Johnson & Johnson proposes $8.9bn talc settlement
Johnson & Johnson has proposed an $8.9bn settlement to resolve tens of thousands of lawsuits alleging its talcum powder caused cancer, in an attempt to resolve long-running litigation that has weighed on the healthcare products company.
The proposed deal follows a decade-long legal battle between plaintiffs’ lawyers and J&J. If approved, it would become the largest product liability settlement in bankruptcy history, according to lawyers involved in the case.
“This settlement is a testament to the tens of thousands of women who have battled both cancer and the court system to achieve justice for themselves,” said Alicia O’Neill of Watts Guerra, one of the firms representing plaintiffs. “These strong women have ensured that no other woman will be exposed to this unnecessary danger. They deserve compensation and closure.”
Carl Tobias, professor of law at University of Richmond, said J&J’s strategy of using the Chapter 11 again to try and resolve the cases through a global settlement appeared risky given the decisive dismissal of its earlier bankruptcy by the appeals court.
This story originally appeared on: Financial Times - Author:Jamie Smyth
