The Tokyo District Court on Tuesday rejected a 13.6 million yen lawsuit filed by taxi drivers and customers who accused the government of damaging their health by failing to curb passive smoking in cabs.

The lawsuit, filed by three taxi drivers and 23 customers in July 2004, cites a 1979 World Health Organization recommendation that smoking be restricted in public places.

"Not prohibiting smoking in taxis is an issue that should be resolved between the taxi companies and their employees," presiding Judge Hiroyuki Shibata said in turning down the compensation demand.