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Johnson & Johnson proposes $5.5 billion talc settlement
The proposal would resolve about 76,000 ovarian cancer claims but is not final, would require 95% claimant participation, and could ultimately cost more than $5.5 billion.
Johnson & Johnson has proposed a $5.5 billion settlement to resolve tens of thousands of lawsuits alleging its baby powder and other talc products cause ovarian cancer, aiming to reduce uncertainty that has built over more than a decade, Yahoo Finance reports. The deal would cover approximately 76,000 ovarian cancer claims, though it is not yet finalized. It would require participation from at least 95% of eligible claimants and would not extend to future lawsuits, according to the report. The source notes the settlement could also end up costing more than the headline figure and includes a staggered payment structure. Johnson & Johnson expects to pay up to $3 billion in 2027, with additional payments beginning in 2028. Separately, the report highlights that the company ended fiscal Q2 2026 with about $21 billion in cash and marketable securities and raised full-year guidance, while also being on track to surpass $100 billion in annual revenue in 2026 for the first time in its 140-year history. The report also points to signs of legal momentum, citing that a federal judge cast doubt on individual plaintiffs’ ability to prove talc specifically caused their cancer.