Talc claimants will have to wait a bit longer for the results of a vote on J&J’s proposed $6.5 billion settlement plan.
The company on Friday announced a “short extension” of its process to certify votes, noting that attorneys representing plaintiffs who opposed the plan will have “time to speak to their claimants to now consider supporting the Plan.”
The bankruptcy plan would settle 99% of talc suits against J&J, which controversially spun its talc liabilities into a company called LLT (formerly LTL) in 2021. LLT has twice unsuccessfully attempted to settle the claims through bankruptcy — but this time, it’s seeking the support of 75% of claimants. The deadline to vote was last month, and J&J has said it’s in the process of certifying the votes.
That process is now briefly delayed. J&J said Friday that attorneys for claimants who opposed the plan have requested additional time.
The proposed deal would only settle ovarian cancer claims, and J&J has said that any remaining personal injury lawsuits will be addressed outside of the plan. Bloomberg reported earlier this month that J&J has secured more than 75% of votes, citing people familiar with the matter. The company told Endpoints News that the final vote has not been certified.
In the meantime, J&J said it has restructured it subsidiary LLT “in preparation to potentially pursue” the bankruptcy plan.
“Filing of the Plan is contingent on a number of considerations, including the certification by the claims administrator of a vote in favor of the bankruptcy of at least 75% of the talc claimants,” Erik Haas, J&J’s worldwide VP of litigation, said in a statement.
A group of lawyers representing tens of thousands of claimants have argued that the plan “would cheat victims legitimately harmed by talc.” Mike Papantonio, who represents hundreds of claimants, told Endpoints on Friday that the plan is “terrible for women.”
“They’re kicking the can down the road,” he said of the extended timeline to certify the votes. “They’re just totally incapable of bringing this in for a landing.”
“No member of Plaintiffs’ leadership has ever asked for a pause from the plan administrator or anyone else,” said Richard Golomb, who represents over 1,600 ovarian cancer claimants. “We remain ready, willing and able to sit down with J&J anywhere and anytime to discuss a fair and reasonable resolution for our clients.”