3.2-4206 - Directory of cigarettes approved for stamping and sale.

§ 3.2-4206. Directory of cigarettes approved for stamping and sale.

A. Not later than October 1, 2003, the Attorney General shall develop andpublish on its website a directory listing all tobacco product manufacturersthat have provided current and accurate certifications conforming to therequirements of § 3.2-4205 and all brand families that are listed in suchcertifications (the Directory), except as noted below.

1. The Attorney General shall not include or retain in such Directory thename or brand families of (i) any participating manufacturer that fails toprovide the required certification or to make a payment calculated by theindependent auditor to be due from it under the Master Settlement Agreementexcept to the extent that it is disputing such payment, or (ii) anynonparticipating manufacturer that fails to provide the requiredcertification or whose certification the Attorney General determines is notin compliance with subsections A through D of § 3.2-4205, unless the AttorneyGeneral has determined that such violation has been cured to his satisfaction.

2. Neither a tobacco product manufacturer nor brand family shall be includedor retained in the Directory if the Attorney General concludes that (i) inthe case of a nonparticipating manufacturer all escrow payments requiredpursuant to Article 1 (§ 3.2-4200 et seq.) of this chapter for any period forany brand family, whether or not listed by such nonparticipatingmanufacturer, have not been fully paid into a qualified escrow fund governedby a qualified escrow agreement that has been approved by the AttorneyGeneral, (ii) any outstanding final judgments, including interest thereon,for violations of Article 1 of this chapter have not been fully satisfied forsuch brand family and such manufacturer, (iii) in the case of anonparticipating manufacturer or a tobacco product manufacturer that became aparticipating manufacturer after the Master Settlement Agreement executiondate, as defined by section II (aa) of the Master Settlement Agreement, byreason of the business plan, business history, trade connections, orcompliance and payment history under the Master Settlement Agreement or inVirginia or any other state, or the business history, trade connections orcompliance and payment history under the Master Settlement Agreement or inVirginia or any other state of any of the principals thereof, thenonparticipating manufacturer or such tobacco product manufacturer fails toprovide reasonable assurance that it will comply with the requirements ofthis article or of Article 1 (§ 3.2-4200 et seq.) of this chapter, or (iv)the manufacturer has knowingly failed to disclose any material informationrequired or knowingly made any material false statement in the certificationof any supporting information or documentation provided.

As used in this subdivision, reasonable assurances may include informationand documentation establishing to the satisfaction of the Attorney Generalthat a failure to pay in Virginia or elsewhere was the result of a good faithdispute over the payment obligation.

B. The Attorney General shall update the Directory as necessary in order tocorrect mistakes and to add or remove a tobacco product manufacturer or brandfamilies to keep the Directory in conformity with the requirements of thisarticle.

C. Notwithstanding the provisions of subsection A, in the case of anynonparticipating manufacturer who has established a qualified escrow accountpursuant to Article 1 (§ 3.2-4200 et seq.) of this chapter that has beenapproved by the Attorney General, or in the case of any participatingmanufacturer, the Attorney General may not remove such manufacturer or itsbrand families from the Directory unless the manufacturer has been given atleast 30 days' notice of such intended action. For purposes of this section,notice shall be deemed sufficient if it is sent either electronically or byfirst-class mail to an electronic mail address or postal mailing address, asthe case may be, provided by the manufacturer in its most recentcertification filed pursuant to § 3.2-4205. The notified nonparticipatingmanufacturer shall have 30 days from receipt of the notice to either comeinto compliance with the applicable requirements or, in the alternative,secure a temporary injunction against removal from the Directory. Forpurposes of a temporary injunction sought pursuant to this subsection, lossof the ability to sell tobacco products as a result of removal from theDirectory may be deemed to constitute irreparable harm.

D. Every stamping agent shall provide and update as necessary an electronicmail address to the Attorney General for the purpose of receiving anynotifications as may be required by this article.

(2003, c. 798, § 3.1-336.5; 2008, cc. 758, 860.)