Beirut: Johnson and Johnson announced on Monday that it has reached a preliminary agreement to resolve its outstanding US talc litigation. The company has committed $5.5 billion under the proposed settlement, which is contingent on at least 95% of the remaining claimants agreeing to participate.

According to Anadolu Agency, the agreement comes after a recent court ruling that questioned the plaintiffs' ability to prove that Johnson and Johnson's talc products caused individual cases of ovarian cancer. The settlement, reached with plaintiffs' lawyers leading the federal multidistrict litigation and related state court cases, includes an initial payment of up to $3 billion scheduled for 2027, with no additional payments required before 2028.

Johnson and Johnson maintains that its talc products are safe, asbestos-free, and do not cause cancer, citing scientific studies and regulatory reviews. The company highlighted that the settlement would conclude the 15-year litigation, allowing it to focus on its core pharmaceutical and medical technology businesses.

Erik Haas, Worldwide Vice President of Litigation at Johnson and Johnson, characterized the lawsuits as "meritless." He stated that the settlement would enable the company to move past the prolonged litigation. "While we are confident the company would have ultimately prevailed with further litigation, as it has in the vast majority of cases tried to date, this resolution allows the company to put this matter behind it and remain focused on its mission to develop medicines and devices that save lives," Haas said.