Johnson & Johnson fails to overturn $2.12 billion baby powder verdict, plans Supreme Court appeal

By Jonathan Stempel

(Reuters) – Missouri’s highest court on Tuesday refused to consider Johnson & Johnson’s appeal of a $2.12 billion damages award to women who blamed their ovarian cancer on asbestos in its baby powder and other talc products.

The Missouri Supreme Court let stand a June 23 decision by a state appeals court, which upheld a jury’s July 2018 finding of liability but reduced J&J’s payout from $4.69 billion after dismissing claims by some of the 22 plaintiffs.

Johnson & Johnson said it plans to appeal to the U.S. Supreme Court.

It said the verdict was the product of a “fundamentally flawed trial, grounded in a faulty presentation of the facts,” and was “at odds with decades of independent scientific evaluations confirming Johnson’s Baby Powder is safe, does not contain asbestos and does not cause cancer.”

Kevin Parker, a lawyer for the plaintiffs, said in a statement: “Johnson & Johnson should accept the findings of the jury and the appellate court and move forward with proper compensation to the victims.”

Johnson & Johnson said in May it would stop selling its Baby Powder talc in the United States and Canada.

The New Brunswick, New Jersey-based company said last month it faces more than 21,800 lawsuits claiming that its talc products cause cancer because of contamination from asbestos, a known carcinogen.

In its June decision, the Missouri Court of Appeals said it was reasonable to infer from the evidence that Johnson & Johnson “disregarded the safety of consumers” in its drive for profit, despite knowing its talc products caused ovarian cancer. It also found “significant reprehensibility” in the company’s conduct.

Johnson & Johnson has faced intense scrutiny of its baby powder’s safety following a 2018 Reuters investigative report that found it knew for decades that asbestos lurked in its talc.

Internal company records, trial testimony and other evidence show that from at least 1971 to the early 2000s, J&J’s raw talc and finished powders sometimes tested positive for small amounts of asbestos.

Johnson & Johnson shares were up 2 cents at $138.71 in late afternoon trading on the New York Stock Exchange.

(Reporting by Jonathan Stempel in New York; Additional reporting by Nate Raymond in Boston; Editing by Leslie Adler and Matthew Lewis)

In Missouri, J&J faces biggest trial yet alleging talc caused cancer

FILE PHOTO: A Johnson & Johnson building is shown in Irvine, California, U.S., January 24, 2017. REUTERS/Mike Blake/File Photo

By Tina Bellon

NEW YORK (Reuters) – A lawsuit by 22 ovarian cancer patients against Johnson & Johnson went to trial on Wednesday in Missouri state court, marking the largest case the company has faced over allegations its talc-based products contain cancer-causing asbestos.

The women and their families suing in the Circuit Court of the City of St. Louis say decades-long use of J&J’s Baby Powder and other cosmetic talc products caused their disease. They allege the company knew its talc was contaminated with asbestos since at least the 1970s but failed to warn consumers about the risks.

J&J denies both that its talc products cause cancer and that they ever contained asbestos.

J&J is battling some 9,000 cases brought by users of its Baby Powder and Shower to Shower talc products, the latter of which was sold to Valeant Pharmaceuticals in 2012.

The majority of those lawsuits claim talc caused ovarian cancer in women who used it for feminine hygiene. A smaller number of cases allege talc contaminated by asbestos in the mining process caused mesothelioma, a tissue cancer closely linked to asbestos exposure.

The cases that went to trial on Wednesday effectively combine those claims by alleging the women’s ovarian cancer was caused by asbestos in J&J talc products.

J&J lawyer Peter Bicks told the jury on Wednesday that the causes for ovarian cancer are often unknown, according to an online broadcast of the trial by Courtroom View Network.

He said gene mutations and a family history of cancer played an important role and that asbestos was not known to cause ovarian cancer.

Bicks added that testing done by independent laboratories, universities, government agencies, talc suppliers and J&J itself has shown that there is no asbestos in the company’s talc.

But plaintiff’s lawyer Mark Lanier said asbestos and talc, which are closely linked minerals, are intermingled in the mining process, making it impossible to remove the carcinogenic substance. Lanier said there was “no doubt” that talc caused his clients’ ovarian cancer.

“This case is as simple as asbestos breathed in or put inside of you,” Lanier told the jury.

J&J has lost two talc mesothelioma jury trials in the past weeks. Those cases are currently under appeal.

Juries in California and Missouri have also issued verdicts in ovarian cancer cases totaling more than $720 million in damages. Those decisions have either been tossed out or are still under appeal.

(Reporting by Tina Bellon; Editing by Cynthia Osterman)