Adding fuel to the fire, opponents claim the plan’s third-party releases are too broad, shielding not just J&J but also retailers who sold its talc products. Another red flag? A clause allowing J&J to walk away from the settlement if fewer than 95% of claimants agree to the releases within 120 days of plan confirmation.
Insurers Join the Fight
Johnson & Johnson’s own insurers have jumped into the fray, challenging the plan’s fairness. Travelers, represented by Lynn Neuner, argued that J&J is transferring insurance policies to Red River without consent, leaving insurers footing a larger bill than they would in the traditional court system.
The Road Ahead
The hearing is set to resume Wednesday and continue through February 28, as both sides brace for a potentially precedent-setting ruling. With billions of dollars and thousands of lives impacted, the outcome could reshape the legal landscape for corporate liability settlements.
