Author: philip
Healthcare giant Johnson & Johnson has presented a proposal to pay nearly $9bn to settle over 40,000 lawsuits in North America, claiming that its talc-based products, including baby powder, can cause cancer. Despite still considering the claims to be “specious,” the company aims to bring the legal battle to a close with this new settlement offer, which is a substantial increase from their previous offer of $2bn. Johnson & Johnson stated that the new proposal has gained significant support from those associated with the case. Some former customers have alleged that the talc-based baby powder contained cancer-causing asbestos, making this a significant legal challenge for the company.
Johnson & Johnson has increased its proposed settlement offer for the talc-based baby powder lawsuits to over $4 billion. The new offer has gained significant support from individuals involved in the case.
The company is currently facing over 40,000 lawsuits from former customers who claim the product caused cancer, with some alleging it contained cancer-causing asbestos. Johnson & Johnson stopped selling its talc-based baby powder in the US in 2020, citing “misinformation” that had led to a decline in demand. The product was used to prevent diaper rash and for other cosmetic purposes, including as a dry shampoo. The company announced plans to discontinue global sales last year.
In an attempt to resolve lawsuits stemming from the sale of its baby powder product, Johnson & Johnson created a subsidiary in 2021. However, after an earlier bankruptcy court ruling found the subsidiary was not in financial distress, the company’s efforts to resolve the lawsuits through bankruptcy court have faced setbacks. Despite this, the company remains steadfast in its belief that the claims against them lack scientific merit. Notably, while the company no longer sells the original talc-based baby powder, it continues to sell a cornstarch-based version of the product.
In a statement, the spokesperson for LTL announced that resolving the cases through the tort system would require a significant amount of time and resources, with many claimants potentially never receiving any compensation. Instead, the company has proposed a reorganisation plan that they believe would provide a more efficient and equitable solution for all parties involved. The spokesperson added that this approach would enable the company to continue its commitment to improving health outcomes for people around the world.
Pharmaceutical giant Johnson & Johnson has announced that it has emerged victorious in the majority of talc lawsuits filed against the company. However, it has suffered some significant losses, including a decision in which 22 women were awarded a judgement of over $2 billion. Despite this setback, Johnson & Johnson has stated that it has received commitments from approximately 60,000 current claimants in support of the new settlement terms.
