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In June, 1997 the attorneys general of 40 states reached a proposed $368.5 billion settlement with the nation's tobacco makers. The settlement was supposed to allow the states to recoup a fortune in Medicaid payments spent on behalf of smokers. Critics say states too often let big victories get away by settling for too little. Other critics say states are creating too many hurdles in the way of doing business. States are working together to pool their resources. As a result, some corporations must face lawsuits raised by multiple states, instead of just one.

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