Talc

Judge Denies Johnson & Johnson Subsidiary’s Bankruptcy Plan, Casting Doubt on Future Talc Liability Strategies

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HOUSTON — A pivotal decision by U.S. Bankruptcy Judge Christopher Lopez has jeopardized Johnson & Johnson’s efforts to mitigate its extensive talc-related liabilities. On March 31, 2025, in the Southern District of Texas, Judge Lopez dismissed the prepackaged Chapter 11 plan of J&J’s subsidiary, Red River Talc LLC, citing multiple legal and procedural flaws, including impermissible nonconsensual non-debtor releases under the recent Supreme Court precedent set by the Purdue Pharma decision. Johnson & Johnson has faced mounting legal challenges as thousands of lawsuits claim its talcum powder products, used by millions, contain asbestos and have … Read more

Complex Legal Battle Unfolds as Johnson & Johnson Unit Faces Setback in Bankruptcy Ruling Over Talc Litigation

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Houston — A recent ruling by U.S. Bankruptcy Judge Christopher Lopez on March 31 has underscored the complexities faced by companies attempting to manage mass tort liabilities through bankruptcy, particularly under asbestos-related legal frameworks. The decision, which struck down a $9 billion talc litigation settlement proposal by Johnson & Johnson’s subsidiary, Red River Talc LLC, due to defective voting processes, has raised significant questions about the strategy companies employ to handle large-scale liability claims. Judge Lopez identified core issues in the voting process organized by Red River Talc and its parent company, Johnson & Johnson … Read more

J&J’s Attempt to Settle Talc Cases Through Bankruptcy Fails, Highlighting Complex Voting Dynamics

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Johnson & Johnson’s attempt to resolve thousands of legal claims linking its talc products to cancer through bankruptcy court has met a significant setback. This recent development marks a pivotal chapter in the ongoing saga concerning the safety of one of the company’s iconic products. The healthcare giant sought to channel claims into bankruptcy court, viewing it as a mechanism to settle disputes en masse. This strategy involved creating a subsidiary, LTL Management, which then filed for bankruptcy, aiming to establish a compensation fund for claimants. However, this move was met with skepticism from both … Read more

Judge’s Ruling Exposes Flaws in Johnson & Johnson’s $9 Billion Talc Settlement, Highlighting Legal Challenges in Asbestos-Related Bankruptcies

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Houston, TX — A recent decision from a bankruptcy court has cast a spotlight on the complex legal strategies corporations use to handle mass tort liabilities, revealing significant flaws and setting possible new guidelines for future legal battles. The ruling by U.S. Bankruptcy Judge Christopher Lopez on March 31 rejects a $9 billion settlement proposal from a Johnson & Johnson unit, aimed at resolving thousands of cancer claims linked to its talc-based products. Johnson & Johnson has consistently claimed that their talc products, including their iconic baby powder, are safe. However, the company has faced … Read more