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No. 98-1152: FDA v. Brown and Williamson Tobacco Corp. | |||||||||||
No. 98-1152
In the Supreme Court of the United States
OCTOBER TERM, 1998
FOOD AND DRUG ADMINISTRATION, ET AL., PETITIONERS,
v.
BROWN AND WILLIAMSON TOBACCO CORP., ET AL.
ON PETITION FOR A WRIT OF CERTIORARI
TO THE UNITED STATES COURT OF APPEALS
FOR THE FOURTH CIRCUIT
PETITION FOR A WRIT OF CERTIORARI
MARGARET JANE PORTER
Chief Counsel
KAREN E. SCHIFTER
PATRICIA J. KAEDING
Associate Chief Counsel
Food and Drug
Administration
Rockville, MD 20857
SETH P. WAXMAN
Solicitor General
Counsel of Record
FRANK W. HUNGER
Assistant Attorney General
EDWIN S. KNEEDLER
Deputy Solicitor General
IRVING L. GORNSTEIN
Assistant to the Solicitor
General
EUGENE THIROLF
DOUGLAS LETTER
GERALD C. KELL
CHRISTINE N. KOHL
Attorneys
Department of Justice
Washington, D.C. 20530-0001
(202) 514-2217
The Federal Food, Drug, and Cosmetic Act authorizes the Food and Drug Administration
(FDA) to regulate products as "drugs" or "devices" when
they are "intended to affect the structure or any function of the body."
21 U.S.C. 321(g)(1)(C) and (h)(3). FDA has found that the nicotine contained
in tobacco products is a highly addictive substance that causes significant
mood-altering effects, and that tobacco products are intended by tobacco
manufacturers to have substantial effects on the structure and functioning
of the human body, including satisfying a user's addiction and acting as
a sedative, stimulant, and appetite suppressant. The question presented
is whether, given FDA's findings, tobacco products are subject to regulation
under the Act as "drugs" and "devices."
PARTIES TO THE PROCEEDING
The petitioners are: Food and Drug Administration, and Jane E. Henney, Commissioner
of Food and Drugs.
The respondents are: Brown and Williamson Tobacco Corp.; Lorillard Tobacco
Company; Philip Morris, Incorporated; RJ Reynolds Tobacco Company; Coyne
Beahm, Incorporated; National Association of Convenience Stores; ACME Retail,
Incorporated; United States Tobacco Company; Conwood Company, LP; National
Tobacco Company, LP; Pinkerton Tobacco Company; Swisher International, Incorporated;
Central Carolina Grocers, Incorporated; J.T. Davenport, Incorporated; North
Carolina Tobacco Distributors Committee, Incorporated; The American Advertising
Federation; American Association of Advertising Agencies; Association of
National Advertisers, Incorporated; Magazine Publishers of America; the
Outdoor Advertising Association of America, Incorporated; and Point of Purchase
Advertising Institute.
In the Supreme Court of the United States
OCTOBER TERM, 1998
No. 98-1152
FOOD AND DRUG ADMINISTRATION, ET AL., PETITIONERS,
v.
BROWN AND WILLIAMSON TOBACCO CORP., ET AL.
ON PETITION FOR A WRIT OF CERTIORARI
TO THE UNITED STATES COURT OF APPEALS
FOR THE FOURTH CIRCUIT
PETITION FOR A WRIT OF CERTIORARI
The Solicitor General, on behalf of the Food and Drug Administration, et
al., respectfully petitions for a writ of certiorari to review the judgment
of the United States Court of Appeals for the Fourth Circuit in this case.
OPINIONS BELOW
The opinion of the court of appeals (App. 1a-75a)1 is reported at 153 F.3d
155. The opinion of the district court (App. 76a-136a) is reported at 966
F. Supp. 1374.
The judgment of the court of appeals was entered on August 14, 1998. A petition
for rehearing was denied on November 10, 1998. App. 137a-146a. The jurisdiction
of this Court is invoked under 28 U.S.C. 1254(1).
STATUTORY AND REGULATORY PROVISIONS INVOLVED
The relevant provisions of the Federal Food, Drug, and Cosmetic Act and
the tobacco product regulations are reproduced in the appendix to this petition.
App. 148a-163a.
1. This case concerns the authority of the Secretary of Health and Human
Services, through the Food and Drug Administration (FDA), to regulate cigarettes
and smokeless tobacco (tobacco products) as "drugs" and "devices"
under the Federal Food, Drug, and Cosmetic Act (Act), ch. 675, 52 Stat.
1040, 21 U.S.C. 301 et seq. Before that Act was passed in 1938, the Pure
Food and Drug Act defined a "drug" to include "any substance
or mixture of substances intended to be used for the cure, mitigation, or
prevention of disease of either man or other animals." Pure Food and
Drug Act of 1906, ch. 3915, § 6, 24 Stat. 769. In the 1938 Act, Congress
expanded the definition of "drug" to include "articles (other
than food) intended to affect the structure or any function of the body
of man or other animals." § 201, 52 Stat. 1041; see 21 U.S.C.
321(g)(1)(c). Congress also authorized FDA to regulate "device[s]."
§ 201, 52 Stat. 1041. The term "device" is now defined to
mean, inter alia, "an instrument, apparatus, implement, machine, contrivance,
implant, in vitro reagent, or other similar or related article, including
any component, part, or accessory, * * * intended to affect the structure
or any function of the body of man or other animals." 21 U.S.C. 321(h).
In expanding the operative definitions in 1938, "Congress fully intended
that the Act's coverage be as broad as its literal language indicates-and
equally clearly, broader than any strict medical definition might otherwise
allow." United States v. Bacto-Unidisk, 394 U.S. 784, 798 (1969).
The Act recognizes that certain products may constitute "a combination
of a drug, device, or biological product." 21 U.S.C. 353(g)(1). FDA
may regulate drug/device combination products using its drug authorities,
device authorities, or both. 61 Fed. Reg. 44,396, 44,400-44,403 (1996) (explaining
the basis for that conclusion).
The Act delegates broad authority to FDA to regulate "drugs" and
"devices" for the purpose of protecting the public health. Of
particular relevance here, FDA "may by regulation require that a device
be restricted to sale, distribution, or use * * * upon such * * * conditions
as [FDA] may prescribe in such regulation, if, because of its potentiality
for harmful effect or the collateral measures necessary to its use, [FDA]
determines that there cannot otherwise be reasonable assurance of its safety
and effectiveness." 21 U.S.C. 360j(e)(1). In making findings with respect
to safety and effectiveness, FDA "weigh[s] any probable benefit to
health from the use of the device against any probable risk of injury or
illness from such use." 21 U.S.C. 360c(a)(2)(C); see 21 C.F.R. 860.7(d)(1);
61 Fed. Reg. at 44,412-44,413.
2. In response to petitions filed by public health organ-izations requesting
that FDA regulate tobacco products, FDA conducted an extensive investigation,
issued a proposed rule and jurisdictional analysis, and invited public comment.
