The settlement would have ended the lawsuits and prevented such instances in the future. J&J plans to “return to the tort system to litigate and defeat these meritless talc claims”, and does not plan to appeal the ruling.
The company on Tuesday told investors and analysts plaintiffs were “sorely mistaken” if they thought they could quickly do a similar deal outside bankruptcy.
Opponents of the deal, including attorneys for some cancer victims and a government bankruptcy watchdog, have argued the third bankruptcy, like the first two, should be dismissed as J&J is not in “financial distress”.
“Considering this was our best and final offer, we are reversing $7bn in the reserve previously held for the bankruptcy plan,” said J&J CFO Joe Wolk.