(NewsInsights.org) – Johnson & Johnson has been under a lot of fire lately and is facing tens of thousands of lawsuits regarding its baby powder product. The plaintiffs claim that the talc powder was dangerous and caused cancer, with most presenting with ovarian cancer or mesothelioma. The company has tried multiple methods to eliminate the lawsuits, including filing bankruptcy, but the courts denied the moves. Now, Johnson & Johnson has agreed to settle an investigation.
If approved by the courts, the nationwide settlement will result in Johnson & Johnson paying $700 million to resolve allegations that it misled its customers regarding the safety of baby powder. As part of the deal, the company will stop selling not just baby powder but all products that contain talcum powder. It pulled the products off the US market in 2020 but continued to sell them globally.
The attorneys general of Washington, DC, and 42 other states were involved in the case. The settlement will be split into four payments, the first of which the company will pay at the end of July.
In a statement, Attorney General Brian Schwalb discussed the agreement and noted that of the $700 million, DC will receive $3,051,110.51. According to the breakdown, California and Texas will receive the largest payments, over $70 million and $68 million, respectively, followed by Florida at over $48 million, and New York, which will receive just over $44 million.
Also, as part of the agreement, Johnson & Johnson does not admit to any wrongdoing. It maintains that its products — even though they’ve been removed from the market — were safe for use.
The company is still facing more than 60,000 lawsuits, one of which is a class-action lawsuit brought by its shareholders, who accuse Johnson & Johnson of fraudulently hiding the dangers of its products. Two major wins for plaintiffs this year included a woman in Oregon who was awarded $260 million after claiming baby powder was responsible for her cancer and a $45 million judgment for the family of a woman who died in 2020 from mesothelioma.
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