A jury in the United States has sentenced Johnson & Johnson to pay $60 million in compensatory damages plus an additional $200 million in punitive damages to a 48-year-old woman from Oregon who was diagnosed with cancer, specifically mesothelioma, a very serious neoplasm generally caused by asbestos exposure.
The plaintiff, Kyung Lee, was diagnosed with mesothelioma last year.
She firmly believes that her illness is the result of 30 years of exposure to asbestos contained in talcum powder and deodorants manufactured by Johnson & Johnson.
The company’s lawyers argued during the trial that the cause of the disease was the asbestos used in a factory near Kyung Lee’s home, announcing their intention to appeal the decision.
Erik Haas, vice president of Johnson & Johnson, stated that the verdict contradicts years of scientific research confirming the safety of talcum powder: it does not contain asbestos and does not cause cancer.
Nevertheless, the company has faced numerous lawsuits over the years, with tens of thousands of claimants in the United States alleging that they developed cancer due to Johnson & Johnson’s carcinogenic products.
Johnson & Johnson is striving to resolve the litigation through a single settlement agreement worth $6.48 billion.
By leveraging a loophole allowed by the Texas government, the company established the subsidiary LTL to externalize liabilities, only to later declare bankruptcy in an attempt to protect the parent company’s financial situation.
Previous attempts to settle cases through insolvency proceedings were rejected by the courts, as the subsidiary failed to demonstrate financial hardship.
The group requires the support of 75% of claimants to approve a bankruptcy agreement that would end the litigation and prevent future lawsuits.
Johnson & Johnson’s tactic of pursuing a sham bankruptcy has been exposed by claimants who view this as a maneuver to obstruct justice and defraud victims, potentially evading billions in compensation.
Despite some legal victories, such as a 2021 ruling awarding $2.1 billion to 22 women with ovarian cancer, the company continues to face legal challenges and public scrutiny.
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