A judge of the American bankruptcy court refused the Johnson & Johnson regulation plan linked to baby powder containing talcs, providing another setback in the business efforts to resolve the issue.
This is the third case of bankruptcy for a J & J company with regard to the problem of baby powder.
Red River Talc LLC, a J & J subsidiary, sought to confirm a pre -fully bankruptcy plan project in chapter 11 which would have been one of the largest mass offense colonies in history, if it was approved. Red River and J&J proposed to pay $ 9 billion to adjust ovary cancer and other allegations of gynecological cancer litigation based on products related to TALC.
But judge Christopher Lopez of the American bankruptcy court for the South Texas district, the Houston division declared in a registered court that I used a process of solicitation of the defective voters when he dealt with applicants of bodily injury.
I said in a statement that he would not pursue an appeal and rather return to the civil law system “to plead and defeat these allegations of Talc without merit”. It will also reverse about $ 7 billion in a previous reserve.
The company said that it had settled 95% of the actions in the judgment of mesothelioma filed, concluded all complaints in the protection of state consumers and all disputes of Talc-Suplier.
Last year, a subsidiary of J & J proposed to pay around $ 6.48 billion over 25 years as part of a regulation in the United States to cover the allegations according to which its baby powder containing TALC caused ovarian cancer.
The prosecutions deposited against J & J had alleged that his talc powder pushed users to develop ovary cancer by use for female hygiene, or mesothelioma, cancer that strikes the lungs and other organs.
The affirmations contributed to a drop in baby powder sales by J & J, which prompted the company to stop selling its products based on the Talc in 2020. In 2022, J & J announced its intention to stop sales of the product worldwide.
J & J said at the time that the subsidiary’s reorganization plan was significantly different from an anterior reorganization announced. The company said that the plan would resolve 99.75% of all prosecution awaiting Talc against it and its affiliates in the United States
At the time, I said that the remaining prosecution awaiting bodily injury related to mesothelioma would be discussed outside the plan.
J & J shares decreased by more than 3% before the market opened on Tuesday.
