Bayer To Not Seek Reversal Of A $20.5M Verdict

Introduction

Last week, Bayer AG indicated that it would not pursue a further appeal over a $20.5 million verdict awarded to a California school groundskeeper who alleged the company's weedkiller Roundup for his non-Hodgkin's lymphoma (NHL).

While announcing the decision, the company said that it was careful and extensive consideration and reflects a legal strategy to end the state court case and instead focus on the second Roundup verdict, in federal court.

The lawsuit was the first to go before a jury and a state court jury initially awarded the man a landmark verdict of $289 million, including $250 million in punitive damages. The company was held liable for disregarding the health and safety of consumers.

The presiding judge later reduced the award to about $78 million, which included $38 million in compensatory damages and about $39 million in punitive damages. The award was further reduced by a California appeals court to $20.5 million, which now stands as the final judgment and over which Bayer decided to not ask for a final review by the U.S. Supreme Court.

Currently, Bayer is facing more than 125,000 Roundup lawsuits, and the company has acknowledged the filing of 52,500 lawsuits. The lawsuits are consolidated under MDL No. 2741 in the U.S. District Court for the Northern District of California.

The company has indicated that it has reached an agreement to resolve nearly 88,500 cases, which would cost the company around $9.6 billion. Additionally, the company has also proposed a $2 billion deal to resolve future legal claims. According to the proposed plan, the company will be paying $2 billion over a period of four-years to cover outreach and diagnostic assistance of individuals who have been diagnosed with NHL and were exposed to Roundup prior to their diagnosis.

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