New York judge orders Johnson & Johnson to pay $120 million in damages to Brooklyn resident
Olson claimed that she got cancer because of asbestos exposure from Johnson & Johnson baby powder.

New York state judge Gerald Lebovits recently ordered Johnson & Johnson (JNJ) to pay $120 million compensation charges to 67 years old Donna Olson, a resident of Brooklyn. 

Olson claimed that she got cancer because of asbestos exposure from the company’s baby powder. Initially, a jury imposed a penalty of $325 million on the company, but Justice Lebovits decreased the payout in his latest verdict on Wednesday, citing the original fine was too high. 

The payout includes punitive damages worth $105 million and compensatory damages of $15 million, down from previously announced $300 million and $25 million, respectively. Lebovits said in his verdict that Olson could either take the new award or file for another trial on damages in case of dissatisfaction. 

Olson’s attorney Jerome Block expressed his satisfaction on the decision and said he is certain that the ruling would stand. Olson testified during the trial that she used the company’s baby powder for over 50 years.

On the other hand, Johnson & Johnson said it will file an appeal, referring to legal and evidentiary flaws during the trial. 

The company said in a statement “we remain confident that our talc is safe, asbestos free, and does not cause cancer.”

Separately, Johnson & Johnson has filed an appeal in the U.S. Supreme Court against a $2.12 billion damage payout to women who also alleged that they got cancer due to continued use of the company’s’ talc products.

The company has faced heavy criticism in the past from customers and regulators following reports related to the presence of asbestos in its products. 

Johnson & Johnson (NYSE: JNJ) shares are slightly down in the mid-day trading Friday. Overall, JNJ stock remained almost flat in terms of price change during the current fiscal year. 

Disclaimer: I have no positions in any of the stocks mentioned. I wrote this article myself, and it expresses my own opinions. I have no business relationship with any company whose stock is mentioned in this article. All information should be independently verified and should not be relied upon for purposes of transacting securities or other investments. See terms for more info.

Published On
2020-11-20 14:48

About the Author
Staff or Guest writer for The Dog of Wall Street.

Analyst Ratings
Target Price $166.55
# of Analysts 16
Last updated 2020-11-16

Johnson & Johnson to acquire Momenta Pharmaceuticals for $6.5 billion
Johnson & Johnson to enroll 60,000 participants in the late-stage trial for its COVID-19 vaccine.
By Khan | 3 months ago

Burlington Stores hints at weak start to the fourth quarter, shares down
Same-store sales declined 11 percent in the quarter, less than a drop of 16.3 percent projected by analysts.
By Staff | 16 hours ago

Pandemic drives online revenue of Best Buy Co. to new highs in the third quarter
Comparable online sales in the U.S. skyrocketed more than 173 percent on a year-over-year basis.
By Staff | 16 hours ago

Dick's Sporting Goods crushes analysts’ expectations for third-quarter profit
On an adjusted basis, profit rose to $2.01, easily beating analysts’ average estimate of $1.08 per share.
By Staff | 17 hours ago

Abercrombie & Fitch shares turn red despite beating consensus expectation for Q3
On an adjusted basis, profit rose to 76 cents per share, while analysts on average were expecting the company to report a loss of 4 cents per share.
By Staff | 18 hours ago

Dollar Tree shares hit 52-week high on strong quarterly performance
Same-store sales jumped by 5.1 percent on a year-over-year basis, beating the analysts’ average forecast of 4.7 percent growth.
By Staff | 19 hours ago