Yet Again: Johnson & Johnson Subsidiary Seeks Stay On Thousands Of Cancer Lawsuits Associated With Talc Products


27% profits every 20 days?

This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.


  • Johnson & Johnson's (NYSE:JNJ) subsidiary, LTL Management, has reportedly requested a U.S. judge to delay 38,000 lawsuits again. These lawsuits accuse their baby powder and other talc products of causing cancer. 
  • This comes as the company makes another attempt at "resolving the litigation in bankruptcy after a federal appeals court found its first attempt improper," reports Reuters.
  • Also Read: Johnson & Johnson Q1 Beats Street View On Strong Performance Across All Segments, Lifts Guidance, Dividends.
  • At a Tuesday hearing, LTL Management will argue that the so-called "automatic stay" under bankruptcy law that stops lawsuits against it from moving forward while it is in Chapter 11 proceedings should also protect J&J.
  • A federal appeals court in Philadelphia rejected Johnson & Johnson's use of Chapter 11 bankruptcy to offload several lawsuits over its talc products, alleging it caused cancer.
  • The appellate ruling found that LTL is "highly solvent" and not entitled to file Chapter 11 bankruptcy because J&J had provided it with a $60 billion funding "safety net" to meet its talc liabilities.
  • LTL argues that the lawsuits must be stopped because litigation against J&J would imperil its effort to negotiate a comprehensive settlement of all current and future talc claims in its bankruptcy. 
  • It has said its second bankruptcy differs from its first because it has less funding and more plaintiff support for a settlement.
  • Earlier this month, LTL Management re-filed for bankruptcy to resolve all talc-based baby powder claims and agreed to contribute up to $8.9 billion over 25 years to resolve all the current and future talc claims, which is an increase of $6.9 billion over the previously committed amount.
  • Price Action: JNJ shares are down 2.71% at $161.20 on the last check Tuesday.
  • Photo via Wikimedia Commons

27% profits every 20 days?

This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.


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