Johnson & Johnson to settle 15-yr lawsuit for $5.5 billion
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New Delhi: Johnson &Johnson (J&J) has announced an agreement to pay up to $5.5 billion to resolve the remaining lawsuits alleging that its talc-based products caused ovarian cancer, subject to the participation of at least 95 per cent of the remaining claimants, IANS reported.
The company said the proposed settlement covers the remaining talc litigation pending in US federal and state courts and follows a recent ruling by the federal Multi-District Litigation (MDL) court regarding the inability of plaintiffs to prove specific causation -- that the company's talc products caused any particular claimant's ovarian cancer.
Under the proposed resolution, the company has committed $5.5 billion, with the first payment of up to $3 billion scheduled for 2027.
However, no additional payments will be due before 2028, it added.
According to J&J, the settlement is contingent on the participation of lead plaintiff firms representing at least 95 per cent of the remaining ovarian cancer claims.
The company said the agreement complements its earlier settlements covering about 95 per cent of filed mesothelioma lawsuits, state consumer protection claims and disputes involving talc suppliers.
Commenting on the development, Erik Haas, Worldwide Vice President of Litigation at Johnson & Johnson, said the company remained confident that the claims lacked scientific merit but chose to settle to bring the long-running litigation to a close.
J&J maintained that decades of research, clinical evidence and studies by independent experts support the safety of cosmetic talc and that its talc products do not contain asbestos or cause cancer.
The company had discontinued the global sale of talc-based JOHNSON'S Baby Powder in 2023 as part of a broader portfolio review. It also separated its consumer health business, Kenvue, in the same year, while retaining responsibility for all talc-related liabilities.
The proposed settlement is subject to the fulfilment of the agreed conditions before it becomes effective.