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It is coming months later than expected, but Ohio tobacco growers and quota owners will receive a 2004 settlement payment from tobacco companies.

The payments are part of the National Tobacco Growers Trust Fund, known as Phase II, in which tobacco companies committed to pay $5.15 billion over 12 years to growers and quota owners for losses stemming from the 1998 tobacco settlement.

Lawyers for tobacco companies and 14 tobacco-growing states had been battling over the payments for more than eight months in the North Carolina court system.

The tobacco companies had argued that a bill signed last October creating a new government buyout program ended their obligation to make the 2004 payments even though money from the buyout wouldn't be distributed until 2005.

In December, a business court judge agreed and released tobacco companies from making the final $430 million Phase II payment. In addition, states were ordered to refund tobacco companies for 2004 payments already made into Phase II funds.

Last month the North Carolina Supreme Court sided with farmers and overturned the lower court's ruling, directing the final Phase II payments to be made and distributed. OFBF had signed onto a court brief prepared by the North Carolina Farm Bureau supporting the tobacco states.