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A Virginia tobacco company should not be allowed to sell cigarettes in Massachusetts until it puts money into an escrow account as required by state law, the attorney general's office said in a lawsuit.
Sterling Tobacco International, makers of Camron Bay cigarettes, is bound by a state law that requires tobacco companies that are not part of the national tobacco settlement to put money in escrow, according to the Boston Globe.
The escrow accounts are used to pay settlements in civil suits that the state might bring against the companies to cover smoking-related costs.
Companies are required to make payments into the escrow account each year based on their sales in Massachusetts, the attorney general's office said.