J&J suffers loss in baby powder case

Johnson & Johnson must pay about $29 million to a dying California woman who blamed asbestos-tainted talc for causing her cancer. The jury decision is the company’s latest loss in nationwide litigation over its iconic baby powder.

Jurors in state court in Oakland held J&J responsible Wednesday for Teresa Leavitt’s mesothelioma, a cancer linked to asbestos exposure. The panel, which included a lawyer and a state court judge, also found that the world’s largest maker of healthcare products didn’t warn Leavitt that its baby powder was tainted with the carcinogen.

The verdict was announced after the stock market closed. On Thursday, J&J shares fell 1% to $138.02. The stock has been under pressure over the last six months because of the growing talc litigation.

The verdict is J&J’s seventh trial loss over claims it hid the health risks of its baby powder for 50 years. It’s the first defeat since a Missouri jury ordered the company last year to pay $4.69 billion to 22 women who blamed their cancer on the product.

J&J officials contend Superior Court Judge Brad Seligman made errors in rulings on procedure and evidence in the latest trial that should have resulted in a mistrial.

“We are disappointed with today’s verdict and will pursue an appeal because Johnson’s Baby Powder does not contain asbestos or cause cancer,” Kim Montagnino, a J&J spokeswoman, said in an emailed statement. The company has had some talc-related verdicts thrown out and is appealing others.