60 Fed. Reg. 41,314 (1995). In August 1996, FDA determined that tobacco
products are "drugs" and "devices" under the Act and,
accordingly, issued regulations directed to those products. 61 Fed. Reg.
at 44,396-44,397.
FDA based its determination that tobacco products are "drugs"
and "devices" on two key findings. First, based on extensive scientific
documentation, FDA found that the nicotine in tobacco products "affects
the structure or any function of the body" because it causes and sustains
addiction, and acts as a sedative, stimulant, and appetite suppressant.
61 Fed. Reg. at 44,630, 44,664-44,685. Second, FDA found that those effects
are clearly "intended" by the manufacturers of tobacco products.
Id. at 44,630, 44,686-45,204, 45,227, 45,233-45,236. The evidence before
the agency included much material that was only recently uncovered through
FDA's investigation, congressional hearings, and disclosures by tobacco
company officials and employees.
a. In finding that nicotine affects the structure and function of the body,
FDA relied on scientific evidence showing that the nicotine in tobacco products
produces chemical reactions in the brain that motivate repeated, compulsive
use and create dependence in the user. 61 Fed. Reg. at 44,666. In particular,
nicotine directly affects a part of the brain known as the mesolimbic system,
which rewards the repeated consumption of certain pleasurable substances.
By increasing the activity of the neurotransmitter dopamine within that
system, nicotine causes the compulsive drug-seeking behavior of drug addiction.
Id. at 44,700. In some cases, nicotine in tobacco products acts as a sedative,
while in other cases, it acts as a stimulant. Ibid. Clinical and animal
studies also indicate that nicotine can cause weight loss. Ibid. FDA found
that those effects on the structure and function of the body are quintessentially
drug-like, identical to those FDA has found in other products that it regulates
under the Act, including stimulants, tranquilizers, appetite suppressants,
nicotine replacement products, and narcotics used to treat addiction (e.g.,
methadone). Id. at 44,632, 44,666-44,670.
b. FDA based its conclusion that nicotine's effects on the structure and
function of the body are "intended" by manufacturers on findings
that: (1) a reasonable manufacturer could foresee that consumers will use
tobacco products to satisfy their nicotine addiction; (2) consumers use
tobacco products because they are addicted to them and because they want
to obtain their mood-altering effects; (3) manufacturers know that consumers
use tobacco products primarily for those reasons; and (4) manufacturers
have carefully engineered tobacco products to deliver pharmacologically
active doses of nicotine. 61 Fed. Reg. at 44,630, 44,686-45,204, 45,227,
45,233-45,236.
FDA pointed to extensive, recently-discovered evidence that supports each
of those findings. For example, internal industry memoranda from the early
1970s show that R.J. Reynolds scientists regarded nicotine as a "potent"
and "habit-forming" drug, considered cigarettes to be "a
vehicle for delivery of nicotine," and conceived of the tobacco industry
itself as "a specialized, highly ritualized and stylized segment of
the pharmaceutical industry." 61 Fed. Reg. at 44,867. R.J. Reynolds
researchers also recognized in the 1970s that "[t]he confirmed user
of tobacco products is primarily seeking the physiological 'satisfaction'
derived from nicotine," id. at 44,868, and that "[w]ithout any
question, the desire to smoke is based on the effect of nicotine on the
body," id. at 44,871. That knowledge was communicated to the highest
levels of the tobacco companies; as early as 1969, Philip Morris's vice
president for research and development notified his board of directors that
"the ultimate explanation for the perpetuated cigaret[te] habit resides
in the pharmacological effect of smoke upon the body of the smoker."
Id. at 44,856.
FDA also found evidence that "[m]anufacturers of commercially marketed
cigarettes commonly manipulate nicotine deliveries to provide remarkably
precise, pharmacologically active doses of nicotine to consumers."
61 Fed. Reg. at 44,951. Such manufacturers use "nicotine-rich tobacco
blends in low-tar cigarettes," "filtration and ventilation technologies
that selectively remove more tar [than nicotine] from smoke," and "chemical
additives that increase the percentage of 'free' nicotine in cigarette smoke."
Ibid. FDA found evidence that smokeless tobacco manufacturers also manipulate
nicotine deliveries. Id. at 45,108. FDA quoted company documents revealing
that senior industry officials and researchers expressly conceived of cigarettes
and smokeless tobacco as "a dispenser for a dose unit of nicotine,"
id. at 44,856, "a vehicle for delivery of nicotine, designed to deliver
the nicotine in a generally acceptable and attractive form," id. at
44,868, and the "means of providing nicotine dose in a metered fashion,"
id. at 44,890.
c. Based on the record evidence, FDA concluded that the nicotine in tobacco
products is a "drug," 61 Fed. Reg. at 45,207, that tobacco products
contain "device components" for the delivery of that drug, and
that cigarettes and smokeless tobacco are "combination products."
Id. at 45,208-45,216.
3. a. Having concluded that tobacco products fall within its regulatory
authority, FDA determined that such regulation is consistent with the agency's
mission to protect the public health because of the serious threat to public
health caused by tobacco use. 61 Fed. Reg. at 44,398. The evidence in FDA's
rulemaking record shows that tobacco use is the largest cause of preventable
death in the United States; more than 400,000 deaths result each year from
illnesses such as cancer, respiratory illnesses, and heart disease that
are caused by tobacco use. Tobacco alone kills more Americans annually than
AIDS, alcohol, car accidents, homicides, suicides, illegal drugs, and fires
combined. The average tobacco user loses 15 years of his or her life. Id.
at 44,571.
FDA found that tobacco use is a "pediatric disease," 61 Fed. Reg.
at 44,421, because most people who use tobacco as adults began smoking regularly
during childhood, and childhood initiation leads to addiction. Nearly all
first use of tobacco occurs before high school graduation. If adolescents
can be kept tobacco-free, most will never start using tobacco. Id. at 44,399,
44,421. Efforts to prevent childhood tobacco use, however, have not been
successful thus far. Every year, approximately one million children and
adolescents begin to smoke, id. at 44,398, 44,568, and the rate of youth
tobacco use is increasing, id. at 44,399. Tragically, one of every three
young people who become regular smokers will eventually die prematurely
from a tobacco-related disease. Id. at 44,399, 44,568.
b. Because of the evidence that most tobacco-related addiction begins in
childhood, FDA directed its initial regulatory efforts to reducing the use
of tobacco products by young people. It adopted access restrictions that:
(1) prohibit the sale of cigarettes and smokeless tobacco products to persons
under age 18; (2) require retailers to check the identification of persons
under age 27; and (3) prohibit vending machine sales and self-service displays
of cigarettes and smokeless tobacco except in adult-only locations. 61 Fed.
