From Yahoo Finance: 2025-04-01 11:09:00

A US bankruptcy court judge denied Johnson & Johnson’s third attempt to resolve a $10 billion talc litigation suit. J&J had support from 85% of plaintiffs, but the judge found the company achieved that number through improper means. J&J stock fell 5% in response. The company plans to continue fighting the case.

The rejected $8 billion settlement represented 2% of J&J’s market cap. The settlement included a present value amount of $8 billion, with a total of $10 billion paid out over 25 years. It was meant to settle almost all current talc claims and prevent future ones. Analysts believe the uncertainty poses a big risk.

J&J will return to the tort system to litigate and defeat the talc claims. The company previously faced two rejections in New Jersey under the subsidiary LTL Management. The mesothelioma cases have been 95% resolved, while the remaining 0.25% of claims are being addressed separately. J&J remains committed to its financial outlook.



Read more at Yahoo Finance: Judge rejects Johnson & Johnson’s talc settlement