(RTTNews) – Johnson & Johnson (JNJ) introduced that its subsidiary, Purple River Talc LLC, has voluntarily filed for a prepackaged Chapter 11 chapter within the U.S. Chapter Courtroom for the Southern District of Texas. This motion goals to comprehensively resolve all present and future claims associated to ovarian most cancers from beauty talc litigation towards the Firm and its associates in the US.
The corporate mentioned Purple River filed for chapter after securing assist from the overwhelming majority of present claimants, roughly 83%, for the proposed chapter plan.
Johnson & Johnson is coping with lawsuits from greater than 62,000 claimants who alleged that its child powder and different talc merchandise had been contaminated with asbestos, leading to ovarian most cancers and different kinds of most cancers.
However Johnson & Johnson denies the allegations and maintains that its merchandise are secure.
After in depth negotiations with the counsel for claimants who initially opposed the plan, Purple River agreed to lift its contribution to the settlement by $1.75 billion, bringing the entire to roughly $8 billion.
The Firm backed Purple River’s commitments and in addition agreed to contribute a further $650 million to resolve the claims for authorized charges and bills sought by plaintiffs’ counsel for his or her management roles within the multi-district litigation, the place a lot of the filed ovarian claims are pending.
In mixture, the contemplated settlement represents a gift worth of roughly $8 billion to be paid over 25 years, totaling roughly $10 billion nominal.
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