Reg. at 44,616-44,617.
Based on evidence that "cigarette and smokeless tobacco advertising
plays a material role in the decision of children and adolescents under
the age of 18 to engage in tobacco use," 61 Fed. Reg. at 44,489, and
internal company documents that show the industry's intent "to attract
young smokers and so-called presmokers" through advertising, id. at
44,480, FDA also concluded that advertising restrictions are necessary to
complement the access restrictions. Id. at 44,406-44,407 ("The effectiveness
of the restrictions on youth access would be substantially diminished if
the manufacturers were free to entice children and adolescents to circumvent
the access restrictions."). FDA's advertising restrictions include:
(1) a requirement that advertisements appear in black-and-white, text-only
format, except in adult publications and adult-only facilities; (2) a ban
on outdoor advertising within 1000 feet of schools and public playgrounds;
(3) a prohibition on the sale or distribution by tobacco companies and distributors
of hats, t-shirts, and other non-tobacco products, such as promotional items,
that bear a tobacco product brand name or logo; and (4) a prohibition on
sponsoring athletic, cultural, or other events in a tobacco brand name.
Id. at 44,617-44,618.
In adopting the complementary access and advertising restrictions, FDA invoked
its authority under 21 U.S.C. 360j(e) to place conditions on the sale, distribution,
and use of a device if FDA determines that "there cannot otherwise
be reasonable assurance of its safety and effectiveness." FDA relied
on that authority because tobacco products are "combination products"
for which FDA has discretion to use its drug authorities, its device authorities,
or both. 61 Fed. Reg. at 44,400-44,403.
c. FDA considered, but rejected, a ban on the sale of tobacco products to
adults. FDA noted that, because of illnesses caused by cigarettes and smokeless
tobacco, those products are "unsafe, as that term is conventionally
understood." 61 Fed. Reg. at 44,412. But FDA further noted that, as
reflected in the Act and judicial decisions construing it, the determination
whether there is a "reasonable assurance of safety" within the
meaning of the Act "involves consideration of not only the risks presented
by a product but also any of the countervailing effects of use of that product,
including the consequences of not permitting the product to be marketed."
Id. at 44,412-44,413. For several reasons, FDA concluded that, with respect
to adults, "the sudden withdrawal from the market of products to which
so many millions of people are addicted would be dangerous." Id. at
44,413. First, "there could be significant health risks to many of
these individuals." Ibid. Second, the health care system could be "overwhelmed
by the treatment demands that these people would create, and it is unlikely
that the pharmaceuticals available could successfully treat the withdrawal
symptoms of many tobacco users." Ibid. Third, because of the strength
of the addiction, and the difficulty of quitting, "a black market and
smuggling would develop to supply smokers with these products," and
the black market products would likely "be even more dangerous than
those currently marketed, in that they could contain even higher levels
of tar, nicotine, and toxic additives." Ibid.
4. Respondents (tobacco companies, advertisers, and retailers) brought suit
in the United States District Court for the Middle District of North Carolina,
challenging the validity of FDA's regulations. Respondents moved for summary
judgment, arguing that: (1) Congress has withheld from FDA any authority
to regulate cigarettes and smokeless tobacco, as marketed by respondents;
(2) the Act does not authorize FDA to regulate advertising of cigarettes
and smokeless tobacco; and (3) the restrictions that FDA placed on advertising
and promotion of cigarettes and smokeless tobacco violate the First Amendment.
For purposes of its summary judgment motion, respondents accepted as true
the facts found by FDA concerning the effects of tobacco products on the
human body, and the intent of the manufacturers to cause those effects.
App. 76a-78a.
The district court denied summary judgment to respondents on the issue of
whether tobacco products are covered by the Act and the validity of the
access regulations, but granted their motion with respect to the advertising
regulations. App. 76a-136a. The district court first held that FDA had lawfully
concluded that tobacco products are subject to regulation under the Act
as "drugs" and "devices." Id. at 80a-126a. The court
rejected respondents' contention that the Act applies only to products that
have a medical purpose. The court noted (id. at 102a-103a & n.13) that
the Act separately covers products intended for use "in the diagnosis,
cure, mitigation, treatment, or prevention of disease," 21 U.S.C. 321(g)(1)(B)
and (h)(2); and it explained that, because the definitions on which the
FDA relied expressly include all products intended to affect the "structure
or any function of the human body," the "plain language"
of the Act does not limit its reach to only those drugs and devices that
have a medical purpose. See App. 113a-116a.
The district court also held that FDA had properly determined that tobacco
products are "intended" to affect the structure or function of
the human body within the meaning of the Act. App. 104a-113a. The court
rejected respondents' contention that FDA's general regulations interpreting
and implementing the Act's "intended use" standard limit evidence
of intended use to explicit representations by manufacturers concerning
the therapeutic or other effects of the product. The court pointed out that
the regulations provide as well for consideration of consumer use and a
manufacturer's knowledge of such use. See id. at 109a-110a & n.15 (quoting
21 C.F.R. 201.128 and 21 C.F.R. 801.4). In addition, the district court
noted that a number of courts, as well as the House Report on the Medical
Device Amendments of 1976 (see H.R. Rep. No. 853, 94th Cong., 2d Sess. 14
(1976)), had stated that FDA could rely on evidence other than manufacturers'
representations, such as evidence of consumer use. Id. at 107a-108a, 110-112a.
Because it found that cigarettes and smokeless tobacco fall within the Act's
definitions of "drug" and "device," the district court
concluded that those products would be excluded from the Act's coverage
only if respondents established that "Congress has expressed its clear
intent to withhold from FDA jurisdiction to regulate tobacco products in
some place other than the text of the [Act]." App. 81a. The court found
no such clear intent. Id. at 80a-101a. In particular, it rejected respondents'
contention that other statutes enacted after 1938, including the Federal
Cigarette Labeling and Advertising Act, 15 U.S.C. 1331 et seq., establish
a congressional intent to withhold jurisdiction from FDA to regulate tobacco
products. App. 92a-101a. The court similarly rejected respondents' contention
that FDA's prior decisions not to regulate most tobacco products and statements
to Congress that tobacco products were not covered by the Act unless manufacturers
made therapeutic claims for them showed that Congress had withheld jurisdiction.
