J&J Advances $6.475-B Settlement Of Talc Cancer Lawsuits

Johnson & Johnson is moving forward with a $6.475 billion proposed settlement of tens of thousands of lawsuits alleging that its baby powder and other talc products contain asbestos and cause ovarian cancer, the company said, Dietrich Knauth reported for Reuters.

The deal will allow J&J to resolve the lawsuits through a third bankruptcy filing of a subsidiary company. I Photo: Mike Mozart Flickr

The deal will allow it to resolve the lawsuits through a third bankruptcy filing of a subsidiary company. It will begin a three-month voting period to reach a consensus on settling all current and future ovarian cancer claims.

Ovarian cancer claims account for 99% of the talc-related lawsuits filed against J&J, including about 54,000 lawsuits that are centralized in a New Jersey federal court proceeding.

Courts have rebuffed J&J's two previous efforts to resolve the lawsuits through the bankruptcy of the subsidiary created to absorb J&J's talc liability, LTL

Management. J&J, which says that its products do not contain asbestos and do not cause cancer, said that its settlement has the support of a majority of attorneys representing plaintiffs who have filed cancer lawsuits against the company.