J&J proposes $5.5 billion settlement to end decade-long ‘cancer-causing baby powder’ lawsuits

Johnson & Johnson (J&J) has proposed an $8 billion-plus settlement to end lawsuits related to its baby powder that have continued for more than a decade.

According to Fierce Pharma, a US biotechnology news outlet, on the 28th local time, J&J reached a proposed settlement worth $5.5 billion with plaintiffs who allege that its baby powder caused ovarian cancer.

The settlement is intended to resolve approximately 76,000 multidistrict litigation (MDL) and state-level ovarian cancer lawsuits. J&J said law firms representing 99.75% of the plaintiffs had agreed to the proposal.

If more than 95% of all plaintiffs accept the settlement, J&J’s talc-related lawsuits in the United States, which have continued for more than a decade, will effectively come to an end.

The proposed settlement came after J&J secured favorable rulings, including a victory in a Los Angeles jury trial in June. The court sided with J&J, finding that the plaintiffs had failed to establish a causal relationship between the product and the development of ovarian cancer.

J&J had previously attempted to resolve the lawsuits through three bankruptcy proceedings, but all failed. Last year, in particular, a proposal that included a $9 billion settlement was rejected by a court. The company is believed to have reached a settlement for less than its previous offers after a series of recent victories strengthened its negotiating position.

Eric Haas, J&J’s head of litigation, said, "The plaintiffs have effectively abandoned proving causation in two major lawsuits," adding, "It has been confirmed that these claims lack scientific support and have relied solely on unreliable expert opinions."

Christopher Seeger, the plaintiffs’ lead negotiator, said, "This settlement is historic," adding, "After more than a decade of litigation and three failed bankruptcy attempts, tens of thousands of women and their families have waited far too long." He added that compensation would be paid under a transparent tiered system based on objective criteria.

According to a J&J spokesperson, the settlement process is expected to take several months to complete. If the settlement is finally approved, J&J plans to pay $3 billion of the settlement amount in 2027.

Throughout the litigation, J&J has maintained that there is no conclusive evidence that its talc products contained asbestos, a carcinogen, or caused cancer. The company stopped selling talc-based baby powder in North America in 2020 and worldwide in 2023, and currently sells cornstarch-based products.