Johnson & Johnson announced Monday it will pay an estimated $5.5 billion to settle approximately 76,000 lawsuits alleging that its baby powder and other talc-based products caused ovarian cancer. This agreement, if accepted by 95% of ovarian cancer claimants, could conclude a contentious legal battle that has spanned a decade.
The settlement covers nearly all remaining talc claims against the company, including those consolidated in federal court in New Jersey and related state court cases. The company had previously settled most claims related to asbestos contamination causing mesothelioma.
Erik Haas, Johnson & Johnson's vice president of litigation, stated that the company is settling to achieve closure, describing the claims as "meritless." He added, "While we are confident the company would have ultimately prevailed with further litigation, as it has in the vast majority of cases tried to date, this resolution allows the company to put this matter behind it and remain focused on its mission to develop medicines and devices that save lives."
Johnson & Johnson expects to pay $3 billion in 2027, with additional payments in 2028. The total payout could exceed $5.5 billion, potentially reaching $7 billion or more, depending on claimant participation, according to attorney Chris Seeger, who helped negotiate the agreement. Seeger noted that the settlement assigns specific values to qualifying ovarian cancer claims but does not cap the company's total payout.
This settlement comes after Johnson & Johnson achieved several courtroom victories, including favorable verdicts in individual trials and successful challenges to plaintiffs' expert witnesses and legal counsel. A significant win occurred last week when a federal judge raised doubts about plaintiffs' ability to prove that talc specifically caused their ovarian cancer.
Johnson & Johnson has consistently denied that its talc products cause cancer, asserting the safety of talc and its lack of asbestos content. The company discontinued the sale of talc-based baby powder in the U.S. in 2020, transitioning to a cornstarch-based product.
The litigation had been on hold for over three years while Johnson & Johnson pursued a strategy involving bankruptcy filings through a shell subsidiary, an effort that ultimately ended in dismissal. Before these bankruptcy attempts, the company had a mixed record in talc trials, including a multi-billion dollar verdict in favor of 22 women who claimed baby powder caused their ovarian cancer, though some verdicts were later reduced on appeal.
Unlike the proposed bankruptcy settlements, the current agreement exclusively addresses existing claims and does not cover future lawsuits. Seeger explained that this exclusion of future claims allows for more funds to be allocated to current plaintiffs and accelerates payment, with all claims expected to be resolved within 18 months, rather than over more than a decade.