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America May 24, 2025 5 mins read

Johnson & Johnson Hit with New Wave of Talc Lawsuits in Texas After Third Failed Bankruptcy Scheme Backfires in Explosive Mass Tort Comeback

America ı By Samuel Lopez

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Legal Pressure Mounts in J&J Talc Wars

  • Three new lawsuits filed in Dallas revive momentum in a historic mass tort after a federal judge blocks Johnson & Johnson’s third bankruptcy gambit.
    • Trial lawyers allege J&J used Chapter 11 tactics to dodge responsibility for cancer claims tied to asbestos-laced baby powder.
    • Tens of thousands of women now set to have their cases heard after years of delays—and billions in damages could be at stake.

By Samuel Lopez – USA Herald

DALLAS, TX — Johnson & Johnson (NYSE: JNJ), once considered untouchable in the world of consumer products, is facing a legal firestorm after a third attempt to dodge responsibility for talc-related cancer claims via bankruptcy was blocked in court. Now, Dallas-based Nachawati Law Group has fired the first legal salvo in what could be the most consequential phase yet in one of the largest mass tort battles in American history.

The law firm filed three lawsuits this week in Texas state court on behalf of women who developed ovarian cancer after prolonged use of J&J’s talc-based products—most notably its iconic Johnson’s Baby Powder. These latest filings signal a green light for mass litigation to ramp back up nationwide, following years of gridlock while the company attempted to shield itself through controversial legal tactics.

"The courthouse doors are open again, and we are walking through them," Nachawati said. "Our clients have a constitutional right to be heard, and we intend to make sure that happens."

Failed Bankruptcy Scheme Sparks Nationwide Backlash

In January 2025, U.S. Bankruptcy Judge Christopher Lopez rejected Johnson & Johnson’s third attempt to resolve the talc litigation through a divisive legal strategy known as the “Texas Two-Step.” Under this maneuver, the pharmaceutical giant funneled its talc liabilities into a newly created subsidiary—LTL Management—which then filed for Chapter 11 protection.

J&J hoped to use bankruptcy court to limit its financial exposure and settle the claims globally. But Judge Lopez ruled that the proposed settlement violated due process rights, citing an improper voting structure and unlawful protections for non-bankrupt affiliates.

The ruling dismantled what many viewed as a corporate end-run around accountability.

Firm founder Majed Nachawati said J&J has used the bankruptcy system "as a tool to delay and deny justice."

"Our recent talc ovarian cancer filings in DC and Florida are direct messages to Johnson & Johnson and the sellers of talc-based products of our willingness and eagerness to resume the fight on behalf of our clients," said trial lawyer Charlie Stern in a statement.

Asbestos Allegations Continue to Haunt J&J

Johnson & Johnson has long maintained that its talc-based products are safe. However, thousands of internal documents revealed in discovery suggest the company knew for decades that some talc products may have contained trace amounts of asbestos—a known carcinogen.

Despite these revelations, J&J stopped selling talc-based Baby Powder in North America only recently and insists it acted out of “misinformation” and not safety concerns.

That claim rings hollow for the tens of thousands of women now pursuing justice through the courts. Many have spent years undergoing aggressive cancer treatments while fighting to have their cases heard.

Billions on the Line as Litigation Reignites

The legal and financial stakes for Johnson & Johnson are massive. In prior verdicts, juries have awarded billions in damages, including a $4.69 billion Missouri judgment in 2018 for 22 women who developed ovarian cancer. Though J&J succeeded in reducing some awards on appeal, the potential for future jury trials poses a serious threat.

With the bankruptcy shield now dissolved, attorneys for plaintiffs are preparing to flood courthouses with new filings.

Industry analysts say the company could be exposed to tens of billions in new liabilities. J&J’s stock remains under pressure as Wall Street assesses the damage from resurgent litigation.

The Broader Legal Impact: A Warning to Corporate America

The rebuke of Johnson & Johnson’s bankruptcy plan may also reshape future mass tort strategies for major corporations. Legal experts note that courts are increasingly unwilling to allow Chapter 11 filings that appear to exploit bankruptcy protections without the intent to genuinely reorganize.

“This case could be the death knell for the Texas Two-Step,” one mass tort attorney noted. “It sets a precedent that says: If you’re solvent and using bankruptcy purely to escape accountability, the courts won’t play along.”

Looking Ahead: What's Next for Plaintiffs?

Nachawati Law Group says it will continue to file cases in multiple jurisdictions, including Florida, Washington, D.C., and California. The firm represents thousands of women who developed ovarian cancer or mesothelioma linked to talc use.

With the dam officially broken, mass tort attorneys nationwide are preparing for a legal battle that could span years—and permanently redefine how consumer safety cases are litigated in America.

📲 Follow USA Herald on X for breaking legal headlines: @RealUSAHerald

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