Johnson & Johnson Proposes $5.5 Billion Settlement for Remaining Talc Litigation
Johnson & Johnson (NYSE:JNJ) has proposed a $5.5 billion settlement to resolve the remaining lawsuits related to its talc-based products, including baby powder, which have been alleged to cause ovarian cancer. The agreement aims to settle approximately 76,000 claims and concludes over a decade of legal battles in U.S. courts. The proposed resolution requires participation from plaintiff firms representing at least 95% of the remaining cases. Johnson & Johnson will make per-claim payments under this settlement, with an initial payment cap of $3 billion expected by 2027 and no further payments until after 2028. The company has maintained that its talc products are safe but acknowledged plaintiffs withdrew expert testimony in two key bellwether cases following a recent court ruling. Johnson & Johnson said the settlement allows it to move forward from this legal matter, enabling focus on developing life-saving medicines and devices. Shares of JNJ rose 2% after the announcement.
Tickers: $JNJ
Topics: Johnson & Johnson lawsuit ovarian cancer claims talc litigation