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Monsanto Faces Class Action Over Controversial Weedkiller

Monsanto Faces Class Action Over Controversial Weedkiller

Monsanto Faces Class Action Over Controversial Weedkiller

Introduction

A lawsuit filed against Monsanto last month in the U.S. District Court of the Northern District of California alleged the use of herbicide Roundup in the maintenance yard of a facility during the plaintiff's employment from 1999 to 2013 had caused his cancer.

There are around 13,500 individual Roundup lawsuits filed against Monsanto by farmers, landscapers, and other consumers. Monsanto’s claims as per EPA regulation Roundup doesn't cause cancer and can be used with some fine adjustments; also, their testing methods are more superior to World Health Organization’s International Agency for Research (IARC).

The recent lawsuit filed by the plaintiff will help seek a final and legal determination on whether glyphosate is a carcinogenic substance, which would resolve thousands of similar trials. If Bayer fails to reach settlements or another resolution, investors are nervous about the massive liability the company might have to face before juries nationwide.

The U.S. District Judge canceled a bellwether trial that was set to begin in the next month. The judge has even asked the parties to settle the litigation confidentially before the court starts looking into the individual trials.

Investors are worried about the company's fate as it may face thousands of individual claims throughout the nation if it fails to negotiate settlements or resolve the litigation.

Earlier, this year, Bayer has announced to resolve future legal claims worth up to $2 billion that claims Roundup causes cancer.

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