The court explained that FDA was entitled to revisit the question in light
of the new evidence concerning the addictive and other effects of tobacco
products and the intended use of tobacco products to achieve those effects.
Id. at 84a-92a.
After concluding that FDA had properly exercised jurisdiction over tobacco
products, the district court held that FDA had authority under 21 U.S.C.
360j(e) to issue restrictions on access by minors to tobacco products. It
therefore upheld the regulations' access restrictions. App. at 133a. Declining
to reach the First Amendment issue (id. at 134a n.33), the district court
ruled, however, that FDA's advertising restrictions are not authorized by
the provision of the Act allowing FDA to impose conditions on the "sale,
distribution, or use" of "devices." Id. at 127a-133a. The
district court certified all of its rulings for interlocutory appeal, id.
at 135a-136a, and the court of appeals accepted that certification, id.
at 11a.2
5. a. In a 2-1 decision, a panel of the Fourth Circuit reversed, App. 1a-75a,
holding that "FDA lacks jurisdiction to regulate tobacco products"
and that "all of the FDA's August 28, 1996 regulations of tobacco products
are thus invalid," id. at 11a-12a. The panel majority disagreed with
the district court's framing of the issue as whether, in light of the broad
definition of "drug" and "device," Congress nonetheless
intended to withhold from FDA jurisdiction to regulate tobacco products.
Id. at 15a. Rather, the majority viewed the relevant question as "whether
Congress intended to give the FDA jurisdiction over tobacco products as
customarily marketed." Id. at 14a.3 The majority noted that, under
Chevron U.S.A. Inc. v. Natural Resources Defense Council, Inc., 467 U.S.
837 (1984), "the court, as well as the agency, must give effect to
the unambiguously expressed intent of Congress," and that "only
if the intent of Congress is ambiguous [do] we defer to a permissible interpretation
by the agency." App. 15a-16a. The majority also stated that "[a]
precondition to deference under Chevron is a congressional delegation of
administrative authority," id. at 16a (quoting Adams Fruit Co. v. Barrett,
494 U.S. 638, 649 (1990)), so that "no deference is due the FDA's construction
of the Act unless it is acting within the bounds of its congressionally-established
authority," ibid. The majority believed that a particularly searching
inquiry was necessary because FDA was "attempting to expand the scope
of its jurisdiction." Id. at 16a-17a.
To ascertain Congress's intent, the majority looked first to the Act's definitions
and concluded that the plain meaning of those provisions "may appear
to support the government's position that tobacco products fit within the
Act's definitions of drugs or devices." App. 19a. The majority concluded,
however, that FDA could not rely on the definitional provisions, because,
in its view, tobacco products do not fit into the overall regulatory scheme
created by Congress. Id. at 22a.
The majority concluded that, under the provision of the Act upon which FDA
had relied in issuing its regulations, 21 U.S.C. 360j(e), FDA has a responsibility
to determine that there is a reasonable assurance of safety of a product
that it declines to ban completely from the market. App. 22a. Because FDA
had found tobacco products to be dangerous, the majority concluded, "FDA
cannot comply with the terms of the very statutory provision it has chosen
as its basis for regulation." Id. at 23a. For substantially the same
reason, the majority concluded that FDA's regulatory approach failed to
satisfy several other provisions of the Act. Id. at 23a-30a. The majority
concluded that "FDA's need to maneuver around the obstacles created
by the operative provisions of the Act reflects congressional intent not
to include tobacco products within the scope of the FDA's authority."
Id. at 29a-30a.
The majority also examined what it termed "extrinsic evidence"
of congressional intent. App. 31a-52a. First, the majority concluded, on
the basis of its review of various statements by FDA, see id. at 31a-37a,
that "[f]rom 1914 until the present rulemaking attempt, the FDA had
consistently stated that tobacco products were outside the scope of its
jurisdiction." Id. at 31a. The majority next concluded that Congress's
failure to enact bills that would have given FDA authority over tobacco
products "provide[s] strong evidence of congressional intent that it,
and not the FDA, controls the regulation of tobacco products." Id.
at 39a. And, it concluded that four tobacco-specific statutes enacted since
1964 provide "corroborating evidence" that Congress did not intend
the FDA's original jurisdictional grant to include "tobacco products."
Id. at 40a; see generally id. at 39a-52a.
b. Judge Hall dissented. App. 55a-75a. He concluded that "[t]obacco
products fit comfortably into the [Act's] definitions of 'drug' and 'device,'"
and, even if the "search for legislative intent [is expanded] beyond
the words of the statute, the evidence falls far short of demonstrating
that Congress intended to deny or withdraw jurisdiction over tobacco from
the FDA." Id. at 55a. He noted that "[t]he majority devote[d]
approximately three paragraphs to the words that form the heart of the FDA's
jurisdictional claim" and essentially "conced[ed] that tobacco
products fit the [Act's] 'literal' definition of drug." Id. at 56a.
Judge Hall rejected the majority's view that, since FDA has a mandate to
prevent the marketing of a drug found to be unsafe and tobacco products
are unsafe, the regulations at issue must be inconsistent with that mandate,
because they do not ban the continued sale of tobacco products to adults.
App. 60a-61a. He concluded that "[h]ow the FDA has chosen to regulate
tobacco has no bearing on the question of whether that agency has the authority
to regulate it at all. * * * It is no argument to say that the FDA can do
nothing because it could have done more." Ibid.
Judge Hall also concluded that "[t]he majority starts off on the wrong
foot when it asks 'whether Congress intended to delegate jurisdiction over
tobacco products to the FDA,'" because "Congress did not 'intend'
that any particular product be included." App. 62a. Rather, "[t]he
operative congressional intent * * * was simply to confer broad discretionary
powers on the FDA to regulate 'drugs' and 'devices'" through definitions
that were "written broadly enough to accommodate both new products
and evolving knowledge about existing ones." Id. at 63a.
Judge Hall similarly disagreed with the majority's reliance on FDA's prior
decisions and statements regarding the regulation of tobacco products. App.
63a. He pointed out that "an agency can change its view of what action
is possible or necessary, particularly when new facts come to light."
Id. at 64a. Here, he explained, FDA had a strong basis for changing its
position because of new evidence that "nicotine is extremely addictive
and that a large majority of tobacco users use the product to satisfy that
addiction," and, even more important, because of new evidence that
"manufacturers design their products to sustain such addiction."
Id. at 65a. Finally, Judge Hall concluded that the tobacco-specific statutes
cited by the majority address narrow subjects and fall far short of showing
that Congress intended to prevent FDA from exercising jurisdiction over
tobacco products. Id. at 65a-70a.4
The Fourth Circuit denied FDA's petition for rehearing. App. 137a-146a.
