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Judge to Consider Blocking J&J from Giving Talc Claims to Unit

  • Federal judge sets hearing to consider reported J&J strategy
  • Alleged talc victims seek to halt ‘corporate manipulations’
Johnson & Johnson Products As Company's Covid Vaccine Found Effective By FDA
Photographer: George Frey/Bloomberg

A bankruptcy judge agreed to consider blocking Johnson & Johnson from putting billions of dollars in potential health claims into a unit that could file bankruptcy to resolve the liabilities.

U.S. Bankruptcy Judge Laurie Silverstein ordered J&J to appear at a hearing Thursday afternoon to respond to a request from people who say they were harmed by the company’s baby powder. Those alleged victims claim J&J may use “corporate manipulations” to dump talc-related claims into a subsidiary in a “divisive merger” that would protect the consumer product giant’s profits.