Johnson & Johnson To Pay $700 Million As Talc Settlement

Johnson & Johnson is set to pay $700 million to 42 U.S. states and Washington, D.C., to settle an investigation concerning allegations that its talc-based baby powder causes cancer.

The company was bombarded with lawsuits claiming that it misled consumers into believing that the talc products were safe, and the settlement will resolve these charges.

According to Reuters, J&J made no admission of wrongdoing in its settlement with the states led by Florida, North Carolina, and Texas. It also underscored that the products do not cause cancer and are safe.

While it may have already settled some of the charges against it, there are still unresolved cases. There is a class action suit alleging that the company hid the dangers of its products from its shareholders. In addition, there are still tens of thousands of talc lawsuits filed.

The company has been accused by consumers, mostly women, of causing ovarian cancer. There are also a smaller number of cases attributing mesothelioma, a cancer linked to asbestos exposure, to J&J's products.

Last year, J&J stopped selling its talc-based baby powder. It also switched to using cornstarch as the main ingredient and has maintained that its products do not contain asbestos.

"Consumers rely on accurate information when making decisions about which products to purchase for their families," Attorney General Kwame Raoul of Illinois stated. CBS News reported that he is one of the 43 attorneys general involved in the lawsuit.

"Any company — no matter how large — must be held accountable when laws protecting consumers are broken and their trust is violated," Raoul added.

Aside from the monetary settlement, part of the agreement requires J&J to permanently stop manufacturing, promoting, and selling its baby powder and other products containing talc. In 2020, J&J had already decided to pull talc-based products from the market in North America.

Erik Hass, J&J's worldwide vice president of litigation, stated that the company "continues to pursue several paths to achieve a comprehensive and final resolution of the talc litigation. That progress includes the finalization of a previously announced agreement that the company reached with a consortium of 43 State Attorneys General to resolve their talc claims. We will continue to address the claims of those who do not want to participate in our contemplated consensual bankruptcy resolution through litigation or settlement."