What was on the show:
They cite two papers, claiming they are the only works done on second hand smoking.
Then discredit one of the papers, by saying it was said in court it did not adhere to the scientific method by cherry picking it's data.
This court decision was questionable, and indeed in 2002, it was overturned:
http://pacer.ca4.uscourts.gov/opinion.pdf/982407.P.pdf
Looking more closely at the second paper (jnci.oxfordjournals.org/content/90/19/1440.full.pdf), they concluded that no causal evidence was found for sudden death syndrome in babies.
But they did find causal evidence in adults exposed in the work place, or through their spouse.
Then Penn dismiss this last claim by saying it was statistically insignificant.
Going over this last paper, I could not find where they said it was insignificant... They did have this phrase there, but it did not refer to that claim!
These two papers aside, there are many more papers cited by health organizations, not only these two.
And a collection of these works in an easy, peer reviewed summary, can be found here:
http://www.surgeongeneral.gov/library/secondhandsmoke/report/fullreport.pdf
Also, a nice read is the Wikipedia page
http://en.wikipedia.org/wiki/Passive_smoking
I'm disappointed, this episode was clearly bullshit!!!