Johnson & Johnson 8-K

Summary

Proposed resolution of JNJ’s remaining ovarian talc litigation. The agreement with plaintiff firms leading the federal and related state proceedings is conditioned on participation by at least 95% of remaining claims. It follows a July 22 court order asking plaintiffs to show why pending claims should not be dismissed for lack of evidence of specific causation, after plaintiffs withdrew experts in two bellwether cases.

Key Figures

• $5.5B commitment for per-claim payments; the first payment, of no more than $3B, is due in 2027, with no additional payments due before 2028.
• The agreement covers about 76,000 remaining ovarian talc claims, according to the company.

Investor Takeaways

• Whether the required 95% participation is reached will determine whether the proposed resolution can proceed.