Johnson & Johnson (NYSE:JNJ) — aka J&J — is shelling out $37 million to a man over one of its products containing an ingredient that resulted in one of its customers getting cancer.
The company and a talc mining company are paying at least this amount to an investment banker who sued the companies for a product that caused him to develop a deadly cancer that is connected with asbestos. The New Jersey man took the case to New Brunswick, where jurors ruled in favor of the man.
J&J and Imerys SA hid the fact that their talc-based products, including the company’s iconic baby powder, had been polluted with asbestos, leading to Stephen Lanzo III’s disease. The jury will also take a look next week at whether the companies’ failure to report the presence of asbestos will also result in an award of punitive damages.
The verdict is also a groundbreaking one as it is the first time a jury has supported a consumer’s claim that the company’s baby powder causes mesothelioma, which is often fatal. At least 6,600 women have sued J&J over the powder potentially causing them ovarian cancers.
“While we are disappointed with this decision, the jury has further deliberations to conduct in this trial and we will reserve additional comment until the case is fully completed,” Carol Goodrich, a J&J spokeswoman, said in an email.
JNJ stock fell 2.5% on Friday.
