Johnson & Johnson’s $8.2 billion talc bankruptcy deal faces legal challenges in January trial
Johnson & Johnson’s attempt to resolve thousands of lawsuits over claims that its talc-based baby powder causes cancer now rests on a high-stakes trial set for January 2024. The case will determine whether the company’s $8.2 billion settlement plan, which J&J hopes will fast-track resolution through bankruptcy, will be approved by the court.
J&J has faced 15 years of litigation regarding allegations that its baby powder contained asbestos, causing ovarian cancer and other health issues—a claim the company denies. Despite previous failures to settle the claims through bankruptcy in New Jersey, J&J has now moved proceedings to Texas, hoping for a more favorable outcome.
While J&J announced that over 75% of claimants had voted in favor of the new deal, Andy Birchfield, an attorney representing a group of plaintiffs, has accused the company of manipulating the vote. He claims that EPIQ, the consulting firm managing the vote, allowed another attorney, Allen Smith, to improperly switch 11,434 votes from “no” to “yes.” Birchfield is demanding the votes be reversed, accusing J&J of rigging the bankruptcy process to minimize legitimate claims.
J&J’s Erik Haas, head of global litigation, defended the process, insisting the vote was conducted according to rules and reflected the claimants' desire for a quick resolution. Haas emphasized that the proposed settlement—one of the largest in mass tort history—offers fair compensation and will end years of litigation.
The controversy over the vote reflects deeper tensions between plaintiffs' attorneys. Smith, who once partnered with Birchfield on these cases, switched his clients' votes to favor the deal, citing the need to end protracted litigation. Smith, under financial pressure due to $240 million in litigation debt, argued that the revised offer provided fair compensation for clients. Birchfield, however, accused Smith of betraying former clients for financial gain and filed a lawsuit against him.
The outcome of these legal battles will shape whether EPIQ remains responsible for overseeing the bankruptcy claims process, which could yield millions in fees.
J&J is betting on the enhanced settlement and bankruptcy process to handle over 60,000 claims, arguing that it’s the only way to avoid decades of costly litigation. If approved, the bankruptcy would bind all plaintiffs, including those who opposed the deal, and establish a trust to handle future cancer claims.
However, critics warn that moving the case to Texas—considered more business-friendly—raises concerns about fairness. Judge Christopher Lopez will need to decide whether the contested votes were valid and whether the bankruptcy should proceed in Texas, especially after two previous bankruptcy attempts were blocked in New Jersey. Lopez has also halted all talc trials while the bankruptcy plan is under review.
If the bankruptcy plan succeeds, it would settle most current talc-related lawsuits and limit J&J's liability for future claims. However, an appeal is expected, potentially delaying final resolution. Larry Biegelsen, an analyst at Wells Fargo, noted that year-end resolution is possible if the court approves the deal, though the process will likely remain contested.
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Bidar gears up for the Third National Convention of Quraish Conference on April 12
Bidar: Preparations are in full swing for the Third National Convention of the Quraish Conference, scheduled to be held on April 12 at SM Hangargi Function Hall, located opposite DCC Bank in Bidar city. The announcement was made through a press note by Muhammad Nabi Qureshi, President of the Quraish Conference (Registered), Karnataka.
The convention will focus on key issues concerning the Quraish community in Karnataka, particularly addressing fundamental rights, atrocities faced by members of the business community, and other pressing concerns. Delegates from various parts of the country including Delhi, Rajasthan, Maharashtra, Madhya Pradesh, Jharkhand, Uttar Pradesh, Telangana, Gujarat, and other states are expected to attend, marking it as a significant national gathering.
According to the press release, this third edition of the national convention aims to unite the Quraish community across India, confront social evils within the community, promote education, and explore measures to safeguard livelihoods and traditional businesses.
In this convention, Mohammad Rahim Khan Sahib (Minister of Local Government, Administration and Hajj Affairs, Government of Karnataka), Bandappa Kasimpur Sahib (Former Minister, Government of Karnataka), Dr. Abdul Qadeer Sahib (Chairman, Shaheen Group of Institutions), Mohammad Masood Ahmed Sahib (President, Aam Aadmi Forum (NGO)) will be the special guests.
As per the release, the third national convention will be presided over by Advocate Sanobar Ali Qureshi, National President of Qureshi Conference.
A number of important resolutions will be discussed and adopted during the session. Key proposals include:
A call for the Karnataka Government to repeal the Karnataka Prevention of Slaughter and Preservation of Cattle Act, 2020 and restore the provisions of the 1964 Act.
A demand for the establishment of modern slaughterhouses at the district level across all states, preferably on land owned by local municipal bodies, to boost employment opportunities.
An appeal to both Central and State Governments to establish Meat Boards at respective levels, along with a single-window system to address industry concerns efficiently.
A request for greater representation of the Quraish community in state-level decision-making bodies.
Legal experts and Supreme Court lawyers will also participate in the convention, offering insights into the constitutional validity and legal perspectives surrounding these demands.