Judge Hall would have granted panel rehearing, and Judges Michael, Motz,
and Murnaghan would have granted rehearing en banc. Id. at 145a-146a. Four
active judges were disqualified from the case. Id. at 146a.
A divided court of appeals has ruled that FDA has no authority to regulate
tobacco products, and it has invalidated the most important public health
and safety rulemaking that FDA has conducted in the past fifty years. The
panel reached that conclusion notwithstanding FDA's thoroughly documented
findings, based on extensive evidence in the record, that the nicotine in
tobacco products is intended to cause substantial effects on the human body,
including satisfying a user's addiction and acting as a sedative, stimulant,
and appetite suppressant.
The panel's ruling is based on a fundamentally flawed approach to the interpretation
of the Federal Food, Drug, and Cosmetic Act, and it drifts far afield from
the kind of analysis of administrative action required by this Court's decision
in Chevron U.S.A. Inc. v. Natural Resources Defense Council, Inc., 467 U.S.
837 (1984). Unless reversed by this Court, the panel's ruling will deprive
the public of an unparalleled opportunity to prevent millions of children
from beginning a highly addictive habit that often leads to premature death.
FDA regulations currently in effect, but invalidated by the court of appeals,
are already restricting youth access to tobacco products. The public health
suffers in a substantial way as each month passes and FDA's other tobacco
product regulations relating to access and advertising remain blocked by
court order. The recent agreement between five tobacco companies and 46
States settling financial claims by the States to compensate them for the
health-care costs of tobacco use (see note 9, infra), does not diminish
the public health significance of FDA's regulatory program. To the contrary,
it vividly confirms the serious public health consequences of tobacco use.
Review by this Court is therefore warranted to resolve the question whether,
given FDA's thoroughly documented findings about the intended pharmacological
effects of tobacco products on the human body, tobacco products are "drugs"
and "devices" covered by the Act.
A. The panel majority in this case held that "FDA lacks jurisdiction
to regulate tobacco products." App. 11a-12a. Under that ruling, unless
tobacco manufacturers market their products with "specific therapeutic
claims such as weight loss," id. at 15a n.9, FDA is completely without
authority over such products. The panel's holding is based on a serious
misreading of the Act and a fundamental misapplication of basic administrative
law principles.
1. The Act sets forth a standard for whether a product is subject to regulation
as a "drug." That standard is uniformly applicable to all products
not expressly exempted. It provides that the term "drug" not only
includes "articles intended for use in the diagnosis, cure, mitigation,
treatment, or prevention of disease," but also includes, inter alia,
"articles (other than food) intended to affect the structure or any
function of the body of man or other animals." 21 U.S.C. 321(g)(1).
The Act similarly sets forth a standard for whether a product is a "device"
that is uniformly applicable to all products not expressly exempted. The
Act provides that a "device" is, inter alia, "an instrument,
apparatus, implement, machine, contrivance, implant, in vitro reagent, or
other similar or related article, * * * intended to affect the structure
or any function of the body of man or other animals * * * and which is not
dependent upon being metabolized for the achievement of its primary intended
purposes." 21 U.S.C. 321(h).
This Court has held that "Congress fully intended that the Act's coverage
be as broad as its literal language indicates- and equally clearly, broader
than any strict medical definition might otherwise allow." United States
v. Bacto-Unidisk, 394 U.S. 784, 798 (1969). Moreover, while the Act specifically
excludes certain products from particular product categories-soap is excluded
from the definition of "cosmetic," 21 U.S.C. 321(i), and tobacco
itself is excluded from the definition of "dietary supplement,"
21 U.S.C. 321(ff)(1)-the Act does not exclude tobacco products from the
definition of "drug" or "device." Thus, tobacco products,
like all other products containing nicotine, are subject to regulation under
the Act if they are "intended to affect the structure or any function
of the body." 21 U.S.C. 321(g)(1) and (h).
Applying that statutory standard, FDA concluded that tobacco products fall
within the statutory standards for both "drug" and "device."
FDA's conclusion is based on an overwhelming factual record showing that:
(1) the nicotine in tobacco products causes and sustains addiction, and
acts as a sedative, stimulant, and appetite suppressant; (2) most persons
who use tobacco products do so in order to achieve those effects; (3) tobacco
manufacturers know that consumers use their products for those purposes;
and (4) tobacco manufacturers design their products to deliver pharmacologically
active doses of nicotine. Given that evidence, FDA reasonably concluded
that tobacco products are "intended" to "affect the structure
or any function of the body" and are, therefore, subject to regulation
under the Act. 21 U.S.C. 321(g)(1) and (h).
Indeed, it is difficult to see how FDA could have come to a different conclusion
based on the record before it. As FDA pointed out, in light of its findings,
tobacco products cannot be distinguished meaningfully from other products
that FDA regulates, such as stimulants, tranquilizers, appetite suppressants,
nicotine replacement products, and narcotics used to treat addiction. 61
Fed. Reg. at 44,632, 44,666-44,670.
It is not necessary for present purposes, however, for the Court to decide
whether the text of the Act, as applied to the evidence in the rulemaking
record, compels the conclusion that tobacco products are "drugs"
and "devices" subject to regulation under the Act. Congress assigned
to FDA the responsibility to implement the statutory scheme by determining
which products satisfy the statutory standards in light of the evidence
pertaining to each particular product. Accordingly, FDA's interpretation
and application of the complex statutory framework at issue in this case
lies at the very core of agency action that is entitled to deference under
Chevron, 467 U.S. at 842-845. That means that "a court may not substitute
its own construction of a statutory provision for a reasonable interpretation
made by the administrator of an agency." Id. at 844. At the very least,
in view of FDA's thoroughly documented findings, FDA reached the "reasonable"
conclusion that tobacco products fall within the coverage of the Act. The
panel majority was therefore required by Chevron to defer to FDA's conclusion.5
2. The court of appeals' holding that FDA lacks authority to regulate tobacco
products, notwithstanding the plain statutory text and compelling factual
record before FDA, rests on a series of legal errors. Those errors fall
into three categories.
a. First, the panel started with the wrong question when it asked "whether
Congress intended to give the FDA jurisdiction over tobacco products."
App. 15a. As Judge Hall noted in dissent, "Congress did not 'intend'
that any particular product be included." Id. at 62a. Instead, it enacted
general definitions of "drug" and "device" so that FDA-
applying its accumulated scientific and administrative expertise to both
newly developed products and expanded medical knowledge concerning existing
products-could decide whether a particular product is subject to regulation
based on the evidence before it. Id. at 62a-63a. Accordingly, the relevant
question in this case is not whether Congress intended to delegate authority
to FDA over tobacco products in particular or in the abstract, but whether
Congress intended to delegate authority to FDA to regulate tobacco products
(along with any other products not expressly exempted) in the event that
FDA found that they are "intended to affect the structure or any function
of the body." 21 U.S.C. 321(g)(1) and (h). The answer to that question
is clearly yes, since that is the standard that Congress established, and
Congress did not exempt tobacco products from review under that standard.
