Bayer’s Monsanto Unit Receives $1 Billion Reduction in Roundup Cancer Verdict, Providing Relief Amidst Legal Battles

JEFFERSON CITY, Missouri – A judge in Missouri has reduced a $1.5 billion jury verdict against Bayer AG’s Monsanto unit by nearly $1 billion, marking a significant victory for the company in its ongoing legal battle over the cancer risks associated with its Roundup weedkiller. Judge Daniel Green refused to grant Monsanto’s requests for a new trial or to dismiss the entire verdict, but he did reduce the punitive damages portion of the award by over 60% to approximately $550 million.

This reduction in the Missouri award comes as a relief for Bayer, which has faced multiple multimillion-dollar verdicts related to Roundup in recent months. The company’s new CEO has been grappling with whether to spin off part of the conglomerate or consider strategic bankruptcy due to its substantial legal exposure. Bayer, which purchased Monsanto in 2018 for $63 billion, has announced its intention to request a review of the entire verdict by Missouri’s appellate courts.

While the court reduced the punitive damages, Bayer maintains that the court did not properly apply the law regarding damages. The jury had originally awarded three plaintiffs a total of $61.1 million in actual damages and $500 million each in punitive damages in November. These verdicts were in response to claims that the plaintiffs developed non-Hodgkin’s lymphoma after using Roundup for an extended period.

The reduction in the damages award was anticipated, as the US Supreme Court has previously ruled that punitive damages must be proportionate to compensatory awards and capped at ten times the actual damages. In order to meet this threshold, Judge Green reduced the punitive damages to around $550 million. He also ordered Bayer to post an $800 million bond to ensure payment of the verdict if it is upheld on appeal.

One of the plaintiffs’ lawyers praised the judge’s decision, stating that the reduced damages amount still reflects Monsanto’s willful disregard for consumer safety. In January, a state court jury in Philadelphia also ordered Monsanto to pay over $2.2 billion to a former landscaper. It is anticipated that this award will also be reduced.

Bayer had set aside up to $16 billion two years ago to address over 100,000 Roundup-related cases. The company now faces another wave of lawsuits alleging that the herbicide’s active ingredient, glyphosate, and other components are carcinogenic. Bayer has maintained that it has succeeded in the majority of the recent trials.

The Missouri case represents a consolidation of claims from former Roundup users across the country. The plaintiffs allege that they developed cancer as a result of using the herbicide, with each having used Roundup for various purposes on their properties. The case is now set for review by Missouri’s appellate courts in response to Bayer’s request.