Question: 1 . ) The A & B Tobacco Co . , a U . S . - based multinational company with its headquarters in Dallas,
The A & B Tobacco Co a USbased multinational company with its headquarters in Dallas, Texas, has manufactured and sold cigarettes in the United States for more then a century. For the past years or so the US Food and Drug Administration has required A & B to put warning labels on its cigarette packages that disclose the health risks involved in smoking. As a consequence of this and increasing concern for health in the United States, sales of A & Bs cigarettes in the United States have declined sharply. To compensate for this, A & B began selling its cigarettes overseas, also about years ago. Overseas sales have skyrocketed, especially in the developing state of Laissezfaireland. Laissezfaireland has no regulations concerning the sale of cigarettes, and A & B cigarettes sold in that country have never had health warning labels.Now Laissezfaireans suffering from lung cancer caused by smoking A & B cigarettes have brought a class action suit in a United States court against A & B They claim that by selling the cigarettes in Laissezfaireland without a health warning, A & B acted negligently. They also contend that the cigarettes are health hazards and that A & B is therefore strictly liable for the injuries they have suffered. Does the Texas court have jurisdiction to hear this case? Discuss.
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