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Cancer Victims Seek Court Intervention to Halt J&J Talc Bankruptcy

Cancer victims ask court to block J&J talc bankruptcy

A group of cancer victims asked a federal judge to block Johnson & Johnson’s (JNJ.N) , opens new tab proposed bankruptcy settlement of tens of thousands of lawsuits alleging the company’s baby powder and other talc products caused their illnesses, according to a court filing.

In a recent court filing, a group of cancer-affected individuals is seeking to halt Johnson & Johnson’s proposed bankruptcy settlement, which aims to resolve numerous lawsuits alleging that the company’s talc products, including baby powder, contributed to their illnesses. The plaintiffs are urging a federal judge to issue a temporary restraining order preventing a J&J subsidiary from filing for bankruptcy outside of New Jersey.

The plaintiffs argue that they will face irreversible harm if such a filing proceeds unchecked. Johnson & Johnson’s subsidiary intends to declare bankruptcy after claimants vote on a $6.48 billion settlement offer, with the company aiming for a 75% approval rate by the July 26 deadline.

Erik Haas, Johnson & Johnson’s worldwide vice president of litigation, has dismissed the plaintiffs’ motion as baseless, attributing it to a small group of plaintiff law firms that have consistently opposed efforts to resolve the litigation. He accused these firms of prioritizing their financial gains over the interests of their clients, an accusation they deny.

The company faces litigation from over 61,000 plaintiffs alleging that its talc products caused ovarian cancer or mesothelioma. Despite these claims, Johnson & Johnson maintains the safety of its talc, asserting it to be asbestos-free and not carcinogenic. Haas highlighted increasing support for the proposed bankruptcy settlement, including backing from lawyers representing over 70,000 claimants, including those who have yet to file lawsuits.

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