Johnson & Johnson is facing a **17% surge in lawsuits** (now **73,570+ cases**) alleging its talc-based baby powder causes cancer, following a failed attempt to force a **$9 billion global settlement** through bankruptcy court. A recent California jury awarded **$966 million** to a deceased woman’s family, linking her cancer to long-term baby powder use. Analysts predict total payouts could exceed **$11 billion**, with J&J already spending **$3 billion** on prior settlements. The company withdrew the product in 2023 but continues to deny liability, claiming talc is safe. Repeated legal defeats—including a bankruptcy judge rejecting its Chapter 11 strategy—have forced J&J back into state and federal courts, where upcoming trials (starting next month) risk further billion-dollar verdicts. The litigation threatens **reputational damage, financial strain (projected $11B+), and operational disruption**, as J&J defends cases across multiple jurisdictions while its Kenvue spinoff shares liability. State juries have repeatedly ruled against J&J, though some awards were later reduced on appeal. The escalating caseload (potentially **93,000+ claims**) compounds legal costs and public scrutiny, undermining trust in the brand.
Source: https://www.claimsjournal.com/news/national/2025/10/28/333736.htm
TPRM report: https://www.rankiteo.com/company/johnson-&-johnson
"id": "joh0362103102825",
"linkid": "johnson-&-johnson",
"type": "Breach",
"date": "6/2023",
"severity": "100",
"impact": "5",
"explanation": "Attack threatening the organization’s existence"{'affected_entities': [{'customers_affected': '73,570+ plaintiffs (as of '
'2024-09-30)',
'industry': ['Pharmaceuticals',
'Consumer Goods',
'Healthcare'],
'location': 'New Brunswick, New Jersey, USA',
'name': 'Johnson & Johnson',
'size': '~152,700 employees (2023)',
'type': 'Public Multinational Corporation'},
{'industry': 'Consumer Health',
'name': 'Kenvue (J&J spinoff)',
'type': 'Subsidiary'}],
'customer_advisories': ['Product withdrawal announcement (2023)',
'No direct advisories on cancer risks'],
'date_publicly_disclosed': '2024-10-01T00:00:00Z',
'description': 'Johnson & Johnson (J&J) has experienced a 17% increase in new '
'lawsuits (now totaling ~73,570) alleging its talc-based baby '
'powder causes cancer, following the rejection of its latest '
'bankruptcy-driven global settlement attempt. The company '
'withdrew the product in 2023 but continues to face escalating '
'litigation costs, with predictions of up to 93,000 cases and '
'potential payouts exceeding $11 billion. Juries have '
'repeatedly ruled against J&J, awarding billions in damages '
'(e.g., $966M in a recent California case), though some '
'verdicts were later reduced or overturned on appeal. The '
'company maintains talc is safe and refuses to pay beyond its '
'prior $9B offer, while preparing for new trials in state and '
'federal courts.',
'impact': {'brand_reputation_impact': ['Severe damage due to cancer '
'allegations',
'Loss of consumer trust',
'Negative media coverage',
'Withdrawal of iconic product'],
'customer_complaints': '73,570+ lawsuits (as of 2024-09-30)',
'financial_loss': {'current_settlements': '$3 billion (historical)',
'legal_defense_costs': None,
'projected_total_cost': 'Up to $11 billion',
'recent_jury_award': '$966 million (California '
'case, 2024-10)'},
'legal_liabilities': ['Mass tort litigation',
'Jury awards (e.g., $966M in 2024)',
'Potential federal/federal trials',
'State-level lawsuits (CA, PA, GA, IL, FL)'],
'operational_impact': ['Increased litigation workload',
'Reputation damage',
'Resource diversion to legal defense',
'Product withdrawal (2023)']},
'investigation_status': 'Ongoing (active litigation in multiple '
'jurisdictions)',
'lessons_learned': ['Bankruptcy strategies may not shield against mass torts',
'Jury trials pose significant financial risks',
'Product liability claims can escalate rapidly '
'post-bankruptcy rejection',
'Reputation damage extends beyond financial costs'],
'motivation': ['Financial Gain (Plaintiffs)',
'Corporate Accountability',
'Consumer Protection'],
'post_incident_analysis': {'corrective_actions': ['Product reformulation '
'(cornstarch)',
'Litigation defense '
'restructuring',
'Potential future '
'settlement negotiations'],
'root_causes': ['Alleged failure to warn consumers '
'of talc-asbestos risks',
'Aggressive bankruptcy tactics '
'backfiring',
'Jury sympathy for plaintiffs in '
'cancer cases',
'Historical product marketing '
'practices']},
'recommendations': ['Reevaluate settlement offers to mitigate long-term costs',
'Enhance transparency in product safety communications',
'Explore alternative dispute resolution mechanisms',
'Monitor state-level jury trends for risk assessment'],
'references': [{'date_accessed': '2024-10-01',
'source': 'Bloomberg',
'url': 'https://www.bloomberg.com/news/articles/2024-10-01/j-j-s-baby-powder-lawsuits-jump-17-after-bankruptcy-setback'},
{'source': 'US District Court for the District of New Jersey',
'url': 'https://www.njd.uscourts.gov/cases/case-information-re-johnson-johnson-talcum-powder-products-marketing-sales-practices-and'},
{'source': 'Johnson & Johnson Securities Filings (2024-09)'}],
'regulatory_compliance': {'legal_actions': ['Class-action lawsuits',
'State/federal jury trials',
'Appeals of verdicts',
'Bankruptcy filings (3 failed '
'attempts)'],
'regulations_violated': ['Potential violations of '
'consumer protection laws',
'Product liability '
'statutes',
'Failure to disclose '
'health risks (alleged)']},
'response': {'communication_strategy': ['Public statements denying '
'talc-asbestos link',
"Emphasis on 100+ years of 'safe use'",
"Criticism of lawsuit 'volume over "
"merit'"],
'containment_measures': ['Product withdrawal (2023)',
'Replacement with cornstarch-based '
'alternative',
'Litigation defense strategy'],
'remediation_measures': ['Proposed $9B global settlement '
'(rejected)',
'Preparation for upcoming trials',
'Federal case consolidation (NJ '
'District Court)'],
'third_party_assistance': ['Legal defense teams',
'Bankruptcy advisors (failed '
'attempts)',
'Public relations firms']},
'stakeholder_advisories': ['Investor updates via securities filings',
'Legal analyses by Bloomberg Intelligence',
'Academic commentary (e.g., University of '
'Richmond)'],
'title': 'Johnson & Johnson Faces Surge in Baby Powder Cancer Lawsuits After '
'Failed Bankruptcy Settlement Attempt',
'type': ['Product Liability Litigation',
'Mass Tort',
'Regulatory Non-Compliance']}