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126 So. 3d 1155
Fla. Dist. Ct. App.
2012
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Background

  • This is an Engle progeny case where Naugle sued Philip Morris USA for injuries from cigarette addiction; trial conducted in two phases per Brown.
  • Phase I found Naugle was an Engle class member and addicted to PM USA cigarettes, causing severe COPD.
  • Phase II addressed causation, comparative fault, and damages; jury found PM USA negligent, defective products, concealment, and conspiracy to conceal health effects.
  • Jury allocated liability 90% PM USA, 10% Naugle; damages included past medical expenses, future medical, past and future pain and suffering, with punitive damages of $244 million.
  • Post-trial remittitur reduced non-economic damages to $9,825,000 and punitive to $25,965,000; total amended judgment was $36,760,500, which PM USA appealed.
  • Court affirmed on all issues, applying Engle findings and upholding remittitur and the punitive-to-compensatory ratio as constitutional.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Application of Engle findings to progeny cases due process Naugle relies on Engle findings to establish duty and causation. Brown forecloses due process objections to Engle findings in progeny cases. Affirmed; Engle findings properly applied.
Fraudulent concealment and reliance post-repose Naugle relied on concealment post-1982; concealment proximately caused continued smoking. Reliance not shown; statute of repose bars post-1982 concealment claims. Jury findings supported; concealment evidence adequate; reliance proven; record supports verdict.
Remittitur vs. new trial in light of passion/prejudice findings Remittitur inappropriate where jury was influenced; new trial required. Remittitur proper under §768.74; passion/prejudice findings justify reduction. Remittitur affirmed; no abuse of discretion; new trial not required.
Non-economic damages reasonableness Award reflects Naugle's severe, progressive COPD and life impact. Non-economic award excessive; must be further reduced. As reduced, not excessive; substantial evidence supports the award.
Punitive damages ratio constitutionality High punitive award warranted by wanton conduct and concealment. 2:1 ratio is excessive; higher restraints exist. Ratio 2:1 constitutional in Engle progeny context; not excessive.

Key Cases Cited

  • Engle v. Liggett Group, Inc., 945 So.2d 1246 (Fla. 2006) (Engle findings govern progeny liability issues)
  • R.J. Reynolds Tobacco Co. v. Brown, 70 So.3d 707 (Fla. 4th DCA 2011) (two-phase Engle progeny framework approval)
  • Martin v. PM, 53 So.3d 1060 (Fla. 1st DCA 2010) (reliance on false controversy; appellate review of punitive damages)
  • Townsend, 90 So.3d 307 (Fla. 1st DCA 2012) (non-economic damages within reasonable range; not shock to conscience)
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Case Details

Case Name: Philip Morris USA, Inc. v. Naugle
Court Name: District Court of Appeal of Florida
Date Published: Jun 22, 2012
Citations: 126 So. 3d 1155; 2012 Fla. App. LEXIS 10122; 2012 WL 2361748; Nos. 4D10-1607, 4D10-3574
Docket Number: Nos. 4D10-1607, 4D10-3574
Court Abbreviation: Fla. Dist. Ct. App.
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