Once the question is correctly posed, moreover, it is evident that the court
of appeals seriously erred in basing its conclusion that FDA lacks jurisdiction
over tobacco products on (i) its own view that the Act lacks regulatory
provisions that are appropriate for tobacco products, (ii) unenacted bills
proposed after 1938 that would have given FDA authority to regulate tobacco
products, and (iii) tobacco-specific laws enacted since 1964 that address
different issues. Those materials do not provide a principled basis on which
to hold that Congress intended to prevent FDA from regulating tobacco products
altogether should it find, based on compelling evidence of the sort before
FDA in 1996, that tobacco products are intended to affect the structure
or any function of the body.6
b. Second, the court of appeals' decision rests on fundamental misconceptions
concerning Chevron deference. The court of appeals stated that "[a]
precondition to deference under Chevron is a congressional delegation of
administrative authority," App. 16a (quoting Adams Fruit Co. v. Barrett,
494 U.S. 638, 649 (1990)), so that "no deference is due the FDA's construction
of the Act unless it is acting within the bounds of its congressionally-established
authority," App. 16a. That statement implies that, before applying
the analysis required by Chevron to the question whether FDA has authority
over tobacco products, a court must first determine independently whether
Congress has delegated to FDA the authority to regulate tobacco products.
That approach is circular and would drain Chevron of any meaning. The holding
in Adams Fruit, that a precondition to deference under Chevron is a "congressional
delegation of administrative authority," simply means that Congress
must have delegated authority to the agency to enforce the statutory provision
whose meaning is at issue. Adams Fruit, 494 U.S. at 650; Chevron, 467 U.S.
at 842-845. Here, Congress has clearly delegated authority to FDA to enforce
provisions of the Act that depend on the meaning of the terms "drug"
and "device." FDA therefore is unquestionably entitled to Chevron
deference on the meaning and scope of those terms.
Adams Fruit, on which the majority below relied, addressed a completely
different situation. The question in that case was whether state workers'
compensation laws bar private rights of action under the Migrant and Seasonal
Agricultural Worker Protection Act, 29 U.S.C. 1801 et seq. The Court declined
to give deference to a regulation of the Department of Labor on that question
because the private right of action was administered by the courts and not
by the Department of Labor. The Court explained that, because Congress had
established "an enforcement scheme independent of the Executive and
provided aggrieved farmworkers with direct recourse to federal court where
their rights under the statute are violated[,] * * * it would be inappropriate
to consult executive interpretations * * * to resolve ambiguities surrounding
the scope of [the] judicially enforceable remedy." 494 U.S. at 650.
Since the question presented here involves the scope of FDA's authority
under the very law Congress directed it to administer, Adams Fruit is inapposite
here.
The court of appeals' analysis of the issue under Chevron was also affected
by its characterization of FDA's action as "attempting to expand the
scope of its jurisdiction." App. 16a. As long as an agency is reasonably
interpreting a provision it enforces, however, Chevron deference applies.
It is simply not relevant whether the agency's proposed interpretation can
be said to affect its jurisdiction. Commodity Futures Trading Comm'n v.
Schor, 478 U.S. 833, 844-845 (1986); NLRB v. City Disposal Sys., Inc., 465
U.S. 822, 830 n.7 (1984); see also Mississippi Power & Light Co. v.
Mississippi ex rel. Moore, 487 U.S. 354, 380-382 (1988) (Scalia, J., concurring)
(collecting cases). A contrary rule of interpretation would be unworkable,
for Chevron deference would then be rendered of little or no force whenever
FDA sought to regulate any of the vast range of food and drug products that
are introduced each year.
The panel's holding in this case thus cannot be reconciled with a proper
application of Chevron. In light of FDA's findings concerning the intended
effects of tobacco products, and the plain language of the only directly
relevant provisions of the Act-the "drug" and "device"
definitions- FDA acted reasonably in concluding that tobacco products are
subject to regulation under the Act.
c. Third, to the extent that the court of appeals concluded that Congress
clearly intended to preclude FDA from regulating tobacco products, that
conclusion conflicts with the plain language of the controlling definitions
of "drug" and "device." It also ignores the absence
of any exemption from those definitions for tobacco products, an absence
made all the more telling by Congress's decision to enact an express exemption
for tobacco from the Act's definition of "dietary supplement."
See 21 U.S.C. 321(ff)(1). And, as we shall now explain, the panel's conclusion
is also unsupported by the materials upon which it relied.
The panel concluded that, because FDA found tobacco products to be dangerous,
it would be required by 21 U.S.C. 360j(e) to prohibit the sale of tobacco
products to adults as well as children if those products are covered by
the Act. App. 21a-23a. For that reason, the panel believed, FDA "cannot
comply with the terms of the very statutory provision it has chosen as its
basis for regulation." Id. at 23a. The Act, however, does not require
FDA to consider only the risks of tobacco products. Instead, the Act and
implementing regulations authorize FDA to weigh the health risks of permitting
continued sales of tobacco products to adults against the health risks of
prohibiting such sales. 61 Fed. Reg. at 44,412-44,413 (discussing 21 U.S.C.
360c(a)(2)(C) and 21 C.F.R. 860.7(d)(1)). After engaging in that weighing
process, FDA concluded that, with respect to adults, "[t]he sudden
withdrawal from the market of products to which so many millions of people
are addicted would be dangerous." Id. at 44,413. That public health
policy conclusion was well-founded, and the panel majority should not have
second-guessed it. As FDA found, prohibiting adult access to tobacco products
"could [create] significant health risks" for persons addicted
to such products. 61 Fed. Reg. at 44,413. The health care system could be
"overwhelmed by the treatment demands that these people would create,
and it is unlikely that the pharmaceuticals available could successfully
treat the withdrawal symptoms of many tobacco users." Ibid. Equally
important, because of the strength of nicotine addiction, and the difficulty
of quitting, "a black market and smuggling would develop to supply
smokers with these products," and it is likely that those products
"would be even more dangerous than those currently marketed, in that
they could contain even higher levels of tar, nicotine, and toxic additives."
Ibid. In deciding upon its regulatory approach, FDA properly took those
serious health risks into account.
