Johnson & Johnson says it will pay out $5.5B in sweeping talc deal that could end decade-long legal battle
Johnson & Johnson said on Monday it would pay an estimated $5.5 billion to resolve tens of thousands of lawsuits alleging its baby powder and other talc products cause ovarian cancer, in a landmark deal that could end a contentious legal battle that has dogged the company for a decade.J&J said the settlement covers about 76,000 claims, including ones consolidated in federal court in New Jersey, and related cases in state court, representing nearly all of the remaining talc claims against the company.J&J previously settled most of the cases alleging that its talc contained asbestos and caused mesothelioma.Plaintiffs’ law firms confirmed the deal on Monday, saying it was a good resolution after a decade-long court battle.
The deal must be accepted by 95% of the ovarian cancer claimants in state or federal court before it becomes final.J&J’s vice president of litigation, Erik Haas, said the claims were “meritless” and that the company was willing to settle in order to get closure.“While we are confident the company would have ultimately prevailed with further litigation, as it has in the vast majority of cases tried to date, this resolution allows the company to put this matter behind it and remain focused on its mission to develop medicines and devices that save lives,” Haas said.J&J expects to pay $3 billion in 2027, and it will make further payments in 2028.But the deal could be worth more, depending on how many people participate in the settlement.Chris Seeger, an attorney who represents about 2,500 clients with talc claims and helped negotiate the agreement, said J&J could ultimately pay $7 billion or more.
The settlement assigns specific values to qualifying ovarian cancer claims but does not cap J&J’s total payout, he said.“We got a fair settlement, and our clients are going to be happy with it,” Seeger said in an interview.J&J reached the settlement after a series of wins in co...