Jury Orders Johnson & Johnson (JNJ) to Pay $966M in Talc Verdict

Johnson & Johnson (NYSE:JNJ) is one of Ray Dalio’s latest top stock positions. On October 7, a Los Angeles jury ordered Johnson & Johnson (NYSE:JNJ) to pay $966 million to the family of a California woman who died from mesothelioma. This was after the jury found the company’s talc-based baby powder caused the woman’s cancer. The victim, Mae Moore, died in 2021 after developing mesothelioma, a rare cancer associated with asbestos exposure.​ The jury awarded $16 million in compensatory damages and $950 million in punitive damages to the family.

This ruling is one of the largest single-user verdicts in the ongoing talc litigation against Johnson & Johnson. The company has faced tens of thousands of lawsuits in the US. over its talc products. However, the company has stated it will appeal the verdict, terming it “egregious and unconstitutional.” It also claimed that the plaintiffs’ case relied on “junk science”.​

The US Supreme Court has previously held that punitive damages should not generally exceed nine times the amount of compensatory damages. So, the awarded sum could be reduced on appeal.

Johnson & Johnson (NYSE:JNJ) is a diversified healthcare company. It operates through three main segments: Innovative Medicine, MedTech, and Consumer Health. Its products range from pharmaceuticals and medical devices to widely recognized consumer brands.

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Disclosure: None. This article is originally published at Insider Monkey.