J&J Talc Unit Loses Bid to Pause Mandate Dismissing Bankruptcy

A federal appeals court issued a mandate to dismiss the Chapter 11 case for Johnson & Johnson’s talc liability unit, rejecting the healthcare giant’s efforts to preserve the bankruptcy while it appeals to the US Supreme Court.

LTL Management LLC, a subsidiary created by J&J to absorb the company’s asbestos liabilities and resolve about 40,000 cancer patient lawsuits in bankruptcy, is being stripped of its shield from civil litigation through an order issued Friday by the US Court of Appeals for the Third Circuit.

The appeals court issued a precedential ruling last month to toss LTL from bankruptcy for failing ...