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BusinessApril 10, 2023

Johnson & Johnson announced Tuesday, April 4, it will pay $8.9 billion over the next quarter of a century to settle "all current and future" claims that alleged the company's baby powder and other cosmetic talc products caused cancer. "The company continues to believe that these claims are specious and lack scientific merit," said Erik Haas, a J&J vice president. ...

Johnson & Johnson is earmarking nearly $9 billion to cover allegations its baby power containing talc caused cancer, more than quadrupling the amount the company had previously set aside to pay for its potential liability. Under a proposal announced Tuesday, April 4, a J&J subsidiary will re-file for Chapter 11 bankruptcy protection and seek court approval for a plan that would result in one of the largest product-liability settlements in U.S. history.
Johnson & Johnson is earmarking nearly $9 billion to cover allegations its baby power containing talc caused cancer, more than quadrupling the amount the company had previously set aside to pay for its potential liability. Under a proposal announced Tuesday, April 4, a J&J subsidiary will re-file for Chapter 11 bankruptcy protection and seek court approval for a plan that would result in one of the largest product-liability settlements in U.S. history.Jeff Chiu ~ Associated Press, file

Johnson & Johnson announced Tuesday, April 4, it will pay $8.9 billion over the next quarter of a century to settle "all current and future" claims that alleged the company's baby powder and other cosmetic talc products caused cancer.

"The company continues to believe that these claims are specious and lack scientific merit," said Erik Haas, a J&J vice president. "However, resolving these cases in the tort system would take decades and impose significant costs on (the company) and the system, with most claimants never receiving any compensation."

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In 2019, J&J recalled a shipment of baby powder when a sample tested positive for a trace amount of asbestos, and sales of the product ended in 2020.

Additionally, J&J announced in 2022 it would stop using talc in its worldwide baby powder products this year, replacing the ingredient with cornstarch.

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