Drugstore sales go up in smoke
By Joshua Sabatini
Examiner Staff Writer 10/1/08
Illia Suhaka lights a cigarette in front of Walgreens Pharmacy on Tuesday. The City's ban on the sale of cigarettes in pharmacies begins Wednesday. Cindy Chew/The Examiner SAN FRANCISCO – If you are looking to purchase a pack of smokes today, forget about Walgreens.
The City’s ban on drug stores selling tobacco products, proposed by Mayor Gavin Newsom, goes into effect today despite two separate legal challenges filed by Walgreens, the nation’s largest drug-store chain, and Philip Morris USA, the nation’s largest cigarette maker, seeking to block the prohibition.
The legal victory was one of two for Mayor Gavin Newsom and The City: Earlier on Tuesday, a federal appeals court ruled that San Francisco’s universal health care program dubbed Healthy SF can continue to operate, after finding that the plan does not violate federal law. Both Healthy SF and the ban on tobacco sales are two landmark initiatives that could set national policy.
Walgreen’s request to halt the prohibition was rejected Tuesday by Superior Court Judge Peter Busch, who ruled that there is a rational basis for The City to ban the sale of tobacco in drug stores and not other types of stores, like Safeway, that may also have pharmacies.
San Francisco became the first city in the nation to enact such a ban when the Board of Supervisors adopted the law in July with The City’s health officials it is a “conflict of interest” for pharmacies to sell tobacco products. A violation would carry steep fines, ranging from $100 to $1,000.
Walgreens argued the ban is discriminatory and violates equal protection laws since it only applies to drug stores.
“The city should not be in the business of favoring some stores over others,” Daniel Kolkey, an attorney for Walgreens, said “We will appeal this decision,” Kolkey said. “This is simply round one.”
Busch said an injunction on the ban is only justified if there was a likelihood that Walgreens would ultimately prevail with the lawsuit.
The ban is expected to cost Walgreens, with 54 store locations in The City, millions of dollars, Kolkey said. Based on the past 12 months, Walgreens will lose 9 percent of its nonpharmacy sales because of the ban, Kolkey said. Sales connected with the purchase of cigarettes totaled $9 million, not including the cost of the cigarettes.
Last Friday, a federal court judge rejected a similar injunction request filed by Philip Morris USA, which is arguing the ban violates its first amendment right. The two parties will argue the legality of the law in federal court this month.
Newsom praised the court’s ruling Tuesday and said he was “open-minded” about broadening the ban.
“Let’s just start with the pharmacies.” Newsom said. “Look it’s the first in the nation, we recognize it’s controversial. I want to see how this works.”
Deputy City Attorney Vince Chhabria said that the ban is “part of the government’s long term and multi-prong battle to undercut the message — particularly to teenagers — that smoking is acceptable.”
Extinguishing smoking in The City
Other pending laws aimed at restricting tobacco:
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Ban of smoking in outdoor dining areas of restaurants, cafes, coffee shops
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Ban of smoking where customers wait to do business: ATMs, ticket lines, move theater lines, athletic event lines, concert lines, cab stands
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Ban of smoking within 20 feet of private, non-residential building entrances, exits and operable windows
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Prohibiting smoking in taxicabs and motor vehicles for hire and free distribution of tobacco promotional items
Source: Board of Supervisors Clerk Office
1 Comments
Reader Comments:
POSTED Oct 1, 2008
jimsr: "This is part of Newsom's fairness policy. Now, let's see if we can ban snacks and soda sold at Walgreens. I'm sure Judge Busch would see it as reasonable. After all, they're also unhealthy."