Chemical manufacturer 3M announced Tuesday it will pay up to $7.35 billion over nine years to settle lawsuits filed by individuals claiming they were sickened by groundwater contamination from per- and polyfluoroalkyl substances (PFAS). These "forever chemicals" are found in firefighting foam and various consumer products.

The settlement, which does not include an admission of liability from 3M, aims to resolve claims from as many as 120,000 people exposed to PFAS. The company previously reached a $450 million agreement with the state of New Jersey for natural resource contamination and a deal exceeding $10 billion to resolve claims from U.S. public drinking water systems.

PFAS are known for their resistance to degradation in the environment and have been linked to health issues such as liver and immune system damage and certain cancers. Their use extends to nonstick coatings, as well as water- and grease-resistant materials in clothing and cookware.

William Brown, 3M chairman, described the settlement as a "significant milestone" that substantially reduces litigation uncertainty. Other manufacturers, including DuPont de Nemours Inc. and its spinoffs Chemours Co. and Corteva Inc., have collectively agreed to over $1 billion in settlements for PFAS claims.

According to Fred Thompson, an attorney with the Motley Rice law firm who helped negotiate the settlement for plaintiffs, the agreement offers much-needed support for "thousands of victims who have sought answers and accountability for nearly a decade." Plaintiffs require assistance with mounting medical bills and other related expenses.

Payments under the settlement are scheduled to begin with $50 million in the current year. Subsequent annual payments of over $1 billion are planned from 2028 through 2033. 3M may issue additional payments if a sufficient number of plaintiffs join the settlement. Conversely, the company has the option to withdraw from the agreement if participation levels are too low.

Environmental activists contend that PFAS manufacturers were aware of the chemicals' health risks long before public disclosure. They point out that the very properties making PFAS valuable in numerous applications also contribute to their environmental and health hazards.

The Environmental Protection Agency has established strict limits for PFAS in public drinking water and mandates testing, but these regulations do not extend to private wells. A study intended to help federal regulators identify industries discharging PFAS in their wastewater has been pending review for two years.