3.2-4200 - Definitions.
§ 3.2-4200. Definitions.
As used in this article:
"Adjusted for inflation" means increased in accordance with the formula forinflation adjustment set forth in Exhibit C to the Master SettlementAgreement.
"Affiliate" means a person who directly or indirectly owns or controls, isowned or controlled by, or is under common ownership or control with, anotherperson. Solely for purposes of this definition, the terms "owns," "isowned," and "ownership" mean ownership of an equity interest, or theequivalent thereof, of 10 percent or more, and the term "person" means anindividual, partnership, committee, association, corporation or any otherorganization or group of persons.
"Allocable share" means Allocable Share as that term is defined in theMaster Settlement Agreement.
"Cigarette" means any product that contains nicotine, is intended to beburned or heated under ordinary conditions of use, and consists of orcontains (i) any roll of tobacco wrapped in paper or in any substance notcontaining tobacco; (ii) tobacco, in any form, that is functional in theproduct, which, because of its appearance, the type of tobacco used in thefiller, or its packaging and labeling, is likely to be offered to, orpurchased by, consumers as a cigarette; or (iii) any roll of tobacco wrappedin any substance containing tobacco which, because of its appearance, thetype of tobacco used in the filler, or its packaging and labeling, is likelyto be offered to, or purchased by, consumers as a cigarette described inclause (i) of this definition. The term "cigarette" includes"roll-your-own" tobacco, which means any tobacco which, because of itsappearance, type, packaging, or labeling is suitable for use and likely to beoffered to, or purchased by, consumers as tobacco for making cigarettes. Forpurposes of this definition of "cigarette," 0.09 ounces of"roll-your-own" tobacco shall constitute one individual "cigarette."
"Master Settlement Agreement" means the settlement agreement and relateddocuments entered into on November 23, 1998, by the Commonwealth and leadingUnited States tobacco product manufacturers.
"Qualified escrow fund" means an escrow arrangement with a federally orstate-chartered financial institution having no affiliation with any tobaccoproduct manufacturer and having assets of at least $1 billion where sucharrangement requires that such financial institution hold the escrowed funds'principal for the benefit of releasing parties and prohibits the tobaccoproduct manufacturer placing the funds into escrow from using, accessing ordirecting the use of the funds' principal except as consistent withsubsection B of § 3.2-4201.
"Released claims" means Released Claims as that term is defined in theMaster Settlement Agreement.
"Releasing parties" means Releasing Parties as that term is defined in theMaster Settlement Agreement.
"Tobacco product manufacturer" means an entity that after the date ofenactment of this act directly (and not exclusively through any affiliate):
1. Manufactures cigarettes anywhere that such manufacturer intends to be soldin the United States, including cigarettes intended to be sold in the UnitedStates through an importer (except where such importer is an originalparticipating manufacturer (as that term is defined in the Master SettlementAgreement) that will be responsible for the payments under the MasterSettlement Agreement with respect to such cigarettes as a result of theprovisions of subsection II (mm) of the Master Settlement Agreement and thatpays the taxes specified in subsection II (z) of the Master SettlementAgreement, and provided that the manufacturer of such cigarettes does notmarket or advertise such cigarettes in the United States);
2. Is the first purchaser anywhere for resale in the United States ofcigarettes manufactured anywhere that the manufacturer does not intend to besold in the United States; or
3. Becomes a successor of an entity described in subdivision 1 or 2 of thisdefinition.
The term "Tobacco Product Manufacturer" shall not include an affiliate of atobacco product manufacturer unless such affiliate itself falls within any ofsubdivisions 1, 2, and 3 of this definition.
"Units sold" means the number of individual cigarettes sold in theCommonwealth by the applicable tobacco product manufacturer, whether directlyor through a distributor, retailer or similar intermediary or intermediaries,during the year in question, as measured by excise taxes collected by theCommonwealth on packs (or "roll-your-own" tobacco containers) bearing theexcise tax stamp of the Commonwealth.
(1999, cc. 714, 754, § 3.1-336.1; 2008, c. 860.)