Johnson and Johnson Sued by Cancer Victims
Johnson and Johnson Sued by cancer victims alleging the company obstructed justice in their claims of asbestos-contaminated talcum powder causing cancer.
The proposed class action lawsuit, filed in a New Jersey federal court, represents individuals who believe Johnson & Johnson's talcum powder products caused ovarian cancer or mesothelioma.
Johnson & Johnson proposes $6.5bn deal to settle talc cancer lawsuits https://t.co/Y7nmWNkZ44
— Financial Times (@FT) May 1, 2024
Source: Twitter/Financial Times
This lawsuit comes amidst Johnson & Johnson's ongoing efforts to settle tens of thousands of similar claims through a $6.475 billion settlement.
Cancer Victims Allege Johnson and Johnson Obstructed Justice
The lawsuit centers around Johnson & Johnson's repeated bankruptcy filings, which they allege is a strategy to avoid lawsuits.
The plaintiffs argue that a "Texas two-step" maneuver was used, where a subsidiary containing talcum liabilities filed for bankruptcy, halting lawsuits against Johnson & Johnson itself.
This tactic, along with accusations of "asset stripping fraud" and "bait-and-switch fraud," is how the lawsuit alleges Johnson and Johnson obstructed justice.
Johnson and Johnson Defends Actions
Johnson & Johnson maintains they are committed to settling these claims.
They point to their proposed $6.475 billion settlement as evidence and their success in defeating lawsuits in court, including 16 out of 17 ovarian cancer trials.
The company also highlights separate settlements with mesothelioma patients and U.S. states.
Johnson and Johnson Calls Lawsuit Frivolous
Johnson & Johnson considers this latest lawsuit a "last-ditch effort" and plans to seek dismissal. They emphasize their commitment to resolving the litigation fairly while allowing claimants to decide on the proposed settlement.
This lawsuit adds another layer of complexity to the ongoing talcum powder saga. It remains to be seen how this latest development will impact the proposed settlement and the thousands of cancer victims involved.
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