Johnson & Johnson agrees to pay $5.5 billion settlement for baby powder lawsuit
The legal battle has continued for more than 10 years, involving multiple court cases, appeals, and three unsuccessful bankruptcy attempts by the company to resolve the claims.
PTC News Desk: Johnson & Johnson (J&J) has agreed to pay about $5.5 billion to settle tens of thousands of lawsuits claiming that its baby powder and other talc-based products caused ovarian cancer. If approved, the settlement could bring an end to one of the largest and longest-running product liability cases in corporate history.
The proposed deal covers around 76,000 lawsuits filed across the United States. However, it will only take effect if at least 95% of the claimants agree to the settlement. The legal battle has continued for more than 10 years, involving multiple court cases, appeals, and three unsuccessful bankruptcy attempts by the company to resolve the claims.
Why is J&J settling?
Johnson & Johnson has repeatedly said that its talc-based products are safe, do not contain asbestos, and do not cause ovarian cancer.
The company says it is settling the cases not because it admits any wrongdoing, but to end years of expensive legal battles and focus on its healthcare business.
J&J's Vice President of Litigation, Erik Haas, said the company believes it would have won most of the remaining cases but chose to settle so it can move forward. The company plans to pay about $3 billion in 2027, with the rest to be paid in 2028.
However, the final amount could be higher. According to one of the lead lawyers representing the plaintiffs, the total payout could exceed $7 billion if more eligible claimants join the settlement.
What were the allegations?
The lawsuits claimed that women developed ovarian cancer after using Johnson & Johnson's baby powder and other talc-based products for many years.
Many of the women also alleged that the talc contained asbestos, a substance known to cause cancer.
Johnson & Johnson has denied these claims, saying decades of scientific research support the safety of its products.
The company stopped selling its talc-based Johnson's Baby Powder in the United States in 2020 and replaced it with a cornstarch-based version.