Johnson & Johnson proposes $5.5 billion settlement for talc lawsuits

Johnson & Johnson said it will set aside up to $5.5 billion to settle about 76,000 lawsuits alleging its talc-based baby powder and other products caused ovarian cancer. The company proposes paying as much as $3 billion in 2027, with any remaining amounts to be disbursed after 2028, and said the settlement could bring an end to what it described as "meritless 15-year litigation."

The proposal must be accepted by law firms representing at least 95 % of the claimants before it can take effect. J&J has consistently denied that its talc products cause cancer, although scientific studies on the link to ovarian cancer remain mixed.

Erik Haas, vice president of litigation for the firm, said the lawsuits "lack scientific merit" and added that the company is confident it would have prevailed in further court battles, but the settlement allows it to move past the issue.

Plaintiff lawyer Chris Seeger called the offer a "fair measure of long-delayed justice" and noted that the settlement amount is uncapped and could increase.

The litigation landscape has been uneven, with some juries finding J&J liable and others not. A recent federal judge required plaintiffs to present specific evidence linking their ovarian cancer to the company's talc products. In October, a Los Angeles jury awarded $966 million to a family of a mesothelioma victim, a verdict J&J said it would appeal, describing the decision as "egregious and unconstitutional."