At the very least, FDA's regulatory approach under 21 U.S.C. 360j(e) is
reasonable, and it therefore should have been sustained under Chevron. But
the panel majority did not even consider the question of Chevron deference
when it rejected FDA's decision to allow continued sales to adults once
FDA concluded that tobacco products are subject to regulation under the
Act. See App. 21a-22a. In any event, as Judge Hall pointed out in dissent,
"[h]ow the FDA has chosen to regulate tobacco has no bearing on the
question of whether that agency has the authority to regulate it at all[.]
It is no argument to say that the FDA can do nothing because it could have
done more." Id. at 60a-61a (emphasis omitted).7
The panel majority also relied on prior statements by FDA that it did not
have jurisdiction to regulate tobacco products unless manufacturers made
therapeutic claims about the products' effect on the body. App. 32a-37a.
That reliance was misplaced both as a matter of fact and as a matter of
law. In the first place, the court of appeals was simply wrong in regarding
the 1996 regulations as an abrupt change from a consistent prior position
that tobacco products would be subject to regulation under the Act only
if manufacturers made express health or therapeutic claims in marketing
them. That notion is refuted by FDA's most recent rejection of a petition
to regulate tobacco products prior to 1996-the petition filed by Action
on Smoking and Health (ASH) in 1978. In response to ASH's request that FDA
regulate filtered cigarettes as devices because they were intended to mitigate
disease, the Commissioner stated:
ASH asserts that objective evidence other than manufacturers' claims can
be material to a determination of intended use under the statutory definition
* * *. We agree. However, * * * ASH has not established that consumers use
attached cigarette filters * * * to the extent necessary to allow FDA to
impute the requisite intended uses to manufacturers or vendors.
Letter from FDA Commissioner Goyan to ASH Executive Director Banzhaf 8-9
(Nov. 25, 1980) (reprinted in 61 Fed. Reg. at 45,224) (emphasis added).
In addition, as Judge Hall explained, an agency is always free to change
its view on an issue, and that is particularly true "when new facts
come to light." App. 64a. See Rust v. Sullivan, 500 U.S. 173, 186-187
(1991) (recognizing legitimacy of agency change of position). Indeed, the
District of Columbia Circuit made that very point in sustaining FDA's denial
of an earlier petition filed by ASH in 1977, making clear that FDA "is
clearly free to revise its interpretations" if it "provide[s]
a reasoned explanation for its action." Action on Smoking & Health
v. Harris, 655 F.2d 236, 242 n.10 (1980). Significantly, the D.C. Circuit
also made it clear that manufacturers' claims are not the only basis on
which intended use of cigarettes could be established and that consumer
use of a product can be a relevant factor in determining its intended use.
See id. at 239-240.8
Prior to the present proceeding, FDA simply did not have clear and compelling
evidence that nicotine is extremely addictive, that consumers use tobacco
products because they are addicted to the products and want to obtain their
mood-altering and other effects, that manufacturers know that consumers
use tobacco products primarily for those reasons, and that manufacturers
have deliberately and carefully engineered tobacco products to deliver pharmacologically
active doses of nicotine. 61 Fed. Reg. at 44,630, 44,686-45,204, 45,227,
45,233-45,236; see also App. 65a. As Judge Hall noted, "[t]he administrative
record in this case is a perfect illustration of why an agency's opportunity
to adopt a new position should remain open." App. 65a.
The court of appeals also deemed it significant that Congress did not enact
certain proposed bills that would have specifically given FDA authority
to regulate tobacco products. App. 37a-40a. Failed legislative proposals,
however, do not furnish a sound basis for determining the meaning of a prior
statute. Central Bank of Denver v. First Interstate Bank of Denver, 511
U.S. 164, 187 (1994); United States v. Estate of Romani, 118 S. Ct. 1478,
1487-1488 (1998); id. at 1488-1489 (Scalia, J., concurring in part and concurring
in the judgment). The Constitution requires Congress to express its will
through enacted bills, not through unenacted ones. INS v. Chadha, 462 U.S.
919, 945-959 (1983). Congressional inaction also "lacks persuasive
significance because several equally tenable inferences may be drawn from
such inaction, including the inference that the existing legislation already
incorporated the offered change." Central Bank, 511 U.S. at 187. In
any event, such post-enactment inaction in the Legislative Branch cannot
undermine the respect owed an agency's reasonable interpretation of the
statute under Chevron. The court of appeals therefore erred in relying on
unenacted bills here.
Finally, the panel majority relied on "tobacco-specific" legislation,
such as the Federal Cigarette Labeling and Advertising Act (Labeling Act),
15 U.S.C. 1331 et seq., the Comprehensive Smokeless Tobacco Health Education
Act of 1986, 15 U.S.C. 4401 et seq., and the Alcohol, Drug Abuse, and Mental
Health Administration Reorganization Act, Pub. L. No. 92-321, 106 Stat.
394, 42 U.S.C. 300x-26. App. 40a-53a. Those Acts all address narrow issues,
such as what warning labels must be put on tobacco products. See Cipollone
v. Liggett Group, Inc., 505 U.S. 504, 518 (1992) (narrowly construing the
preemptive force of the Labeling Act). They do not come close to instructing
FDA to refrain from any regulation of tobacco products even if it finds,
based on compelling evidence of the sort before it in 1996, that tobacco
products are intended to affect the structure or any function of the body.
The suggestion by the court below (App. 44a) that those Acts show that "Congress
has reserved for itself the regulation of tobacco products, rather than
delegating that regulation to the FDA," is perplexing. The only way
for Congress to accomplish that result would be by passing a law that repealed
FDA's authority under the Federal Food, Drug, and Cosmetic Act with respect
to tobacco products. And even the panel majority did not suggest that the
"tobacco-specific" laws it cited did that. Id. at 40a, 44a.
d. In sum, when the standard that Congress has selected for determining
whether a product is a drug or a device is applied to the extensive evidence
before FDA, it is clear that FDA acted reasonably in concluding that tobacco
products are subject to regulation under the Act as "drugs" and
"devices." This Court should grant certiorari to review the panel's
contrary conclusion.
B. The question presented in this case is of urgent public importance. FDA
has determined that most persons who become addicted to tobacco products
begin using those products when they are children, and youth tobacco use
has been on the rise. Every year, approximately one million children and
adolescents begin to smoke, and one out of every three such persons will
eventually die prematurely from a tobacco-related disease. 61 Fed. Reg.
at 44,568. FDA's regulatory program is aimed at reversing that trend by
preventing minors from beginning to use tobacco products. Id. at 44,399.
