2013 New York Consolidated Laws
PBH - Public Health
Article 13-G - (1399-NN - 1399-PP) TOBACCO ESCROW FUNDS
1399-OO - Definitions.

 
    §  1399-oo.  Definitions.  As used in this article the following terms
  shall mean:
    1. "Adjusted for inflation" means increased  in  accordance  with  the
  formula  for  inflation  adjustment set forth in exhibit C to the master
  settlement agreement.
    2. "Affiliate" means a person  who  directly  or  indirectly  owns  or
  controls,  is  owned  or  controlled by, or is under common ownership or
  control with, another person. Solely for purposes  of  this  definition,
  the  term "owns," "is owned" and "ownership" mean ownership of an equity
  interest, or the equivalent thereof, of ten percent  or  more,  and  the
  term  "person" means an individual, partnership, committee, association,
  corporation or any other organization or group of persons.
    3. "Allocable share" means allocable share as that term is defined  in
  the master settlement agreement.
    4.  "Cigarette"  means any product that contains nicotine, is intended
  to be burned or heated under ordinary conditions of use, and consists of
  or contains: (a) any roll  of  tobacco  wrapped  in  any  substance  not
  containing  tobacco,  or (b) tobacco, in any form, that is functional in
  the product, which, because of its appearance, the type of tobacco  used
  in  the  filler,  or its packaging and labeling, is likely to be offered
  to, or purchased by, consumers as  a  cigarette;  or  (c)  any  roll  of
  tobacco  wrapped  in  any substance containing tobacco which, because of
  its appearance, the type of tobacco used in the filler, or its packaging
  and labeling, is likely to be offered to, or purchased by, consumers  as
  a  cigarette  described  in  paragraph  (a) of this definition. The term
  "cigarette" includes "roll-your-own" (i.e., any tobacco  which,  because
  of  its  appearance, type, packaging or labeling is suitable for use and
  likely to be offered to, or  purchased  by,  consumers  as  tobacco  for
  making cigarettes). For purposes of this definition of "cigarette," 0.09
  ounces  of  "roll-your-own"  tobacco  shall  constitute  one  individual
  "cigarette."
    5. "Master settlement agreement" means the settlement  agreement  (and
  related  documents)  entered  into  on  November  twenty-third, nineteen
  hundred ninety-eight by the state  and  leading  United  States  tobacco
  product   manufacturers.   A  copy  of  said  agreement,  including  any
  amendments thereto, shall be kept on file by the attorney  general,  who
  shall  make  it  available  for  inspection  and copying pursuant to the
  provisions of article six of the public officers law.
    6.  "Qualified  escrow  fund"  means  an  escrow  arrangement  with  a
  federally or state chartered financial institution having no affiliation
  with  any tobacco product manufacturer and having assets of at least one
  billion dollars where such  arrangement  requires  that  such  financial
  institution  hold  the  escrowed  funds'  principal  for  the benefit of
  releasing parties and prohibits the tobacco product manufacturer placing
  the funds into escrow from using, accessing or directing the use of  the
  funds'  principal except as consistent with paragraph (b) of subdivision
  two of section thirteen hundred ninety-nine-pp of this article.
    7. "Released claims" means released claims as that term is defined  in
  the master settlement agreement.
    8. "Releasing parties" means releasing parties as that term is defined
  in the master settlement agreement.
    9.  "Tobacco  product  manufacturer"  means  an  entity that after the
  effective date of this article directly (and not exclusively through any
  affiliate):
    (a) manufacturers cigarettes anywhere that such  manufacturer  intends
  to  be  sold  in  the United States, including cigarettes intended to be
  sold in the  United  States  through  an  importer  (except  where  such
  importer  is  an  original  participating  manufacturer (as that term is

  defined in the master settlement agreement) that will be responsible for
  the payments under the master settlement agreement with respect to  such
  cigarettes  as  a  result of the provisions of subsections II(mm) of the
  master  settlement  agreement  and  that  pays  the  taxes  specified in
  subsection II(z) of the master settlement agreement, and  provided  that
  the  manufacturer  of  such cigarettes does not market or advertise such
  cigarettes in the United States);
    (b) is the first purchaser anywhere for resale in the United States of
  cigarettes manufactured anywhere that the manufacturer does  not  intend
  to be sold in the United States; or
    (c) becomes a successor of an entity described in paragraph (a) or (b)
  of this subdivision.
  The  term  "tobacco product manufacturer" shall not include an affiliate
  of a tobacco product manufacturer unless  such  affiliate  itself  falls
  within  any  of  the  provisions  of  paragraph  (a), (b) or (c) of this
  subdivision.
    10. "Units sold" means the number of individual cigarettes sold in the
  state by the applicable tobacco product manufacturer  (whether  directly
  or   through   a   distributor,  retailer  or  similar  intermediary  or
  intermediaries) during the year in question, as measured by excise taxes
  collected by the state on packs bearing the  excise  tax  stamp  of  the
  state,  or  on  "roll-your-own"  tobacco containers. The commissioner of
  taxation and finance shall promulgate such regulations as are  necessary
  to  ascertain  the amount of state excise tax paid on the cigarettes and
  roll-your-own tobacco of such  tobacco  product  manufacturer  for  each
  year.  Notwithstanding  any  other  provision  of  law,  a  failure of a
  cigarette tax agent or distributor licensed  pursuant  to  section  four
  hundred  seventy-two  of the tax law to provide any information required
  by such regulations shall be deemed a violation of  the  regulations  of
  the  commissioner  of  taxation  and  finance  promulgated under article
  twenty of the tax law. Notwithstanding  any  provision  of  law  to  the
  contrary,  the commissioner of taxation and finance shall provide to the
  attorney general any information necessary for  the  administration  and
  enforcement  of this article, including: (a) returns filed in accordance
  with article twenty or  twenty-eight  of  the  tax  law  (or  any  other
  provision  of  the  tax law providing for an excise tax on cigarettes or
  roll-your-own tobacco); and (b) in the event the commissioner is  unable
  to ascertain the identity of the applicable tobacco product manufacturer
  with  respect  to particular cigarettes or roll-your-own tobacco sold in
  the  state,  the  number  and  brand  names  of   such   cigarettes   or
  roll-your-own  tobacco,  the identity of the person from whom the excise
  tax on such cigarettes or roll-your-own tobacco was collected,  and  all
  other available information relating to such cigarettes or roll-your-own
  tobacco, to be used by the attorney general to ascertain the identity of
  such  tobacco  product  manufacturer  and  for  the  administration  and
  enforcement of this article. Notwithstanding any provision of law to the
  contrary, the attorney general may redisclose any  such  information  if
  necessary for the administration or enforcement of this article.