A trial court’s modification of a settlement agreement between several states and tobacco companies that would save Pennsylvania about $126 million has been upheld by the Commonwealth Court.

A five-member en banc panel of the court April 10 unanimously affirmed a trial court’s determination that an arbitration panel had exceeded its authority when it allowed several states and tobacco companies to enter into a partial settlement modifying the requirements of a master settlement in which the companies agreed to pay the states billions of dollars.

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