Pubs and bars in Scotland are taking legal advice over the announcement by the Scottish Executive that smoking is to be banned in workplaces.
The Scottish Licensed Trade Association claims the plans will decimate the industry and will lead to the loss of 30,000 jobs.
Chief executive Paul Waterson told the BBC: “We will continue the fight. We are consulting with legal advisers.
“We will pursue every avenue to ensure that the interests of the licensed trade are upheld,” he added.
The ban will come into force in 2006 and employers could face fines up £2,500 if they do not comply.