The fate of Johnson & Johnson’s latest push to use bankruptcy courts to end thousands of cancer lawsuits tied to its iconic baby powder now hinges on a high-stakes trial in January.
After months of wrangling, a federal judge in Houston early next year will decide whether J&J’s bid to quickly settle the claims with an $8.2 billion payout can move ahead. A lead attorney for holdouts insists a vote by claimants in support of the deal was rigged, a charge that J&J denies.
J&J has struggled to end the 15-year-long litigation over its talc-based baby powder, which the company insists never caused cancer and is no longer available. After failing twice to resolve the claims by bankrupting a unit in New Jersey, the company is trying again through a fast-track process i