This post was originally published on this site
https://i-invdn-com.investing.com/trkd-images/LYNXMPEJ2L0M4_L.jpg
J&J used the bankruptcy of a subsidiary company, LTL Management, to halt more than 38,000 lawsuits from plaintiffs alleging the company’s baby powder and other talc products caused cancer.
That strategy stumbled in January, when the 3rd U.S. Circuit Court of Appeals based in Philadelphia dismissed LTL’s bankruptcy case, finding that neither J&J nor LTL Management were in “financial distress” and had no legitimate need for bankruptcy protection.
LTL Management asked the 3rd Circuit to reconsider its decision, a request the court unanimously rejected in a two-page ruling on Wednesday.
J&J responded by saying it would take the case to the Supreme Court. J&J said that its baby powder is safe and asbestos-free.