Specifically, FDA's program is designed "to ensure that children and
adolescents are unable to have access to cigarettes and smokeless tobacco,"
and "to prevent advertising by the manufacturers of cigarettes and
smokeless tobacco from undercutting the access restrictions." Id. at
44,406. Unless this Court grants review, an unparalleled opportunity to
curb tobacco use by children and to reduce the disease and death associated
with such use will be lost.
As much promise as the current regulatory program holds, the significance
of this case extends well beyond that particular program. The court of appeals
not only has invalidated the current program; it has held that FDA may not
issue any regulations with respect to tobacco products as currently marketed.
For example, even if FDA determined that a particular tobacco ingredient
resulted in health hazards not previously known or associated with tobacco
use, or that a particular kind of filter would significantly reduce the
health risks associated with cigarette use, FDA would lack authority to
take action to mandate product modifications. Under the court of appeals'
decision, FDA is powerless to adopt any measures designed to reduce the
health risks associated with tobacco products as currently marketed, no
matter how efficacious such measures might be.
The public has a vital interest in obtaining a resolution by this Court
of the question whether FDA has authority to regulate tobacco products.
The present case involves all major participants in the industry, including
manufacturers, advertisers, and retailers; there will be no better vehicle
for resolving the issue. The parties below thoroughly canvassed the relevant
legal sources, and the three opinions below (the panel majority opinion,
Judge Hall's dissent, and the district court opinion) fairly stake out the
two sides.
FDA regards the question of statutory authority presented in this case as
one of the most important questions it has faced since the enactment of
the Federal Food, Drug, and Cosmetic Act in 1938. Because the court below
incorrectly resolved the issue, and because that issue is of overriding
public importance, this Court's review is warranted.9
The petition for a writ of certiorari should be granted.
Respectfully submitted.
MARGARET JANE PORTER
Chief Counsel
KAREN E. SCHIFTER
PATRICIA J. KAEDING
Associate Chief Counsel
Food and Drug
Administration
SETH P. WAXMAN
Solicitor General
FRANK W. HUNGER
Assistant Attorney General
EDWIN S. KNEEDLER
Deputy Solicitor General
IRVING L. GORNSTEIN
Assistant to the Solicitor
General
EUGENE THIROLF
DOUGLAS LETTER
GERALD C. KELL
CHRISTINE N. KOHL
Attorneys
JANUARY 1999
1 "App." refers to the separately-bound appendix to this petition.
2 In light of its rulings, the district court permitted the access restrictions
prohibiting the sale of tobacco products to children under the age of 18
and the requirement for photographic identification for persons under the
age of 27 to remain in effect. The court stayed implementation of the other
access restrictions, which had not yet taken effect. App. 135a.
3 The court used the term "customarily marketed" to refer to tobacco
products marketed with claims concerning smoking pleasure and the like,
rather than therapeutic claims, such as weight loss. App. 14a-15a n.9. The
lower courts have sustained FDA's authority to regulate cigarette products
that are marketed with express claims of therapeutic value, and respondents
concede that such authority exists. See id. at 80a n.3.
4 Judge Hall also concluded that FDA has authority to regulate tobacco products
as "combination product[s]" and to restrict tobacco product advertising
under its "device" authority. App. 71a-74a.
5 A different conclusion could be reached only if an express market claim
were the sole ground on which FDA could determine the intended use of a
product. Under that interpretation of the Act, tobacco products would be
subject to regulation only if manufacturers made specific market claims
that their products satisfy addiction, and act as a stimulant, sedative,
and appetite suppressant. As FDA found, however, the text of the Act provides
no basis for imposing such a market-claim limitation; it makes "intended
uses," not "market claims" or "manufacturer representations,"
the decisive factor. See 21 C.F.R. 201.128 (describing the evidence relevant
to determining intent for drug products); 21 C.F.R. 801.4 (equivalent provision
for devices). An express market claim is one important source of evidence
concerning intended use. But, as the present case demonstrates, an intended
use can be established through other means. From a public health perspective,
moreover, it would make no sense to conclude that tobacco products are subject
to regulation when manufacturers make specific market claims that their
products satisfy addiction and act as stimulants and sedatives, but are
not subject to regulation when manufacturers, knowing that consumers use
their products for those purposes, engineer their products in order to produce
those effects but refrain from making express market claims. At the very
least, FDA's judgment that the Act allows intent to be established on the
basis of evidence other than express market claims is reasonable and therefore
entitled to Chevron deference. Significantly, the court of appeals in this
case did not hold that FDA could rely only on market claims in determining
the intended use of products. App. 19a-20a.
6 Furthermore, as we explain in greater detail below (see pp. 22-27, infra),
those justifications offered by the court of appeals for its contrary holding
are without merit even on their own terms.
7 The panel majority's belief that there were other "internal inconsistencies"
(App. 23a) in FDA's approach under the Act stemmed directly from its basic
disagreement with FDA's consideration of the substantial personal and public
health risks that would be caused by a complete ban on the sale of all tobacco
products. On each of those subsidiary points, moreover, the court once again
failed even to advert to its duty to accord Chevron deference to FDA's reasonable
interpretation of the particular statutory provisions involved. See App.
23a-30a.
8 It is also significant that the D.C. Circuit specifically noted that it
did not understand the Commissioner's rejection of ASH's 1977 petition to
mean that he would consider only manufacturer representations and would
decline to consider evidence of consumer intent. 655 F.2d at 239.
9 The recent agreement between the Nation's five largest tobacco companies
and 46 States settling financial claims by the States does not affect the
importance of the question presented in this case. To the contrary, the
very magnitude of the payments to be made by the manufacturers confirms
the serious health consequences of tobacco use. Moreover, the agreement
is designed primarily to compensate States for the health-care costs incurred
as a result of tobacco use; it is not a public-health measure as such. There
are some restrictions on advertising included in the agreement. Because
the agreement is concerned primarily with financial compensation rather
than public health, however, it includes as private signatories only five
tobacco manufacturers, not the thousands of other entities involved in the
distribution and sale of tobacco products; it does not contain comprehensive
measures to limit youth access to tobacco products; it does not comprehensively
address forms and aspects of advertising that are particularly effective
in enticing children to begin tobacco use; it does not contain enforcement
mechanisms beyond actions by individual States to enforce the agreement;
it does not contain any provision regarding manufacturing practices or review
and disclosure of ingredients; and it does not reserve for the States the
option to seek additional civil relief from the companies. Thus, while the
agreement serves important purposes, it does not serve-and was not intended
to serve-as a mechanism for protecting the public health through comprehensive
nationwide regulation of tobacco products. (For the terms of the agreement,
see National Association of Attorneys General, Master Settlement Agreement
(visited Jan. 19, 1998) http://www.naag. org/tob2.htm).
(I)
(III)
30
(1)