Containers of Johnson and Johnson baby powder are displayed on a Walgreens shelf on April 05, 2023 in San Anselmo, California.
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Johnson & Johnson has reached a tentative settlement to resolve an investigation by greater than 40 states into whether or not the corporate misled sufferers concerning the security of its talc baby powder and different talc-based merchandise, the corporate stated in an announcement to CNBC on Tuesday.
Notably, the settlement doesn’t resolve the tens of thousands of consumer lawsuits, a few of that are slated to go to trial this 12 months, alleging that these talc-based merchandise induced most cancers. Those circumstances have for many years induced monetary and public relations bother for J&J, which contends that its now-discontinued talc merchandise are secure for customers.
J&J stated in an October securities submitting that 42 states and Washington, D.C., had launched a joint investigation into its advertising and marketing of talc-based merchandise. The firm will pay $700 million to settle it, its CFO Joseph Wolk told the Wall Street Journal Tuesday.
Last 12 months, J&J put aside about $400 million to resolve U.S. state client safety claims.
Erik Haas, J&J’s worldwide vp of litigation, confirmed the settlement in an announcement to CNBC. He didn’t present the cost quantity or additional particulars on the deal.
“Consistent with the plan we outlined final 12 months, the corporate continues to pursue a number of paths to obtain a complete and remaining decision of the talc litigation,” Haas instructed CNBC. “As was leaked final week, that progress contains an settlement in precept that the Company reached with a consortium of 43 State Attorneys Generals to resolve their talc claims.”
Bloomberg first reported concerning the settlement earlier this month, citing sources acquainted with the matter.