The Department of Justice Weighs In On The Side of Plaintiffs Suing Johnson & Johnson
The DOJ Trustee thinks forming LTL management was done to gain a legal advantage over plaintiffs allegedly injured by using Johnson's Baby Powder
Wednesday, January 25, 2023 - Both talcum powder ovarian cancer and mesothelioma lawsuits against Johnson & Johnson are on hold because Johnson & Johnson was allowed to spin off its talc asbestos cancer liabilities into a shell company LTL management, and immediately seek bankruptcy protection. The decision to allow the questionable legal maneuver is being appealed to the 3rd U.S. Circuit Court of Appeals and could be overturned. No matter which way the appeal falls, it is likely that the issue will be taken to the Supreme Court for a final decision. A decision to allow Johnson & Johnson's bankruptcy scheme to proceed could any company facing mass tort lawsuits to escape financial responsibility for the injuries and deaths their product allegedly caused. It is that line of reasoning that swayed the Department of Justice DOJ's Office of the U.S. Trustee to write a legal brief to the bankruptcy appeals judge elaborating the reasons for overturning the New Jersey bankruptcy court decision and disallowing the bankruptcy. The DOJ told Reuters, that the Texas Two Step bankruptcy scheme was "a weapon against tort claimants rather than a good-faith means of reorganization." The US Trustee agreed with the talcum powder cancer lawyers briefs calling the bankruptcy a sham and, "that LTL "was created for the sole purpose of filing for bankruptcy," and that it filed for bankruptcy just two days after it was formed. The company was managed by J&J employees, and did not have any business or creditors to protect, other than J&J, according to the amicus brief," according to Reuters
People who used Johnson's Baby Powder and other forms of talcum powder for years and liberally dusted the product may find themselves developing mesothelioma, a deadly disease that destroys the most delicate tissues of the lungs. Talcum powder is dusted on the skin during a baby's diaper change to help with the pain of diaper rash. It is also used after men's haircuts to alleviate itching and to smell nice. Inhaling talcum powder dust is thought to cause respiratory illnesses and also can cause mesothelioma, a form of lung cancer. This is because independent microscope researchers have found asbestos in most of the talc products they have sampled including Johnson's Baby Powder and young girl's cosmetics sold at Claries Department stores. The US Food and Drug Administration (FDA) has tested Johnson's Baby Powder and agrees that it contains asbestos. Both talc and asbestos are organic minerals mined adjacent and frequently overlapping in the earth. Johnson & Johnson has argued that their products are safe, pure, and asbestos free, but this is hardly the case. Most of the attention, however, has been given to women with ovarian cancer who allege that using baby powder for feminine hygiene on the peritoneal region of the body, caused their deadly illness. Around 40,000 women have filed lawsuits against Johnson & Johnson seeking to be compensated for their lost wages, unpaid medical expenses, pain, and suffering. Some women have already received lottery-like punitive damage awards by juries incensed by Johnson & Johnson's abhorrent corporate behavior.