J&J Talc Creditors Push Bankruptcy Plan That Allows Civil Suits

A cancer victim group seeking compensation from Johnson & Johnson has asked to file its own version of a reorganization plan for J&J’s bankrupt spinoff LTL Management that would allow the possibility of pursuing claims in non-bankruptcy courts.

Johnson & Johnson created its LTL unit to handle claims from people who say they developed cancer from using the healthcare giant’s talc products. To limit damages, J&J put LTL into bankruptcy, turning talc claimants essentially into its creditors.

LTL has filed its reorganization plan in May, premised on paying $8.9 billion to settle talc claims. No other parties can file an ...