Martin & Williams, Houma, LA; George J. Fowler, III and Jon W. Wise (argued), of Fowler Rodriguez & Chalos, New Orleans, LA; and Calvin C. Fayard, Jr., of Fayard and Honeycutt, Denham Springs, LA, of counsel, for Appellants.

Donald E. Reid and A. Gilchrist Sparks, III, and R. Judson Scaggs, Jr., of Morris, Nichols, Arsht and Tunnell, LLP, Wilmington, DE; Kenneth J. Parsigian (argued) and David R. Zipps, of Goodwin Procter, LLP, Boston, MA, of counsel, for Appellees Philip Morris USA Inc. (f/k/a Philip Morris Companies Inc.) and Altria Group, Inc.

Bonnie Glantz Fatell of Blank Rome, LLP, Wilmington, DE; Robert F. McDermott, Jr. and Paul S. Ryerson, of Jones Day, Washington, DC, of counsel, for Appellees R.J. Reynolds Tobacco Company, R.J. Reynolds Tobacco Holdings, Inc. (f/ k/a RJR Nabisco, Inc.), Brown & Williamson Tobacco Corporation (individually and as successor by merger to The American Tobacco Company); BATUS Retail Services, Inc. (individually and as successor by merger to BATUS, Inc.), BATUS Holdings, Inc., and Fortune Brands, Inc. (f/k/a American Brands, Inc.) and Reynolds American, Inc.

Stephen L. Caponi, of Blank Rome, LLP, Wilmington, DE; Thomas P. Anzelmo of McCranie, Sistrunk, Anzelmo, Metairie, LA, of counsel, for Appellees Quaglino Tobacco and Candy Co., Inc. and J & R Vending Services, Inc.

Paul J. Lockwood of Skadden Arps Slate Meagaher & Flom, LLP, Wilmington, DE, for Appellees U.S. Smokeless Tobacco Co. (f/k/a United States Tobacco Co.) and UST, Inc.

Before BERGER, JACOBS and RIDGELY, Justices.


JACOBS, Justice:

The Republic of Panama and The State of São Paulo, Brazil (the "Foreign Governments") brought actions in the Superior Court against various manufacturers and distributors of tobacco products (the "Tobacco Company Defendants"). Certain Tobacco Company defendants moved to dismiss the complaints under Superior Court Civil Rule 12(b)(6) for failure to state a claim upon which relief could be granted.1 In a well-written...

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