Johnson & Johnson (J&J) has agreed to pay $5.5 billion to resolve the majority of its remaining talc-related lawsuits in the United States, marking a major step toward ending a legal battle that has lasted
more than 15 years.
The proposed settlement, announced on Monday, is subject to several conditions, including the participation of plaintiff law firms representing at least 95% of the remaining ovarian cancer claims pending in federal and state courts.
Settlement Follows Key Court Ruling
The agreement comes shortly after a significant ruling by the federal Multi-District Litigation (MDL) court overseeing the talc cases.
According to a statement by Johnson & Johnson on July 27, the court ordered plaintiffs on July 22 to explain why the remaining lawsuits should not be dismissed after plaintiffs withdrew their experts on “specific causation” in two bellwether trials. The company said the withdrawal effectively acknowledged that plaintiffs could not scientifically establish that its talc products caused any individual’s ovarian cancer.
Erik Haas, Worldwide Vice President of Litigation at Johnson & Johnson, said the company has consistently maintained that the allegations lack scientific merit.
He added that while the company believes it would ultimately prevail if the litigation continued, the settlement allows it to put the issue behind it and focus on developing medicines and medical devices.
Payment Structure of the $5.5 Billion Settlement
Under the proposed agreement, Johnson & Johnson has committed $5.5 billion toward resolving the remaining ovarian cancer claims. The settlement provides for a total commitment of $5.5 billion, an initial payment of up to $3 billion in 2027, and no additional payments due before 2028.
Participation by plaintiff firms representing at least 95% of the remaining claims as a condition for the agreement to take effect.
“The resolution requires and is conditioned on — among other criteria — the participation of lead plaintiff firms in all ovarian talc litigation pending in state and federal court, representing at least 95% of the remaining claims,” Johnson & Johnson stated.
Though agreed to the settlement, Johnson & Johnson reiterated that it does not admit any wrongdoing and continues to maintain that its talc products are safe.
Talc Business Already Discontinued
Johnson & Johnson stopped selling talc-based JOHNSON’S Baby Powder globally in 2023 as part of a broader portfolio review. The company also completed the separation of its consumer health business, Kenvue, in August 2023.
“As part of a worldwide portfolio assessment, Johnson & Johnson made the commercial decision to discontinue talc-based JOHNSON’S® Baby Powder globally in 2023. Additionally, Johnson & Johnson separated its consumer health business, Kenvue, in August 2023,” it said.
The pharmaceutical giant said it retained all talc-related liabilities following the separation and agreed to indemnify Kenvue against talc litigation costs in the United States and Canada.
