THE WHAT? Johnson & Johnson has revealed that it is set to petition the US Supreme Court in a last-ditch attempt to channel tens of thousands of talc suits through a subsidiary via bankruptcy proceedings, according to a report published by Reuters.
THE DETAILS The move follows an earlier ruling by an appeals court that the chapter 11 proceedings were improper, thwarting Johnson & Johnson’s plan to settle all talc proceedings via its LTL Management subsidiary.
THE WHY? US bankruptcy judge, Michael Kaplan, who is overseeing the LTL Chapter 11 proceedings has stated that, following the 3rd Circuit ruling, he is prepared to end the bankruptcy and allow lawsuits to resume. Johnson & Johnson is attempting to prevent the collapse of its master plan.