Johnson&Johnson ordered to pay $18.8 mn in California talc-cancer trial
By Jeff Feely
Johnson & Johnson has been ordered to pay $18.8 million to a California man who blamed the company’s talc-based powders for giving him cancer in the company’s first trial in nearly two years over accusations that it hid the health risks of the popular baby powder.
Jurors in state court in Oakland state court on Tuesday concluded that J & J’s baby powder helped cause Anthony Hernandez Valades’ mesothelioma, a specific type of cancer linked to asbestos exposure. Due to Valadez’s failing health, the case was settled for trial as an exception to the court’s order to put all lawsuits on hold after J&J sought to remove its liability for talc in Chapter 11 bankruptcy.
J&J will appeal the ruling based on the judge’s “erroneous” rulings that prevented the company from sharing “crucial facts” with the jury showing that the rare form of Valades mesothelioma was not caused by baby powder, according to Eric Haas, principal company. Vice President of Worldwide Litigation.
“Without the benefit of this evidence, the judgment is irreconcilable with decades of independent scientific assessments that confirm Johnson’s Baby Powder is safe, does not contain asbestos and does not cause cancer,” Haas said in a statement. He added that the ruling issued will not be paid while the bankruptcy proceedings are still in progress and will not have an impact on this process.
A Valadez win could make it more difficult for J&J to convince the talc victims to accept an $8.9 billion settlement as part of the bankruptcy case filed by the LTL management unit. The agreement will cover all current and future lawsuits alleging that a J&J official sold a line of talc-based baby powder knowing that some of the bottles contained asbestos.
“This ruling will tip people so that they are not inclined to accept what they could get under the $8.9 billion settlement if they could get $18 million at trial,” said Carl Tobias, a University of Richmond law professor who studies group damages. “It’s not good for J&J to be sure. It could confuse settlement negotiations.”
J&J, based in New Brunswick, New Jersey, pulled its talc-based powders from the market in the United States and Canada in 2020, citing declining sales. The world’s largest manufacturer of healthcare products has replaced talc with a cornstarch-based version. The company has pledged to take all baby powders containing talcum powder off the market worldwide by the end of this year.
The case is Valadez v. Johnson & Johnson, 22CV012759, California Superior Court, Alameda County (Oakland). The bankruptcy case is LTL Management LLC, 21-30589, US Bankruptcy Court, District of New Jersey (Trenton)
(Updates with company comment)
© 2023 Bloomberg LP