Talcum Powder Lawsuits to Remain Paused As J&J Eyes Completion of Settlement
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Ongoing talcum powder lawsuits will remain paused until at least March, a bankruptcy judge has determined.
Judge Christopher Lopez, overseeing a bankruptcy case key to the completion of Johnson & Johnson’s proposed talc settlement, opted to maintain the stay on ongoing litigation as the bankruptcy case plays out, according to Bloomberg.
There are currently over 58,000 active lawsuits pending in multidistrict litigation over claims that J&J’s talc-based baby powder is tied to cancer development. However, the progress of those cases halted shortly after J&J began its latest settlement attempt.
The company has offered an approximately $8 billion settlement that it says has the support of 83% of talc claimants.
J&J hopes to take advantage of the Texas two-step bankruptcy maneuver, in which a company forms a subsidiary to take on the liabilities. Then, the subsidiary files for bankruptcy in place of the primary company.
Red River Talc, a subsidiary of J&J, filed for Chapter 11 bankruptcy in September as part of this process.
A trial is expected to be held early next year that will play a key role in deciding whether the settlement will succeed. The trial will likely address motions to dismiss the bankruptcy case. It will also investigate claims that J&J’s stated plaintiff support for the settlement is inaccurate.
J&J Settlement Would Resolve Thousands of Ovarian Cancer Lawsuits
J&J’s settlement offer is the company’s latest attempt to resolve years-long litigation over concerns that its talc-based baby powder has been tied to the development of ovarian cancer in some customers.
According to the American Cancer Society, studies have suggested that talcum powder applied to the genitals can result in talc particles traveling to the ovaries and eventually causing ovarian cancer.
The International Agency for Research on Cancer, which is part of the World Health Organization, has classified talc as “probably carcinogenic to humans.”
If approved, the settlement could resolve thousands of lawsuits. Not included in the settlement, however, are claims that J&J’s baby powder caused mesothelioma in some customers. Those claims have had some recent successes in court, with a South Carolina man who developed mesothelioma winning a $63.4 million verdict in August.
J&J discontinued its talc-based baby powder in North America in 2020.
Editor Lindsay Donaldson contributed to this article.