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J&J Weighs Appeal of Talc Loss to Supreme Court

11.11.2020 - Johnson & Johnson is mulling whether to appeal a major financial setback in its ongoing talc baby powder litigation to the US Supreme Court.

This is assuming the nation’s highest court would agree to hear the case brought by 22 women who claimed the baby powder caused their ovarian cancer. Of the 7,000 cases the court is asked to review annually, figures show it hears only 100 to 150.

The verdict J&J wants to appeal stems from a 2018 trial combining the claims of 22 women. While the jury originally awarded it to pay $4.7 billion, the award was later slashed to $2.11 billion. Still, the judge accused the group of “outrageous conduct” in defense of its talc product, because of an “evil motive or reckless indifference."

J&J said the verdict was grounded in a “faulty presentation of the facts,” adding that this was “at odds with decades of independent scientific evaluations confirming Johnson’s Baby Powder is safe, does not contain asbestos and does not cause cancer.”

An attorney for the plaintiffs said the appellate court had carefully considered the instructions, and that the resulting opinion presented a “fair and reasonable resolution of the claims.” The healthcare giant should “accept the findings of the jury and the appellate court and move forward with proper compensation to the victims.”

As claims against it soared, J&J said earlier this year it would replace the talc-based powder in North America with a cornstarch alternative while continuing to sell both products in other locations. The group said in a recent filing with the US Securities and Exchange Commission (SEC) that it would set aside a record $2.1 billion reserve for the litigation in its 2020 results.

Since the start of the litigation, the baby powder manufacturer has successfully appealed several cases and settled others out of court. According to reports, the New Jersey-based company has lost most of the cases that went to trial. At last count, the number of pending talc lawsuits stood at 21,800.

Author: Dede Williams, Freelance Journalist