Johnson & Johnson said on Monday it has reached a proposed settlement that would resolve the bulk of its outstanding U.S. ovarian cancer lawsuits related to its talc products, committing to pay $5.5 billion provided at least 95% of claimants agree to the terms.
Under the proposed arrangement, the company expects the resolution to cover about 76,000 remaining ovarian talc claims currently pending in federal multidistrict litigation and in related state courts. The company characterized the settlement as an efficient end to more than 15 years of litigation.
The proposed deal follows a recent federal multidistrict litigation court ruling that raised questions about whether plaintiffs could demonstrate that the company’s talc products caused ovarian cancer in any particular claimant. Johnson & Johnson said that plaintiffs had withdrawn their specific causation experts in two bellwether cases ahead of an order from the court requiring them to show why the remaining claims should not be dismissed.
As laid out in the agreement, the first payment would be made in 2027 and would not exceed $3 billion. The company noted that no additional payments would be scheduled before 2028 under the terms described.
Johnson & Johnson stated it remained confident that it would have prevailed at trial but determined that a settlement was preferable to remove the costs and uncertainty associated with prolonged litigation. The company continued to assert that decades of scientific research support the safety of cosmetic talc, and that its talc products do not contain asbestos or cause cancer.
The company discontinued talc-based Johnson's Baby Powder globally in 2023 and retained responsibility for all talc-related liabilities following the separation of its consumer health business, Kenvue.
Context and implications
This proposed settlement, contingent on a high threshold of claimant agreement, would draw a line under the majority of U.S. ovarian talc cases that have persisted for years. The timetable for payments is structured to delay most cash outflows until 2027 and beyond, with the initial installment capped at $3 billion.
Johnson & Johnson framed the move as a means to avoid the expense and unpredictability of continued litigation while reiterating its position on product safety.