The definitions contained in this section shall govern the construction of this article. (a) âAdjusted for inflationâ means increased in accordance with the formula for inflation adjustment set forth in Exhibit C to the Master Settlement Agreement. (b) âAffiliateâ 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 terms âowns,â âis owned,â and âownershipâ mean ownership of an equity interest, or the equivalent thereof, of 10 percent or more, and the term âpersonâ means an individual, partnership, committee, association, corporation, or any other organization or group of persons. (c) âAllocable shareâ means allocable share as that term is defined in the Master Settlement Agreement. (d) âCigaretteâ means any product that contains nicotine, is intended to be burned or heated under ordinary conditions of use, and consists of or contains (1) any roll of tobacco wrapped in paper or in any substance not containing tobacco; (2) 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 (3) 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 this section. âCigaretteâ also includes âroll-your-ownâ tobacco, meaning 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 âcigarette,â 0.09 ounces of âroll-your-ownâ tobacco shall constitute one individual âcigarette.â (e) âMaster Settlement Agreementâ means the settlement agreement and related documents entered into on November 23, 1998, by the state and leading United States tobacco product manufacturers. (f) âQualified escrow fundâ 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 ($1,000,000,000) where the arrangement requires that the financial institution hold the escrowed fundsâ 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 fundsâ principal except as consistent with subdivision (b) of Section 104557. (g) âReleased claimsâ means released claims as that term is defined in the Master Settlement Agreement. (h) âReleasing partiesâ means releasing parties as that term is defined in the Master Settlement Agreement. (i) âTobacco product manufacturerâ means an entity that after the date of enactment of this article directly, and not exclusively through any affiliate: (1) Manufactures cigarettes anywhere that the manufacturer intends to be sold in the United States, including cigarettes intended to be sold in the United States through an importer (except where the 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 subsection 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); or (2) Is the first purchaser anywhere for resale in the United States of cigarettes manufactured anywhere t
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